Radian Group (NYSE:RDN) Issues Quarterly Earnings Results, Beats Expectations By $0.10 EPS

Radian Group (NYSE:RDN) issued its earnings results on Wednesday. The insurance provider reported $1.27 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.17 by $0.10, Zacks reports. The company had revenue of $475.22 million for the quarter, compared to analysts’ expectations of $377.83 million. Radian Group had a net margin of 40.50% and a return on equity of 13.69%. The firm’s quarterly revenue was up 46.6% on a year-over-year basis. During the same quarter last year, the company posted $0.99 earnings per share.

Radian Group Stock Performance

Radian Group stock traded up $0.58 during trading on Friday, reaching $38.20. The company had a trading volume of 211,926 shares, compared to its average volume of 1,339,663. Radian Group has a 52 week low of $31.50 and a 52 week high of $38.84. The firm’s 50-day simple moving average is $34.27 and its 200 day simple moving average is $34.44. The firm has a market capitalization of $5.15 billion, a price-to-earnings ratio of 9.40, a price-to-earnings-growth ratio of 1.38 and a beta of 0.76. The company has a current ratio of 3.40, a quick ratio of 3.40 and a debt-to-equity ratio of 0.23.

Radian Group Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, March 10th. Stockholders of record on Monday, February 23rd were paid a $0.255 dividend. This represents a $1.02 annualized dividend and a dividend yield of 2.7%. The ex-dividend date was Monday, February 23rd. Radian Group’s dividend payout ratio is 24.58%.

Insider Transactions at Radian Group

In other Radian Group news, EVP Edward J. Hoffman sold 15,000 shares of the company’s stock in a transaction dated Wednesday, April 29th. The stock was sold at an average price of $37.00, for a total value of $555,000.00. Following the completion of the sale, the executive vice president owned 108,708 shares in the company, valued at $4,022,196. This represents a 12.13% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 45,000 shares of company stock worth $1,620,000 over the last three months. Insiders own 2.03% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in RDN. Corient Private Wealth LLC raised its stake in Radian Group by 3.1% during the 4th quarter. Corient Private Wealth LLC now owns 21,249 shares of the insurance provider’s stock worth $765,000 after acquiring an additional 647 shares during the period. State of Tennessee Department of Treasury boosted its position in shares of Radian Group by 37.1% in the fourth quarter. State of Tennessee Department of Treasury now owns 57,009 shares of the insurance provider’s stock worth $1,876,000 after purchasing an additional 15,438 shares during the period. Mackenzie Financial Corp increased its stake in shares of Radian Group by 172.6% in the fourth quarter. Mackenzie Financial Corp now owns 26,647 shares of the insurance provider’s stock worth $965,000 after purchasing an additional 16,871 shares in the last quarter. NewEdge Advisors LLC increased its stake in shares of Radian Group by 64.3% in the fourth quarter. NewEdge Advisors LLC now owns 17,564 shares of the insurance provider’s stock worth $632,000 after purchasing an additional 6,876 shares in the last quarter. Finally, XTX Topco Ltd bought a new stake in shares of Radian Group during the 4th quarter valued at $240,000. 95.33% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

A number of equities analysts have recently issued reports on the company. Zacks Research downgraded Radian Group from a “strong-buy” rating to a “hold” rating in a research note on Monday, April 20th. UBS Group cut their price objective on Radian Group from $41.00 to $39.00 and set a “neutral” rating for the company in a report on Thursday, March 12th. Weiss Ratings cut Radian Group from a “buy (a-)” rating to a “buy (b+)” rating in a research report on Tuesday, January 13th. Keefe, Bruyette & Woods raised their target price on Radian Group from $42.00 to $43.00 and gave the stock an “outperform” rating in a research report on Friday, April 10th. Finally, Barclays cut their price target on Radian Group from $40.00 to $37.00 and set an “equal weight” rating for the company in a research note on Monday, April 6th. Four research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. According to MarketBeat, Radian Group currently has an average rating of “Moderate Buy” and a consensus price target of $40.67.

About Radian Group

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.