Donegal Group (NASDAQ:DGICA) Stock Price Passes Above 200 Day Moving Average – What’s Next?

Donegal Group, Inc. (NASDAQ:DGICA)’s stock price passed above its 200-day moving average during trading on Friday . The stock has a 200-day moving average of $18.99 and traded as high as $20.42. Donegal Group shares last traded at $20.12, with a volume of 73,093 shares traded.

Wall Street Analysts Forecast Growth

Several equities research analysts recently weighed in on DGICA shares. Janney Montgomery Scott raised shares of Donegal Group from a “neutral” rating to a “buy” rating in a report on Tuesday, September 2nd. Weiss Ratings reaffirmed a “buy (b)” rating on shares of Donegal Group in a research note on Wednesday, October 8th. Finally, Zacks Research lowered shares of Donegal Group from a “strong-buy” rating to a “hold” rating in a research note on Friday, December 19th. Two analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $18.00.

Donegal Group Stock Down 0.6%

The company has a debt-to-equity ratio of 0.06, a quick ratio of 0.39 and a current ratio of 0.39. The stock’s fifty day simple moving average is $19.73 and its two-hundred day simple moving average is $18.99. The company has a market capitalization of $737.24 million, a price-to-earnings ratio of 8.31 and a beta of 0.04.

Donegal Group (NASDAQ:DGICA) last announced its quarterly earnings data on Thursday, October 30th. The insurance provider reported $0.52 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.37 by $0.15. Donegal Group had a net margin of 8.72% and a return on equity of 14.28%. The company had revenue of $245.92 million for the quarter, compared to analysts’ expectations of $244.19 million. On average, sell-side analysts anticipate that Donegal Group, Inc. will post 1.2 EPS for the current year.

Donegal Group Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Tuesday, February 17th. Shareholders of record on Tuesday, February 3rd will be issued a $0.1825 dividend. The ex-dividend date of this dividend is Tuesday, February 3rd. This represents a $0.73 annualized dividend and a dividend yield of 3.6%. Donegal Group’s dividend payout ratio is currently 30.17%.

Insider Activity

In related news, Director Kevin Michael Sr Kraft, Sr. sold 4,500 shares of the stock in a transaction on Tuesday, November 25th. The stock was sold at an average price of $20.02, for a total value of $90,090.00. Following the completion of the transaction, the director owned 13,436 shares in the company, valued at $268,988.72. This trade represents a 25.09% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, major shareholder Mutual Insurance Co Donegal purchased 22,819 shares of the company’s stock in a transaction that occurred on Wednesday, December 10th. The stock was bought at an average cost of $20.05 per share, for a total transaction of $457,520.95. Following the purchase, the insider directly owned 13,913,704 shares in the company, valued at $278,969,765.20. This represents a 0.16% increase in their position. The SEC filing for this purchase provides additional information. In the last 90 days, insiders purchased 263,529 shares of company stock worth $5,099,413 and sold 27,074 shares worth $539,064. Insiders own 6.63% of the company’s stock.

Hedge Funds Weigh In On Donegal Group

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. State of Alaska Department of Revenue purchased a new position in Donegal Group during the 3rd quarter worth approximately $26,000. Allworth Financial LP boosted its position in shares of Donegal Group by 477.2% in the second quarter. Allworth Financial LP now owns 2,961 shares of the insurance provider’s stock worth $59,000 after buying an additional 2,448 shares during the period. Versant Capital Management Inc grew its holdings in shares of Donegal Group by 79.1% during the third quarter. Versant Capital Management Inc now owns 3,009 shares of the insurance provider’s stock valued at $58,000 after buying an additional 1,329 shares in the last quarter. EverSource Wealth Advisors LLC raised its position in Donegal Group by 422.6% during the second quarter. EverSource Wealth Advisors LLC now owns 3,679 shares of the insurance provider’s stock valued at $74,000 after buying an additional 2,975 shares during the period. Finally, Tower Research Capital LLC TRC lifted its stake in Donegal Group by 443.9% in the 2nd quarter. Tower Research Capital LLC TRC now owns 4,928 shares of the insurance provider’s stock worth $99,000 after acquiring an additional 4,022 shares in the last quarter. Institutional investors and hedge funds own 27.96% of the company’s stock.

About Donegal Group

Donegal Group, Inc (NASDAQ: DGICA) is a property and casualty insurance holding company headquartered in Marietta, Pennsylvania. Through a network of independent agencies, the company offers a suite of personal and commercial insurance products. Its underwriting subsidiaries provide homeowners, automobile, farmowner, commercial multi-peril, surety and umbrella coverages designed to meet the needs of individuals, families and businesses.

The company’s origins date back to 1925 with the formation of Donegal Mutual Insurance Company to serve rural communities in Pennsylvania.