Roth Capital Forecasts Higher Earnings for MGIC Investment

MGIC Investment Co. (NYSE:MTG - Free Report) - Analysts at Roth Capital boosted their Q2 2025 earnings per share estimates for shares of MGIC Investment in a research note issued to investors on Wednesday, May 21st. Roth Capital analyst H. Fong now forecasts that the insurance provider will post earnings per share of $0.69 for the quarter, up from their prior estimate 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.

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

Several other brokerages have also recently weighed in on MTG. Barclays raised their target price on MGIC Investment from $25.00 to $26.00 and gave the company an "equal weight" rating in a research note on Wednesday, February 5th. Keefe, Bruyette & Woods cut their price target on MGIC Investment from $28.00 to $26.00 and set a "market perform" rating for the company in a research note on Tuesday, April 8th. Compass Point increased their price objective on MGIC Investment from $27.00 to $28.00 and gave the company a "neutral" rating in a report on Friday. Finally, UBS Group raised their target price on MGIC Investment from $25.00 to $26.00 and gave the company a "neutral" rating in a report on Wednesday, February 19th. One research analyst has rated the stock with a sell rating, five have given a hold rating and two have assigned a buy rating to the stock. According to MarketBeat.com, the stock has a consensus rating of "Hold" and an average price target of $26.63.

MGIC Investment Stock Performance

Shares of NYSE MTG traded down $0.12 during trading on Thursday, reaching $26.02. The stock had a trading volume of 1,365,109 shares, compared to its average volume of 1,800,877. MGIC Investment has a one year low of $20.11 and a one year high of $26.92. The company has a debt-to-equity ratio of 0.12, a quick ratio of 1.25 and a current ratio of 0.48. The stock has a market cap of $6.18 billion, a PE ratio of 8.97 and a beta of 0.91. The firm's 50 day moving average price is $24.80 and its two-hundred day moving average price is $24.57.

Institutional Trading of MGIC Investment

Several hedge funds have recently added to or reduced their stakes in MTG. Norges Bank bought a new position in shares of MGIC Investment in the 4th quarter valued at $85,908,000. First Trust Advisors LP boosted its holdings in MGIC Investment by 22.4% in the fourth quarter. First Trust Advisors LP now owns 16,008,489 shares of the insurance provider's stock worth $379,561,000 after acquiring an additional 2,928,595 shares in the last quarter. Millennium Management LLC raised its stake in shares of MGIC Investment by 913.6% in the first quarter. Millennium Management LLC now owns 2,300,596 shares of the insurance provider's stock worth $57,009,000 after purchasing an additional 2,073,633 shares during the last quarter. Caisse DE Depot ET Placement DU Quebec raised its stake in shares of MGIC Investment by 292.0% in the fourth quarter. Caisse DE Depot ET Placement DU Quebec now owns 2,072,629 shares of the insurance provider's stock worth $49,142,000 after purchasing an additional 1,543,908 shares during the last quarter. Finally, Jane Street Group LLC increased its position in shares of MGIC Investment by 5,891.9% during the first quarter. Jane Street Group LLC now owns 1,373,050 shares of the insurance provider's stock valued at $34,024,000 after acquiring an additional 1,350,135 shares during the last quarter. 95.58% of the stock is owned by institutional investors and hedge funds.

MGIC Investment Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, May 21st. Stockholders of record on Thursday, May 8th were given a $0.13 dividend. 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 2.00%. MGIC Investment's payout ratio is 17.28%.

MGIC Investment declared that its board has approved a share buyback program on Thursday, April 24th that authorizes the company to repurchase $750.00 million in shares. This repurchase authorization authorizes the insurance provider to repurchase up to 12.5% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company's board of directors believes its shares are undervalued.

MGIC Investment Company Profile

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.