Essent Group (NYSE:ESNT) Posts Earnings Results, Misses Expectations By $0.08 EPS

Essent Group (NYSE:ESNT) announced its earnings results on Friday. The financial services provider reported $1.67 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.75 by ($0.08), Zacks reports. Essent Group had a return on equity of 12.66% and a net margin of 56.36%.The company had revenue of $298.41 million during the quarter, compared to analysts’ expectations of $316.84 million. During the same quarter last year, the firm posted $1.65 earnings per share. The firm’s revenue was down 1.5% on a year-over-year basis.

Essent Group Trading Up 0.6%

Shares of ESNT traded up $0.37 during trading hours on Friday, reaching $61.15. 1,109,369 shares of the company traded hands, compared to its average volume of 562,307. The company has a quick ratio of 1.24, a current ratio of 1.24 and a debt-to-equity ratio of 0.09. Essent Group has a 12 month low of $51.61 and a 12 month high of $65.90. The company’s fifty day moving average price is $61.91 and its two-hundred day moving average price is $59.90. The company has a market capitalization of $6.03 billion, a price-to-earnings ratio of 8.90, a price-to-earnings-growth ratio of 2.65 and a beta of 0.91.

Essent Group Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, December 10th. Stockholders of record on Monday, December 1st will be given a $0.31 dividend. This represents a $1.24 annualized dividend and a dividend yield of 2.0%. The ex-dividend date of this dividend is Monday, December 1st. Essent Group’s dividend payout ratio (DPR) is currently 18.10%.

Insider Transactions at Essent Group

In related news, SVP Mary Lourdes Gibbons sold 4,000 shares of the company’s stock in a transaction on Thursday, September 18th. The stock was sold at an average price of $65.00, for a total value of $260,000.00. Following the sale, the senior vice president directly owned 243,023 shares of the company’s stock, valued at $15,796,495. This represents a 1.62% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, SVP Vijay Bhasin sold 11,479 shares of the stock in a transaction on Thursday, September 18th. The stock was sold at an average price of $65.00, for a total value of $746,135.00. Following the completion of the transaction, the senior vice president owned 196,922 shares of the company’s stock, valued at approximately $12,799,930. This trade represents a 5.51% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 28,190 shares of company stock worth $1,802,316 over the last quarter. Insiders own 2.90% of the company’s stock.

Institutional Trading of Essent Group

A number of hedge funds and other institutional investors have recently modified their holdings of ESNT. AQR Capital Management LLC lifted its position in Essent Group by 78.9% during the 2nd quarter. AQR Capital Management LLC now owns 1,517,859 shares of the financial services provider’s stock valued at $92,180,000 after acquiring an additional 669,577 shares during the period. Qube Research & Technologies Ltd increased its stake in shares of Essent Group by 152.3% during the second quarter. Qube Research & Technologies Ltd now owns 455,819 shares of the financial services provider’s stock valued at $27,682,000 after purchasing an additional 275,149 shares in the last quarter. Jane Street Group LLC increased its stake in shares of Essent Group by 15.2% during the second quarter. Jane Street Group LLC now owns 423,495 shares of the financial services provider’s stock valued at $25,719,000 after purchasing an additional 56,035 shares in the last quarter. California Public Employees Retirement System lifted its holdings in shares of Essent Group by 0.9% during the second quarter. California Public Employees Retirement System now owns 206,205 shares of the financial services provider’s stock valued at $12,523,000 after purchasing an additional 1,752 shares during the last quarter. Finally, Sei Investments Co. boosted its position in shares of Essent Group by 12.0% in the 2nd quarter. Sei Investments Co. now owns 126,140 shares of the financial services provider’s stock worth $7,660,000 after purchasing an additional 13,552 shares in the last quarter. 93.00% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Several analysts have issued reports on ESNT shares. Barclays upped their price target on shares of Essent Group from $59.00 to $66.00 and gave the company a “cautious” rating in a research report on Monday, October 6th. The Goldman Sachs Group set a $60.00 target price on Essent Group and gave the company a “neutral” rating in a report on Friday, August 8th. Weiss Ratings reaffirmed a “buy (b)” rating on shares of Essent Group in a research note on Wednesday, October 8th. Royal Bank Of Canada reiterated an “outperform” rating on shares of Essent Group in a research report on Friday, August 8th. Finally, Keefe, Bruyette & Woods cut shares of Essent Group from an “outperform” rating to a “market perform” rating in a report on Friday, August 8th. Four equities research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, Essent Group currently has an average rating of “Hold” and an average target price of $65.67.

About Essent Group

Essent Group Ltd., through its subsidiaries, provides private mortgage insurance and reinsurance for mortgages secured by residential properties located in the United States. Its mortgage insurance products include primary, pool, and master policy. The company also provides information technology maintenance and development services; customer support-related services; underwriting consulting; and contract underwriting services, as well as risk management products and title insurance and settlement services.