Roth Capital Predicts Stronger Earnings for MGIC Investment

MGIC Investment Corporation (NYSE:MTG) – Stock analysts at Roth Capital upped their FY2025 earnings per share estimates for shares of MGIC Investment in a note issued to investors on Thursday, October 30th. Roth Capital analyst H. Fong now expects that the insurance provider will post earnings per share of $3.10 for the year, up from their prior estimate of $3.00. The consensus estimate for MGIC Investment’s current full-year earnings is $2.71 per share. Roth Capital also issued estimates for MGIC Investment’s Q4 2026 earnings at $0.82 EPS, Q1 2027 earnings at $0.82 EPS, Q2 2027 earnings at $0.85 EPS, Q3 2027 earnings at $0.88 EPS and FY2027 earnings at $3.45 EPS.

MGIC Investment (NYSE:MTG) last announced its quarterly earnings results on Wednesday, October 29th. The insurance provider reported $0.83 EPS for the quarter, topping analysts’ consensus estimates of $0.72 by $0.11. The business had revenue of $304.51 million for the quarter, compared to analysts’ expectations of $308.16 million. MGIC Investment had a return on equity of 14.63% and a net margin of 61.96%.The business’s quarterly revenue was down .7% on a year-over-year basis. During the same period in the previous year, the firm earned $0.77 EPS.

A number of other equities analysts have also recently commented on the company. Barclays lifted their price target on MGIC Investment from $27.00 to $28.00 and gave the stock a “cautious” rating in a research note on Monday, October 6th. Keefe, Bruyette & Woods lifted their price target on MGIC Investment from $26.00 to $27.00 and gave the stock a “market perform” rating in a research note on Monday, July 7th. Finally, Weiss Ratings reaffirmed a “buy (a-)” rating on shares of MGIC Investment in a research note on Wednesday, October 8th. One analyst has rated the stock with a Strong Buy rating, four have issued a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus target price of $26.83.

MGIC Investment Price Performance

Shares of MGIC Investment stock opened at $27.67 on Monday. The company has a debt-to-equity ratio of 0.13, a current ratio of 1.46 and a quick ratio of 1.46. The business’s 50 day simple moving average is $27.73 and its two-hundred day simple moving average is $26.86. The stock has a market capitalization of $6.19 billion, a P/E ratio of 8.90, a price-to-earnings-growth ratio of 1.91 and a beta of 0.88. MGIC Investment has a one year low of $21.94 and a one year high of $29.01.

MGIC Investment Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, November 20th. Stockholders of record on Thursday, November 6th will be paid a dividend of $0.15 per share. The ex-dividend date of this dividend is Thursday, November 6th. This represents a $0.60 annualized dividend and a dividend yield of 2.2%. MGIC Investment’s payout ratio is 19.29%.

Insider Activity

In other news, COO Salvatore A. Miosi sold 30,000 shares of the business’s stock in a transaction that occurred on Wednesday, October 1st. The stock was sold at an average price of $28.15, for a total transaction of $844,500.00. Following the transaction, the chief operating officer directly owned 189,401 shares of the company’s stock, valued at approximately $5,331,638.15. The trade was a 13.67% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Timothy J. Mattke sold 139,203 shares of the business’s stock in a transaction that occurred on Thursday, August 7th. The shares were sold at an average price of $26.54, for a total value of $3,694,447.62. Following the transaction, the chief executive officer directly owned 1,100,994 shares in the company, valued at $29,220,380.76. This trade represents a 11.22% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders have sold 328,406 shares of company stock valued at $8,858,757. Company insiders own 1.05% of the company’s stock.

Institutional Investors Weigh In On MGIC Investment

Hedge funds have recently made changes to their positions in the company. WPG Advisers LLC bought a new stake in shares of MGIC Investment during the first quarter valued at approximately $26,000. True Wealth Design LLC boosted its position in shares of MGIC Investment by 262.5% during the second quarter. True Wealth Design LLC now owns 1,004 shares of the insurance provider’s stock valued at $28,000 after purchasing an additional 727 shares in the last quarter. Alpine Bank Wealth Management bought a new stake in shares of MGIC Investment during the third quarter valued at approximately $28,000. Hantz Financial Services Inc. boosted its position in shares of MGIC Investment by 3,067.6% during the second quarter. Hantz Financial Services Inc. now owns 1,077 shares of the insurance provider’s stock valued at $30,000 after purchasing an additional 1,043 shares in the last quarter. Finally, Employees Retirement System of Texas bought a new stake in shares of MGIC Investment during the second quarter valued at approximately $32,000. 95.58% of the stock is currently owned by institutional investors.

About MGIC Investment

MGIC Investment Corporation, through its subsidiaries, provides private mortgage insurance, other mortgage credit risk management solutions, and ancillary services to lenders and government sponsored entities in the United States, the District of Columbia, Puerto Rico, and Guam. The company offers primary mortgage insurance that provides mortgage default protection on individual loans, as well as covers unpaid loan principal, delinquent interest, and various expenses associated with the default and subsequent foreclosure.