Stewart Information Services (NYSE:STC) Cut to Hold at Wall Street Zen

Key Points

• Wall Street Zen downgraded Stewart Information Services from "buy" to "hold," but the consensus rating remains a Buy with an average price target of $80.00 from analysts.
• The company beat quarterly expectations, reporting $1.65 EPS versus $1.35 expected and $794.4M revenue (up 18.7% year-over-year), with analysts forecasting about 6.29 EPS for the current year.
• Shares trade around $64.55 (market cap ~$1.96B, P/E ~16) — below the $80 target — and a director recently bought 1,000 shares at $65.34 while institutional investors own ~96.9% of the stock.

Stewart Information Services (NYSE:STC - Get Free Report) was downgraded by research analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a report issued on Saturday.

Several other analysts have also issued reports on STC. Weiss Ratings restated a "buy (b)" rating on shares of Stewart Information Services in a research report on Friday, March 27th. Citizens Jmp assumed coverage on shares of Stewart Information Services in a research report on Monday, February 2nd. They set a "market outperform" rating and a $80.00 price target for the company. Keefe, Bruyette & Woods cut their price target on shares of Stewart Information Services from $82.00 to $78.00 and set an "outperform" rating for the company in a research report on Friday. Finally, Stephens upgraded shares of Stewart Information Services from an "equal weight" rating to an "overweight" rating and set a $82.00 price target for the company in a research report on Friday, February 27th. Four research analysts have rated the stock with a Buy rating, According to MarketBeat.com, the stock presently has a consensus rating of "Buy" and an average price target of $80.00.

Stewart Information Services Stock Performance

NYSE STC opened at $64.55 on Friday. The company has a 50-day simple moving average of $65.59 and a two-hundred day simple moving average of $69.24. The company has a quick ratio of 2.21, a current ratio of 2.21 and a debt-to-equity ratio of 0.39. Stewart Information Services has a 12-month low of $56.39 and a 12-month high of $78.61. The firm has a market cap of $1.96 billion, a price-to-earnings ratio of 15.98 and a beta of 1.03.

Stewart Information Services (NYSE:STC - Get Free Report) last posted its quarterly earnings results on Wednesday, February 4th. The insurance provider reported $1.65 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.35 by $0.30. Stewart Information Services had a net margin of 3.95% and a return on equity of 9.32%. The business had revenue of $794.40 million during the quarter, compared to analyst estimates of $774.05 million. During the same period in the prior year, the business posted $1.12 earnings per share. The company's revenue was up 18.7% on a year-over-year basis. On average, equities analysts forecast that Stewart Information Services will post 6.29 EPS for the current year.

Insider Activity

In other Stewart Information Services news, Director C Allen Bradley, Jr. bought 1,000 shares of the business's stock in a transaction that occurred on Tuesday, March 10th. The shares were bought at an average cost of $65.34 per share, with a total value of $65,340.00. Following the completion of the purchase, the director directly owned 21,243 shares of the company's stock, valued at $1,388,017.62. This trade represents a 4.94% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link. 1.50% of the stock is owned by insiders.

Institutional Trading of Stewart Information Services

Several large investors have recently modified their holdings of STC. Caitlin John LLC bought a new stake in shares of Stewart Information Services in the third quarter worth about $31,000. Caitong International Asset Management Co. Ltd bought a new stake in shares of Stewart Information Services in the fourth quarter worth about $43,000. GAMMA Investing LLC grew 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 worth $54,000 after purchasing an additional 430 shares during the last quarter. Exchange Traded Concepts LLC bought a new stake in shares of Stewart Information Services in the fourth quarter worth about $65,000. Finally, Horizon Investments LLC bought a new stake in shares of Stewart Information Services in the fourth quarter worth about $65,000. 96.90% of the stock is owned by institutional investors.

Stewart Information Services Company Profile

Stewart Information Services Corporation NYSE: STC is a publicly traded provider of title insurance and real estate transaction services. The company underwrites title insurance policies for residential and commercial properties, offering lenders and property owners protection against title defects and liens. Beyond title insurance, Stewart delivers a range of ancillary services, including closing and escrow administration, property valuation, and risk mitigation solutions designed to streamline the mortgage process and reduce operational complexity for clients.

In addition to core title and settlement services, Stewart offers technology-driven products aimed at enhancing transparency and efficiency in real estate transactions.

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