Roth Capital Forecasts Stronger Earnings for MGIC Investment

MGIC Investment Co. (NYSE:MTG - Free Report) - Roth Capital boosted their Q2 2025 EPS estimates for shares of MGIC Investment in a note issued to investors on Wednesday, May 21st. Roth Capital analyst H. Fong now expects that the insurance provider will post earnings of $0.69 per share for the quarter, up from their prior forecast of $0.67. The consensus estimate for MGIC Investment's current full-year earnings is $2.71 per share. Roth Capital also issued estimates for MGIC Investment's Q3 2025 earnings at $0.71 EPS, Q4 2025 earnings at $0.74 EPS, FY2025 earnings at $2.90 EPS, Q1 2026 earnings at $0.74 EPS, Q2 2026 earnings at $0.76 EPS, Q3 2026 earnings at $0.79 EPS and FY2026 earnings at $3.10 EPS.

Other equities research analysts have also issued research reports about the company. Barclays upped their target price on MGIC Investment from $25.00 to $26.00 and gave the company an "equal weight" rating in a research report on Wednesday, February 5th. UBS Group boosted their price objective on shares of MGIC Investment from $25.00 to $26.00 and gave the company a "neutral" rating in a report on Wednesday, February 19th. Keefe, Bruyette & Woods dropped their target price on MGIC Investment from $28.00 to $26.00 and set a "market perform" rating for the company in a research report on Tuesday, April 8th. Finally, Compass Point reissued a "neutral" rating and set a $28.00 price objective (up from $27.00) on shares of MGIC Investment in a research report on Friday. One research analyst has rated the stock with a sell rating, five have issued a hold rating and two have issued a buy rating to the stock. According to data from MarketBeat, the stock has an average rating of "Hold" and a consensus target price of $26.63.

MGIC Investment Trading Up 1.8%

Shares of NYSE:MTG traded up $0.48 on Thursday, hitting $26.47. 384,402 shares of the company's stock were exchanged, compared to its average volume of 1,795,299. The company has a debt-to-equity ratio of 0.12, a current ratio of 0.48 and a quick ratio of 1.25. The business's 50 day simple moving average is $24.85 and its two-hundred day simple moving average is $24.58. The stock has a market capitalization of $6.28 billion, a price-to-earnings ratio of 9.13 and a beta of 0.91. MGIC Investment has a 12 month low of $20.11 and a 12 month high of $26.92.

MGIC Investment (NYSE:MTG - Get Free Report) last issued its earnings results on Wednesday, April 30th. The insurance provider reported $0.75 earnings per share for the quarter, topping analysts' consensus estimates of $0.66 by $0.09. The firm had revenue of $306.23 million during the quarter, compared to analyst estimates of $306.66 million. MGIC Investment had a net margin of 63.18% and a return on equity of 14.86%. MGIC Investment's revenue for the quarter was up 4.0% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.65 earnings per share.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the company. Janney Montgomery Scott LLC lifted its position in shares of MGIC Investment by 33.5% during the 4th quarter. Janney Montgomery Scott LLC now owns 40,398 shares of the insurance provider's stock worth $958,000 after purchasing an additional 10,130 shares during the last quarter. Asset Management One Co. Ltd. grew its position in MGIC Investment by 311.0% during the 4th quarter. Asset Management One Co. Ltd. now owns 66,493 shares of the insurance provider's stock worth $1,575,000 after acquiring an additional 50,316 shares during the last quarter. Empowered Funds LLC bought a new stake in MGIC Investment during the 4th quarter worth approximately $1,166,000. Allianz Asset Management GmbH grew its position in MGIC Investment by 8.2% during the 4th quarter. Allianz Asset Management GmbH now owns 5,495,115 shares of the insurance provider's stock worth $130,289,000 after acquiring an additional 415,586 shares during the last quarter. Finally, Wells Fargo & Company MN boosted its position in MGIC Investment by 14.8% in the 4th quarter. Wells Fargo & Company MN now owns 90,987 shares of the insurance provider's stock valued at $2,157,000 after buying an additional 11,721 shares during the last quarter. Hedge funds and other institutional investors own 95.58% of the company's stock.

MGIC Investment Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Wednesday, May 21st. Stockholders of record on Thursday, May 8th were issued a dividend of $0.13 per share. The ex-dividend date of this dividend was Thursday, May 8th. This represents a $0.52 dividend on an annualized basis and a dividend yield of 1.96%. MGIC Investment's dividend payout ratio is 17.28%.

MGIC Investment announced that its Board of Directors has approved a stock buyback program on Thursday, April 24th that allows the company to buyback $750.00 million in outstanding shares. This buyback authorization allows the insurance provider to buy up to 12.5% of its shares through open market purchases. Shares buyback programs are often a sign that the company's management believes its stock is undervalued.

About MGIC Investment

MGIC Investment Corporation, through its subsidiaries, provides private mortgage insurance, other mortgage credit risk management solutions, and ancillary services to lenders and government sponsored entities in the United States, the District of Columbia, Puerto Rico, and Guam. The company offers primary mortgage insurance that provides mortgage default protection on individual loans, as well as covers unpaid loan principal, delinquent interest, and various expenses associated with the default and subsequent foreclosure.