Radian Group (NYSE:RDN) EVP Edward Hoffman Sells 15,000 Shares

Key Points

• EVP Edward Hoffman sold 15,000 Radian shares on April 29 at an average price of $37 under a pre-arranged Rule 10b5-1 trading plan, generating $555,000 and reducing his stake by 12.13% to 108,708 shares.
• Radian beat quarterly expectations with EPS of $1.16 versus a $1.11 estimate and revenue of $300.51 million (up 2.7% year-over-year), reporting a 13.07% return on equity and a 46.99% net margin.
• The stock traded at $35.80 (down $1.51) with a market cap of $4.83 billion and a P/E of 8.63; the company pays a $1.02 annual dividend (2.8% yield) and carries an analyst consensus of Moderate Buy with an average price target of $40.67.

Radian Group Inc. (NYSE:RDN - Get Free Report) EVP Edward Hoffman sold 15,000 shares of the firm's stock in a transaction on Wednesday, April 29th. The shares were sold at an average price of $37.00, for a total transaction of $555,000.00. Following the completion of the transaction, the executive vice president directly owned 108,708 shares of the company's stock, valued at approximately $4,022,196. The trade was a 12.13% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Radian Group Price Performance

NYSE:RDN traded down $1.51 during trading hours on Thursday, hitting $35.80. The stock had a trading volume of 1,849,470 shares, compared to its average volume of 1,336,031. The firm has a market capitalization of $4.83 billion, a price-to-earnings ratio of 8.63, a P/E/G ratio of 1.93 and a beta of 0.77. Radian Group Inc. has a one year low of $29.32 and a one year high of $38.84. The company has a 50 day simple moving average of $34.07 and a two-hundred day simple moving average of $34.35. The company has a debt-to-equity ratio of 0.23, a current ratio of 3.40 and a quick ratio of 3.40.

Radian Group (NYSE:RDN - Get Free Report) last posted its quarterly earnings data on Thursday, February 19th. The insurance provider reported $1.16 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.11 by $0.05. Radian Group had a return on equity of 13.07% and a net margin of 46.99%.The company had revenue of $300.51 million during the quarter, compared to analyst estimates of $300.45 million. During the same quarter last year, the company earned $1.09 earnings per share. The firm's quarterly revenue was up 2.7% on a year-over-year basis. Research analysts forecast that Radian Group Inc. will post 4.72 earnings per share for the current fiscal year.

Radian Group Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, March 10th. Stockholders of record on Monday, February 23rd were given a dividend of $0.255 per share. This represents a $1.02 dividend on an annualized basis and a dividend yield of 2.8%. The ex-dividend date was Monday, February 23rd. Radian Group's dividend payout ratio (DPR) is 24.58%.

Analyst Upgrades and Downgrades

Several research analysts recently weighed in on RDN shares. Bank of America upgraded shares of Radian Group from an "underperform" rating to a "buy" rating and upped their price objective for the stock from $35.00 to $43.00 in a research report on Wednesday. Roth Mkm reissued a "buy" rating and issued a $45.00 price target on shares of Radian Group in a research note on Friday, January 2nd. UBS Group decreased their price target on shares of Radian Group from $41.00 to $39.00 and set a "neutral" rating on the stock in a report on Thursday, March 12th. Barclays lowered their price objective on shares of Radian Group from $40.00 to $37.00 and set an "equal weight" rating on the stock in a research report on Monday, April 6th. Finally, Zacks Research cut shares of Radian Group from a "strong-buy" rating to a "hold" rating in a research report on Monday, April 20th. Four analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. According to MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average price target of $40.67.

Hedge Funds Weigh In On Radian Group

A number of large investors have recently modified their holdings of the company. Vanguard Group Inc. boosted its stake in Radian Group by 2.7% in the third quarter. Vanguard Group Inc. now owns 16,272,597 shares of the insurance provider's stock worth $589,393,000 after buying an additional 427,473 shares in the last quarter. Charles Schwab Investment Management Inc. lifted its holdings in shares of Radian Group by 1.1% in the 4th quarter. Charles Schwab Investment Management Inc. now owns 5,959,463 shares of the insurance provider's stock worth $214,481,000 after acquiring an additional 63,437 shares during the last quarter. Dimensional Fund Advisors LP boosted its stake in shares of Radian Group by 5.0% in the 4th quarter. Dimensional Fund Advisors LP now owns 5,717,423 shares of the insurance provider's stock valued at $205,773,000 after purchasing an additional 274,222 shares in the last quarter. American Century Companies Inc. boosted its stake in shares of Radian Group by 4.4% in the 3rd quarter. American Century Companies Inc. now owns 4,019,483 shares of the insurance provider's stock valued at $145,586,000 after purchasing an additional 171,049 shares in the last quarter. Finally, Donald Smith & CO. Inc. grew its holdings in shares of Radian Group by 43.7% during the 4th quarter. Donald Smith & CO. Inc. now owns 3,012,255 shares of the insurance provider's stock valued at $108,411,000 after purchasing an additional 916,003 shares during the last quarter. 95.33% of the stock is owned by hedge funds and other institutional investors.

Radian Group Company Profile

Radian Group Inc NYSE: RDN is a leading provider of private mortgage insurance and related risk management solutions in the United States. Through its primary subsidiary, Radian Guaranty Inc, the company underwrites borrower-paid and lender-paid mortgage insurance that protects lenders and investors from potential losses arising from borrower defaults. Radian's core business focuses on supporting residential mortgage originations and servicing by offering capital-efficient credit protection and credit risk transfer strategies.

Beyond mortgage insurance, Radian offers an array of real estate transaction services under its Radian Title division.

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