Essent Group Ltd. (NYSE:ESNT) Short Interest Up 42.5% in August

Key Points

• Short interest in Essent Group Ltd. rose by 42.5% in August, totaling 2,180,000 shares, representing 2.3% of its shares sold short, with a short-interest ratio of 3.2 days.
• The company reported earnings of $1.93 per share for the last quarter, exceeding analysts' expectations, and had a revenue of $319.14 million.
• Essent Group declared a quarterly dividend of $0.31 per share, yielding an annualized dividend of $1.24, which equates to a 2.0% yield.

Essent Group Ltd. (NYSE:ESNT - Get Free Report) saw a large growth in short interest in the month of August. As of August 31st, there was short interest totaling 2,180,000 shares, a growth of 42.5% from the August 15th total of 1,530,000 shares. Based on an average trading volume of 682,800 shares, the days-to-cover ratio is currently 3.2 days. Currently, 2.3% of the company's shares are sold short. Currently, 2.3% of the company's shares are sold short. Based on an average trading volume of 682,800 shares, the days-to-cover ratio is currently 3.2 days.

Wall Street Analysts Forecast Growth

Several research analysts have commented on the company. JPMorgan Chase & Co. set a $60.00 price target on Essent Group in a research report on Friday, August 8th. Barclays lifted their price target on Essent Group from $58.00 to $59.00 and gave the stock an "equal weight" rating in a research report on Tuesday, July 8th. The Goldman Sachs Group set a $60.00 price target on Essent Group and gave the stock a "neutral" rating in a research report on Friday, August 8th. Royal Bank Of Canada reaffirmed an "outperform" rating on shares of Essent Group in a research report on Friday, August 8th. Finally, Compass Point reaffirmed a "buy" rating on shares of Essent Group in a research report on Friday, August 8th. Four equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company's stock. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $63.67.

Essent Group Stock Down 0.4%

NYSE ESNT traded down $0.24 on Friday, hitting $65.24. 2,326,089 shares of the stock traded hands, compared to its average volume of 518,377. The stock has a 50-day moving average of $60.51 and a 200 day moving average of $58.48. Essent Group has a twelve month low of $51.61 and a twelve month high of $65.90. The company has a market capitalization of $6.43 billion, a P/E ratio of 9.52, a price-to-earnings-growth ratio of 2.84 and a beta of 0.86. The company has a current ratio of 1.24, a quick ratio of 1.24 and a debt-to-equity ratio of 0.09.

Essent Group (NYSE:ESNT - Get Free Report) last announced its quarterly earnings data on Friday, August 8th. The financial services provider reported $1.93 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.68 by $0.25. The firm had revenue of $319.14 million for the quarter, compared to analysts' expectations of $317.46 million. Essent Group had a return on equity of 12.66% and a net margin of 56.36%.Essent Group's revenue for the quarter was up 2.0% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $1.91 earnings per share. As a group, analysts expect that Essent Group will post 6.88 earnings per share for the current fiscal year.

Essent Group Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Wednesday, September 10th. Shareholders of record on Friday, August 29th were paid a dividend of $0.31 per share. This represents a $1.24 dividend on an annualized basis and a yield of 1.9%. The ex-dividend date of this dividend was Friday, August 29th. Essent Group's dividend payout ratio (DPR) is presently 18.10%.

Insider Activity at Essent Group

In other Essent Group news, Director William Spiegel sold 6,451 shares of the stock in a transaction dated Wednesday, August 13th. The stock was sold at an average price of $62.74, for a total value of $404,735.74. Following the sale, the director owned 26,252 shares of the company's stock, valued at $1,647,050.48. This trade represents a 19.73% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CFO David B. Weinstock sold 2,500 shares of the stock in a transaction dated Monday, September 15th. The shares were sold at an average price of $63.33, for a total value of $158,325.00. Following the completion of the sale, the chief financial officer directly owned 24,865 shares in the company, valued at $1,574,700.45. This represents a 9.14% decrease in their position. The disclosure for this sale can be found here. Insiders sold 14,950 shares of company stock worth $931,001 in the last three months. 2.90% of the stock is owned by company insiders.

Institutional Investors Weigh In On Essent Group

Large investors have recently modified their holdings of the stock. Osaic Holdings Inc. lifted its holdings in shares of Essent Group by 285.5% in the second quarter. Osaic Holdings Inc. now owns 5,123 shares of the financial services provider's stock valued at $301,000 after purchasing an additional 3,794 shares in the last quarter. Squarepoint Ops LLC increased its stake in shares of Essent Group by 21.7% in the second quarter. Squarepoint Ops LLC now owns 28,734 shares of the financial services provider's stock worth $1,745,000 after purchasing an additional 5,119 shares during the period. Provident Investment Management Inc. increased its stake in shares of Essent Group by 2.7% in the second quarter. Provident Investment Management Inc. now owns 18,746 shares of the financial services provider's stock worth $1,138,000 after purchasing an additional 491 shares during the period. Tower Research Capital LLC TRC increased its stake in Essent Group by 154.2% during the second quarter. Tower Research Capital LLC TRC now owns 16,851 shares of the financial services provider's stock valued at $1,023,000 after acquiring an additional 10,223 shares during the period. Finally, Corient Private Wealth LLC increased its stake in Essent Group by 119.0% during the second quarter. Corient Private Wealth LLC now owns 18,641 shares of the financial services provider's stock valued at $1,132,000 after acquiring an additional 10,128 shares during the period. 93.00% of the stock is owned by institutional investors.

About Essent Group

Essent Group Ltd., through its subsidiaries, provides private mortgage insurance and reinsurance for mortgages secured by residential properties located in the United States. Its mortgage insurance products include primary, pool, and master policy. The company also provides information technology maintenance and development services; customer support-related services; underwriting consulting; and contract underwriting services, as well as risk management products and title insurance and settlement services.