Stewart Information Services Corporation (NYSE:STC) Short Interest Up 55.2% in September

Key Points

• Stewart Information Services Corporation reported a significant increase in short interest, with a rise of 55.2% in September, totaling 898,400 shares.
• The company has seen recent positive analyst activity, with ratings from firms like Weiss Ratings and Wall Street Zen, culminating in a consensus rating of "Moderate Buy" with an average price target of $77.50.
• Stewart Information Services declared an increased quarterly dividend of $0.525, marking a positive change from the previous dividend of $0.50, which represents an annualized yield of 3.1%.

Stewart Information Services Corporation (NYSE:STC - Get Free Report) was the recipient of a significant growth in short interest in the month of September. As of September 15th, there was short interest totaling 898,400 shares, a growth of 55.2% from the August 31st total of 578,800 shares. Based on an average daily trading volume, of 187,700 shares, the days-to-cover ratio is presently 4.8 days. Based on an average daily trading volume, of 187,700 shares, the days-to-cover ratio is presently 4.8 days.

Analyst Upgrades and Downgrades

A number of research firms have recently issued reports on STC. Weiss Ratings restated a "buy (b-)" rating on shares of Stewart Information Services in a report on Saturday, September 27th. Wall Street Zen raised Stewart Information Services from a "hold" rating to a "buy" rating in a research note on Saturday, August 16th. Finally, Keefe, Bruyette & Woods lifted their target price on Stewart Information Services from $72.00 to $73.00 and gave the company a "market perform" rating in a research note on Monday, July 28th. Two analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to MarketBeat.com, Stewart Information Services presently has a consensus rating of "Moderate Buy" and an average price target of $77.50.

Insider Activity at Stewart Information Services

In other news, insider Brad Rable sold 5,694 shares of Stewart Information Services stock in a transaction dated Monday, July 28th. The stock was sold at an average price of $65.32, for a total transaction of $371,932.08. Following the sale, the insider directly owned 23,872 shares of the company's stock, valued at approximately $1,559,319.04. The trade was a 19.26% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO David C. Hisey sold 2,224 shares of the stock in a transaction that occurred on Friday, July 25th. The stock was sold at an average price of $64.39, for a total value of $143,203.36. Following the transaction, the chief financial officer directly owned 58,359 shares in the company, valued at approximately $3,757,736.01. This represents a 3.67% decrease in their position. The disclosure for this sale can be found here. 1.50% of the stock is currently owned by company insiders.

Institutional Trading of Stewart Information Services

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. GAMMA Investing LLC lifted its stake in shares of Stewart Information Services by 138.3% in the third quarter. GAMMA Investing LLC now owns 741 shares of the insurance provider's stock valued at $54,000 after buying an additional 430 shares during the period. Farther Finance Advisors LLC increased its position in shares of Stewart Information Services by 2,735.8% during the second quarter. Farther Finance Advisors LLC now owns 1,503 shares of the insurance provider's stock valued at $98,000 after purchasing an additional 1,450 shares during the period. Tower Research Capital LLC TRC lifted its position in Stewart Information Services by 70.0% in the second quarter. Tower Research Capital LLC TRC now owns 2,271 shares of the insurance provider's stock worth $148,000 after purchasing an additional 935 shares during the period. State of Wyoming boosted its position in shares of Stewart Information Services by 216.1% during the 2nd quarter. State of Wyoming now owns 2,658 shares of the insurance provider's stock valued at $173,000 after acquiring an additional 1,817 shares in the last quarter. Finally, BNP Paribas Financial Markets raised its position in Stewart Information Services by 46.6% in the second quarter. BNP Paribas Financial Markets now owns 3,094 shares of the insurance provider's stock worth $201,000 after purchasing an additional 984 shares in the last quarter. 96.90% of the stock is currently owned by institutional investors and hedge funds.

Stewart Information Services Stock Down 2.5%

Shares of NYSE:STC traded down $1.75 on Tuesday, reaching $67.99. The company had a trading volume of 108,806 shares, compared to its average volume of 180,289. The stock has a market capitalization of $1.90 billion, a P/E ratio of 21.86 and a beta of 0.96. The stock has a 50-day moving average price of $71.70 and a 200 day moving average price of $66.90. Stewart Information Services has a twelve month low of $56.39 and a twelve month high of $78.44. The company has a quick ratio of 1.91, a current ratio of 1.91 and a debt-to-equity ratio of 0.31.

Stewart Information Services (NYSE:STC - Get Free Report) last posted its earnings results on Wednesday, July 23rd. The insurance provider reported $1.34 earnings per share for the quarter, topping the consensus estimate of $1.30 by $0.04. Stewart Information Services had a return on equity of 7.71% and a net margin of 3.29%.The firm had revenue of $721.50 million during the quarter, compared to analyst estimates of $671.90 million. During the same period in the previous year, the company earned $0.91 EPS. The company's revenue for the quarter was up 19.9% on a year-over-year basis. On average, equities analysts expect that Stewart Information Services will post 6.29 EPS for the current year.

Stewart Information Services Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, September 30th. Stockholders of record on Tuesday, September 16th were given a $0.525 dividend. This is a positive change from Stewart Information Services's previous quarterly dividend of $0.50. This represents a $2.10 annualized dividend and a dividend yield of 3.1%. The ex-dividend date of this dividend was Tuesday, September 16th. Stewart Information Services's dividend payout ratio (DPR) is currently 67.52%.

Stewart Information Services Company Profile

Stewart Information Services Corporation, through its subsidiaries, provides title insurance and real estate transaction related services in the United States and internationally. The company involves in searching, examining, closing, and insuring the condition of the title to real property. It also offers home and personal insurance services; services for tax-deferred exchanges; and digital customer engagement platform services.

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