Q3 EPS Estimates for MGIC Investment Cut by Zacks Research

Key Points

• Zacks Research lowered MGIC Investment’s Q3 2026 EPS estimate to $0.77 from $0.78, while full-year 2026 earnings remain projected at $3.21 per share.
• Analysts maintain a consensus “Hold” rating with a $30.60 price target; the stock recently traded at $31.16 after reporting quarterly EPS of $0.87, ahead of the $0.76 consensus.
• MGIC Investment increased its quarterly dividend to $0.17, representing a $0.68 annualized payout and a 2.2% yield, and has authorization to repurchase up to $750 million, or 12.4% of shares.

MGIC Investment Corporation (NYSE:MTG - Free Report) - Stock analysts at Zacks Research cut their Q3 2026 earnings per share (EPS) estimates for shares of MGIC Investment in a report released on Tuesday, August 18th. Zacks Research analyst Team now expects that the insurance provider will post earnings per share of $0.77 for the quarter, down from their prior forecast of $0.78. The consensus estimate for MGIC Investment's current full-year earnings is $3.21 per share. Zacks Research also issued estimates for MGIC Investment's Q4 2026 earnings at $0.81 EPS, FY2026 earnings at $3.21 EPS, Q2 2027 earnings at $0.82 EPS, Q3 2027 earnings at $0.81 EPS, Q4 2027 earnings at $0.83 EPS and Q2 2028 earnings at $0.90 EPS.

A number of other research analysts have also issued reports on MTG. Weiss Ratings upgraded shares of MGIC Investment from a "buy (b)" rating to a "buy (b+)" rating in a research note on Tuesday, July 7th. Roth Capital reissued a "buy" rating and set a $35.00 price objective on shares of MGIC Investment in a report on Thursday, July 30th. Barclays cut their target price on MGIC Investment from $29.00 to $28.00 and set an "equal weight" rating on the stock in a research report on Friday, May 1st. Royal Bank Of Canada boosted their price target on MGIC Investment from $28.00 to $32.00 and gave the company a "sector perform" rating in a research note on Friday, July 31st. Finally, Keefe, Bruyette & Woods increased their price objective on MGIC Investment from $29.00 to $30.00 and gave the company a "market perform" rating in a report on Friday, July 31st. Two analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company's stock. According to MarketBeat.com, the stock currently has a consensus rating of "Hold" and a consensus price target of $30.60.

MGIC Investment Stock Performance

Shares of MGIC Investment stock opened at $31.16 on Wednesday. The firm has a market capitalization of $6.39 billion, a P/E ratio of 9.74, a PEG ratio of 0.80 and a beta of 0.66. The company has a quick ratio of 1.19, a current ratio of 1.19 and a debt-to-equity ratio of 0.13. The company has a 50 day moving average price of $28.69 and a 200 day moving average price of $27.32. MGIC Investment has a 52 week low of $24.69 and a 52 week high of $31.89.

MGIC Investment (NYSE:MTG - Get Free Report) last released its quarterly earnings results on Wednesday, July 29th. The insurance provider reported $0.87 EPS for the quarter, beating analysts' consensus estimates of $0.76 by $0.11. MGIC Investment had a return on equity of 13.90% and a net margin of 59.20%.The company had revenue of $295.39 million during the quarter, compared to analysts' expectations of $297.54 million. During the same period last year, the business posted $0.82 earnings per share. The firm's revenue was down 2.9% compared to the same quarter last year.

MGIC Investment declared that its Board of Directors has approved a share repurchase plan on Thursday, April 23rd that permits the company to buyback $750.00 million in shares. This buyback authorization permits the insurance provider to buy up to 12.4% of its shares through open market purchases. Shares buyback plans are usually a sign that the company's board of directors believes its shares are undervalued.

MGIC Investment Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, August 20th. Shareholders of record on Wednesday, August 5th will be issued a $0.17 dividend. The ex-dividend date of this dividend is Wednesday, August 5th. This is a positive change from MGIC Investment's previous quarterly dividend of $0.15. This represents a $0.68 annualized dividend and a yield of 2.2%. MGIC Investment's dividend payout ratio is currently 21.25%.

Insider Activity

In other MGIC Investment news, COO Salvatore A. Miosi sold 30,000 shares of MGIC Investment stock in a transaction dated Monday, June 8th. The stock was sold at an average price of $25.38, for a total transaction of $761,400.00. Following the completion of the transaction, the chief operating officer owned 560,951 shares in the company, valued at approximately $14,236,936.38. This trade represents a 5.08% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Paula C. Maggio sold 20,000 shares of the business's stock in a transaction dated Friday, August 7th. The shares were sold at an average price of $30.30, for a total value of $606,000.00. Following the completion of the transaction, the executive vice president directly owned 149,620 shares of the company's stock, valued at approximately $4,533,486. This trade represents a 11.79% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 70,937 shares of company stock worth $1,902,340 over the last ninety days. 1.34% of the stock is owned by insiders.

Institutional Investors Weigh In On MGIC Investment

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. Newbridge Financial Services Group Inc. acquired a new position in MGIC Investment during the third quarter worth $28,000. SBI Securities Co. Ltd. grew its position in shares of MGIC Investment by 40.3% in the fourth quarter. SBI Securities Co. Ltd. now owns 1,461 shares of the insurance provider's stock valued at $43,000 after purchasing an additional 420 shares during the period. Geneos Wealth Management Inc. grew its position in shares of MGIC Investment by 88.0% in the first quarter. Geneos Wealth Management Inc. now owns 1,745 shares of the insurance provider's stock valued at $43,000 after purchasing an additional 817 shares during the period. Mitsubishi UFJ Asset Management Co. Ltd. purchased a new stake in shares of MGIC Investment during the second quarter worth about $62,000. Finally, Harbor Investment Advisory LLC increased its stake in shares of MGIC Investment by 613.0% during the second quarter. Harbor Investment Advisory LLC now owns 2,574 shares of the insurance provider's stock worth $73,000 after purchasing an additional 2,213 shares in the last quarter. Institutional investors and hedge funds own 95.58% of the company's stock.

About MGIC Investment

MGIC Investment Corporation NYSE: MTG is a leading provider of private mortgage insurance in the United States. Established in 1957 as the nation's first private mortgage insurer, MGIC helps lenders manage credit risk and facilitates homeownership by protecting mortgage loans against default. Headquartered in Milwaukee, Wisconsin, the company operates through its principal subsidiary, Mortgage Guaranty Insurance Corporation, and maintains relationships with a broad network of originators and servicers nationwide.

The company's primary business activity involves issuing mortgage insurance policies that enable borrowers to purchase homes with down payments below traditional lending thresholds.

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