Donegal Group (NASDAQ:DGICB) Shares Gap Up - Here's What Happened

Key Points

• Donegal Group shares opened higher, rising from a prior close of $23.17 to $24.55 before last trading at $23.8270 on very light volume.
• The insurer’s latest quarterly results exceeded expectations, with earnings per share of $0.49 versus the $0.42 consensus and revenue of $232.25 million versus $231.53 million expected.
• Analysts maintain a consensus “Hold” rating. Donegal also declared a quarterly dividend of $0.175, equivalent to $0.70 annually and a 2.9% yield.

Donegal Group, Inc. (NASDAQ:DGICB - Get Free Report)'s share price gapped up prior to trading on Thursday . The stock had previously closed at $23.17, but opened at $24.55. Donegal Group shares last traded at $23.8270, with a volume of 132 shares traded.

Wall Street Analyst Weigh In

Separately, Weiss Ratings reissued a "hold (c)" rating on shares of Donegal Group in a report on Wednesday, June 24th. One investment analyst has rated the stock with a Hold rating, According to MarketBeat.com, the stock currently has a consensus rating of "Hold".

Donegal Group Trading Up 0.7%

The company has a debt-to-equity ratio of 0.05, a quick ratio of 0.39 and a current ratio of 0.39. The firm has a 50-day moving average of $23.37 and a 200-day moving average of $19.86. The firm has a market capitalization of $889.02 million, a P/E ratio of 13.46 and a beta of 0.04.

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

Donegal Group Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, August 14th. Stockholders of record on Friday, July 31st were given a $0.175 dividend. This represents a $0.70 annualized dividend and a dividend yield of 2.9%. The ex-dividend date of this dividend was Friday, July 31st. Donegal Group's payout ratio is currently 39.33%.

Hedge Funds Weigh In On Donegal Group

A hedge fund recently bought a new position in Donegal Group stock. Raymond James Financial Inc. bought a new position in Donegal Group, Inc. (NASDAQ:DGICB - Free Report) during the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm bought 5,231 shares of the insurance provider's stock, valued at approximately $93,000. 1.19% of the stock is owned by institutional investors and hedge funds.

About Donegal Group

Donegal Group Inc, an insurance holding company, provides personal and commercial lines of property and casualty insurance to businesses and individuals in the Mid-Atlantic, Midwestern, New England, and southern states. It operates through four segments: Investment Function, Personal Lines of Insurance, and Commercial Lines of Insurance. The company offers private passenger automobile policies that provide protection against liability for bodily injury and property damage arising from automobile accidents, as well as protection against loss from damage to automobiles.

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