Donegal Group (NASDAQ:DGICB) Shares Gap Down - Time to Sell?

Key Points

• Donegal Group shares gapped down from a prior close of $17.49 to open at $16.77, later trading at $17.19 on light volume.
• Analyst sentiment remains cautious: Weiss Ratings reaffirmed a “hold (c)” rating, and the stock’s consensus rating is “Hold.”
• The company recently exceeded quarterly earnings expectations, reporting $0.49 in EPS versus $0.42 expected, while maintaining a quarterly dividend of $0.175, equivalent to a 4.0% annualized yield.

Shares of Donegal Group, Inc. (NASDAQ:DGICB - Get Free Report) gapped down before the market opened on Tuesday. The stock had previously closed at $17.49, but opened at $16.77. Donegal Group shares last traded at $17.19, with a volume of 814 shares trading hands.

Wall Street Analyst Weigh In

Separately, Weiss Ratings reissued a "hold (c)" rating on shares of Donegal Group in a report on Monday, September 21st. One analyst has rated the stock with a Hold rating, According to MarketBeat, the stock currently has an average rating of "Hold".

Donegal Group Price Performance

The firm has a market capitalization of $648.45 million, a price-to-earnings ratio of 9.81 and a beta of 0.01. The company has a current ratio of 0.39, a quick ratio of 0.39 and a debt-to-equity ratio of 0.05. The business has a 50-day moving average price of $22.29 and a two-hundred day moving average price of $20.65.

Donegal Group (NASDAQ:DGICB - Get Free Report) last issued its quarterly earnings data on Thursday, July 30th. The insurance provider reported $0.49 EPS for the quarter, topping analysts' consensus estimates of $0.42 by $0.07. The firm had revenue of $232.25 million during the quarter, compared to the consensus estimate of $231.53 million. Donegal Group had a return on equity of 10.65% and a net margin of 7.38%.

Donegal Group Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Friday, August 14th. Investors of record on Friday, July 31st were issued a $0.1750 dividend. This represents a $0.70 dividend on an annualized basis and a dividend yield of 4.0%. The ex-dividend date of this dividend was Friday, July 31st. Donegal Group's dividend payout ratio (DPR) is 39.33%.

Institutional Inflows and Outflows

An institutional investor recently bought a new stake in Donegal Group stock. Lewis Asset Management LLC bought a new stake in Donegal Group, Inc. (NASDAQ:DGICB - Free Report) during the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The firm bought 11,469 shares of the insurance provider's stock, valued at approximately $203,000. 1.19% of the stock is owned by institutional investors.

Donegal Group Company Profile

Donegal Group Inc is an insurance holding company that provides property and casualty insurance through its insurance subsidiaries. The company primarily serves individuals, families, farmers, and businesses through a network of independent insurance agents.

Its products generally include personal automobile, homeowners, farmowners, and other personal insurance policies, along with commercial automobile, commercial property, businessowners, workers' compensation, and related commercial coverage.

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