Zacks Research Predicts Reduced Earnings for MGIC Investment

Key Points

• Zacks Research trimmed its Q1 2026 EPS estimate for MGIC to $0.73 (from $0.74) and issued updated forecasts including FY2026 EPS of $3.10 and FY2027 EPS of $3.39.
• MGIC reported $0.75 EPS for the most recent quarter, beating the $0.73 consensus, and shows solid profitability (ROE 14.33%, net margin 60.84%) while paying a quarterly dividend of $0.15 (annualized yield ~2.3%).
• Insiders have sold about 189,203 shares (~$5.06M) in the last three months; analysts' consensus is a Hold with an average price target of $28 while the stock trades near $26.35 with a P/E of 8.39.

MGIC Investment Corporation (NYSE:MTG - Free Report) - Investment analysts at Zacks Research reduced their Q1 2026 earnings estimates for shares of MGIC Investment in a note issued to investors on Tuesday, March 10th. Zacks Research analyst Team now expects that the insurance provider will post earnings per share of $0.73 for the quarter, down from their previous forecast of $0.74. The consensus estimate for MGIC Investment's current full-year earnings is $2.71 per share. Zacks Research also issued estimates for MGIC Investment's Q2 2026 earnings at $0.75 EPS, FY2026 earnings at $3.10 EPS, Q1 2027 earnings at $0.81 EPS, Q2 2027 earnings at $0.86 EPS, Q3 2027 earnings at $0.84 EPS and FY2027 earnings at $3.39 EPS.

MGIC Investment (NYSE:MTG - Get Free Report) last issued its quarterly earnings data on Monday, February 2nd. The insurance provider reported $0.75 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.73 by $0.02. MGIC Investment had a return on equity of 14.33% and a net margin of 60.84%.During the same quarter in the previous year, the business posted $0.72 EPS. The firm's revenue was down .9% compared to the same quarter last year.

Several other equities research analysts have also recently weighed in on MTG. Keefe, Bruyette & Woods upped their target price on MGIC Investment from $27.00 to $28.00 and gave the stock a "market perform" rating in a report on Thursday, December 18th. Weiss Ratings downgraded MGIC Investment from a "buy (a-)" rating to a "buy (b+)" rating in a research note on Thursday, February 5th. Finally, Barclays reduced their target price on MGIC Investment from $30.00 to $28.00 and set an "equal weight" rating for the company in a research note on Wednesday, February 4th. One investment analyst has rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Hold" and an average price target of $28.00.

MGIC Investment Stock Performance

MGIC Investment stock opened at $26.35 on Wednesday. MGIC Investment has a 1-year low of $21.94 and a 1-year high of $29.97. The company has a debt-to-equity ratio of 0.13, a current ratio of 1.52 and a quick ratio of 1.52. The firm has a market capitalization of $5.66 billion, a P/E ratio of 8.39, a price-to-earnings-growth ratio of 2.11 and a beta of 0.83. The company's 50-day moving average is $27.05 and its 200 day moving average is $27.75.

MGIC Investment Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Friday, March 6th. Shareholders of record on Tuesday, February 17th were paid a dividend of $0.15 per share. This represents a $0.60 annualized dividend and a yield of 2.3%. The ex-dividend date of this dividend was Tuesday, February 17th. MGIC Investment's dividend payout ratio (DPR) is 19.11%.

Insider Transactions at MGIC Investment

In related news, EVP Paula C. Maggio sold 20,000 shares of the stock in a transaction that occurred on Friday, February 6th. The shares were sold at an average price of $27.51, for a total transaction of $550,200.00. Following the completion of the transaction, the executive vice president owned 114,689 shares of the company's stock, valued at approximately $3,155,094.39. This trade represents a 14.85% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, COO Salvatore A. Miosi sold 30,000 shares of the business's stock in a transaction that occurred on Monday, February 2nd. The shares were sold at an average price of $27.27, for a total value of $818,100.00. Following the completion of the sale, the chief operating officer directly owned 454,245 shares in the company, valued at approximately $12,387,261.15. The trade was a 6.20% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 189,203 shares of company stock worth $5,058,572. 1.41% of the stock is currently owned by insiders.

Hedge Funds Weigh In On MGIC Investment

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. JPMorgan Chase & Co. grew its stake in MGIC Investment by 13.4% during the 2nd quarter. JPMorgan Chase & Co. now owns 18,331,120 shares of the insurance provider's stock worth $510,338,000 after purchasing an additional 2,168,940 shares in the last quarter. AQR Capital Management LLC lifted its holdings in shares of MGIC Investment by 31.3% in the 4th quarter. AQR Capital Management LLC now owns 11,616,282 shares of the insurance provider's stock valued at $339,428,000 after purchasing an additional 2,771,533 shares during the last quarter. First Trust Advisors LP boosted its holdings in shares of MGIC Investment by 48.1% in the second quarter. First Trust Advisors LP now owns 7,302,263 shares of the insurance provider's stock valued at $203,295,000 after acquiring an additional 2,370,403 shares during the period. Geode Capital Management LLC boosted its stake in MGIC Investment by 2.8% during the 4th quarter. Geode Capital Management LLC now owns 5,371,470 shares of the insurance provider's stock worth $163,368,000 after purchasing an additional 146,589 shares during the period. Finally, Allianz Asset Management GmbH boosted its stake in shares of MGIC Investment by 1.0% during the fourth quarter. Allianz Asset Management GmbH now owns 5,010,157 shares of the insurance provider's stock worth $146,397,000 after buying an additional 48,064 shares during the period. 95.58% of the stock is currently owned by hedge funds and other institutional investors.

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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