Mr. Cooper Group (NASDAQ:COOP) Shares Gap Up - Still a Buy?

Key Points

• Mr. Cooper Group (NASDAQ:COOP) saw its shares surge from a previous close of $155.72 to an opening price of $163.72 and last traded at $176.42 with a volume of 408,318 shares.
• Analysts have increased their price targets on Mr. Cooper Group, with Barclays setting a new target of $156.00 and several firms maintaining or adjusting their ratings to "hold" and "overweight."
• The company's latest earnings report showed a miss on earnings per share at $3.13, compared to analysts' expectations of $3.28, although revenue increased by 8.6% year-over-year.

Mr. Cooper Group Inc (NASDAQ:COOP - Get Free Report)'s share price gapped up prior to trading on Friday . The stock had previously closed at $155.72, but opened at $163.72. Mr. Cooper Group shares last traded at $176.42, with a volume of 408,318 shares.

Wall Street Analyst Weigh In

A number of equities research analysts have commented on the stock. Jefferies Financial Group raised their target price on shares of Mr. Cooper Group from $110.00 to $150.00 and gave the stock a "hold" rating in a research note on Tuesday, July 22nd. Keefe, Bruyette & Woods lifted their target price on shares of Mr. Cooper Group from $115.00 to $143.00 and gave the company a "market perform" rating in a research note on Tuesday, April 8th. Barclays increased their price target on Mr. Cooper Group from $147.00 to $156.00 and gave the stock an "overweight" rating in a research note on Tuesday, July 8th. Piper Sandler raised their price target on Mr. Cooper Group from $143.00 to $158.00 and gave the company a "neutral" rating in a report on Tuesday, July 1st. Finally, UBS Group upped their price objective on Mr. Cooper Group from $156.00 to $178.00 and gave the stock a "neutral" rating in a research note on Tuesday. Five analysts have rated the stock with a hold rating and four have issued a buy rating to the company's stock. According to data from MarketBeat, the company presently has a consensus rating of "Hold" and an average target price of $140.63.

Mr. Cooper Group Stock Performance

The firm has a fifty day simple moving average of $147.75 and a two-hundred day simple moving average of $124.91. The firm has a market cap of $12.12 billion, a PE ratio of 21.66 and a beta of 0.98.

Mr. Cooper Group (NASDAQ:COOP - Get Free Report) last posted its earnings results on Wednesday, July 23rd. The company reported $3.13 earnings per share for the quarter, missing analysts' consensus estimates of $3.28 by ($0.15). The business had revenue of $608.00 million during the quarter, compared to analysts' expectations of $669.23 million. Mr. Cooper Group had a net margin of 25.38% and a return on equity of 15.66%. The company's revenue for the quarter was up 8.6% compared to the same quarter last year. During the same period last year, the business posted $3.10 earnings per share. Equities analysts forecast that Mr. Cooper Group Inc will post 13.17 EPS for the current fiscal year.

Insider Buying and Selling at Mr. Cooper Group

In related news, CEO Jesse K. Bray sold 30,000 shares of the stock in a transaction dated Friday, August 1st. The shares were sold at an average price of $174.72, for a total value of $5,241,600.00. Following the completion of the transaction, the chief executive officer owned 663,187 shares of the company's stock, valued at approximately $115,872,032.64. This trade represents a 4.33% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. 2.33% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Mr. Cooper Group

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. 140 Summer Partners LP bought a new position in shares of Mr. Cooper Group during the 4th quarter valued at approximately $69,959,000. Cercano Management LLC boosted its stake in shares of Mr. Cooper Group by 66.5% during the 4th quarter. Cercano Management LLC now owns 790,753 shares of the company's stock worth $75,920,000 after purchasing an additional 315,801 shares during the period. GAMMA Investing LLC grew its holdings in Mr. Cooper Group by 14,148.0% during the 1st quarter. GAMMA Investing LLC now owns 311,319 shares of the company's stock valued at $37,234,000 after purchasing an additional 309,134 shares during the last quarter. Alpine Associates Management Inc. grew its holdings in Mr. Cooper Group by 287.7% during the 2nd quarter. Alpine Associates Management Inc. now owns 347,340 shares of the company's stock valued at $51,827,000 after purchasing an additional 257,740 shares during the last quarter. Finally, Invesco Ltd. lifted its stake in Mr. Cooper Group by 11.8% in the first quarter. Invesco Ltd. now owns 2,013,536 shares of the company's stock worth $240,819,000 after purchasing an additional 213,167 shares during the last quarter. 89.82% of the stock is currently owned by hedge funds and other institutional investors.

About Mr. Cooper Group

Mr. Cooper Group Inc, together with its subsidiaries, operates as a non-bank servicer of residential mortgage loans in the United States. The company operates through Servicing and Originations segments. The Servicing segment performs activities on behalf of investors or owners of the underlying mortgages and mortgage servicing rights, including collecting and disbursing borrower payments, investor reporting, customer service, modifying loans, performing collections, foreclosures, and the sale of real estate owned.