Universal Insurance (NYSE:UVE) Hits New 1-Year High – Here’s Why

Universal Insurance Holdings, Inc. (NYSE:UVE) shares reached a new 52-week high during mid-day trading on Monday . The stock traded as high as $26.53 and last traded at $26.23, with a volume of 12611 shares trading hands. The stock had previously closed at $26.44.

Analyst Upgrades and Downgrades

Separately, StockNews.com upgraded shares of Universal Insurance from a “buy” rating to a “strong-buy” rating in a research note on Monday, April 28th.

Universal Insurance Trading Up 0.3%

The stock has a market capitalization of $746.55 million, a price-to-earnings ratio of 10.78 and a beta of 0.83. The company’s 50-day moving average is $23.35 and its 200-day moving average is $21.74. The company has a quick ratio of 0.51, a current ratio of 0.51 and a debt-to-equity ratio of 0.25.

Universal Insurance (NYSE:UVE) last announced its earnings results on Thursday, April 24th. The insurance provider reported $1.44 earnings per share for the quarter, topping the consensus estimate of $1.12 by $0.32. The company had revenue of $394.87 million during the quarter, compared to analyst estimates of $354.97 million. Universal Insurance had a net margin of 4.82% and a return on equity of 15.43%. Research analysts anticipate that Universal Insurance Holdings, Inc. will post 1.66 earnings per share for the current fiscal year.

Universal Insurance Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, May 16th. Stockholders of record on Friday, May 9th were given a dividend of $0.16 per share. The ex-dividend date of this dividend was Friday, May 9th. This represents a $0.64 annualized dividend and a dividend yield of 2.41%. Universal Insurance’s dividend payout ratio is presently 27.95%.

Insider Activity at Universal Insurance

In other Universal Insurance news, Director Jon Springer sold 26,393 shares of the firm’s stock in a transaction that occurred on Tuesday, May 6th. The shares were sold at an average price of $25.61, for a total transaction of $675,924.73. Following the sale, the director now owns 331,835 shares of the company’s stock, valued at approximately $8,498,294.35. This trade represents a 7.37% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Chairman Sean P. Downes sold 20,000 shares of the firm’s stock in a transaction that occurred on Friday, February 28th. The stock was sold at an average price of $22.08, for a total transaction of $441,600.00. Following the sale, the chairman now directly owns 990,200 shares in the company, valued at approximately $21,863,616. The trade was a 1.98% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 86,393 shares of company stock valued at $2,085,925 over the last 90 days. 16.60% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Universal Insurance

A number of hedge funds have recently modified their holdings of the business. Millennium Management LLC grew its position in Universal Insurance by 171.5% in the 1st quarter. Millennium Management LLC now owns 343,786 shares of the insurance provider’s stock valued at $8,148,000 after buying an additional 217,184 shares during the last quarter. Donald Smith & CO. Inc. grew its position in Universal Insurance by 11.3% in the 4th quarter. Donald Smith & CO. Inc. now owns 1,720,519 shares of the insurance provider’s stock valued at $36,234,000 after buying an additional 174,843 shares during the last quarter. Nuveen LLC purchased a new position in Universal Insurance in the 1st quarter valued at $2,197,000. Goldman Sachs Group Inc. grew its position in Universal Insurance by 9.4% in the 1st quarter. Goldman Sachs Group Inc. now owns 805,199 shares of the insurance provider’s stock valued at $19,083,000 after buying an additional 69,289 shares during the last quarter. Finally, American Century Companies Inc. grew its position in Universal Insurance by 9.8% in the 1st quarter. American Century Companies Inc. now owns 668,641 shares of the insurance provider’s stock valued at $15,847,000 after buying an additional 59,752 shares during the last quarter. 66.61% of the stock is currently owned by hedge funds and other institutional investors.

About Universal Insurance

Universal Insurance Holdings, Inc, together with its subsidiaries, operates as an integrated insurance holding company in the United States. It develops, markets, and underwrites insurance products for personal residential insurance, such as homeowners, renters/tenants, condo unit owners, and dwelling/fire; and offers allied lines, coverage for other structures, and personal property, liability, and personal articles coverages.