Radian Group (NYSE:RDN) Issues Quarterly Earnings Results, Beats Expectations By $0.24 EPS

Radian Group (NYSE:RDN) issued its quarterly earnings data on Wednesday. The insurance provider reported $1.44 EPS for the quarter, topping analysts’ consensus estimates of $1.20 by $0.24, Zacks reports. The firm had revenue of $624.11 million for the quarter, compared to analyst estimates of $595.99 million. Radian Group had a net margin of 28.41% and a return on equity of 14.28%. During the same quarter in the previous year, the business posted $1.15 EPS.

Radian Group Stock Down 2.5%

RDN stock traded down $0.93 during mid-day trading on Friday, hitting $36.34. 118,978 shares of the company were exchanged, compared to its average volume of 1,364,995. The firm has a fifty day simple moving average of $34.81 and a 200 day simple moving average of $35.26. The company has a market capitalization of $4.81 billion, a PE ratio of 8.91, a price-to-earnings-growth ratio of 0.91 and a beta of 0.69. Radian Group has a twelve month low of $30.53 and a twelve month high of $41.05. The company has a current ratio of 0.60, a quick ratio of 0.60 and a debt-to-equity ratio of 0.14.

Radian Group Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, September 9th. Shareholders of record on Monday, August 24th were issued a dividend of $0.2550 per share. This represents a $1.02 annualized dividend and a yield of 2.8%. The ex-dividend date of this dividend was Monday, August 24th. Radian Group’s dividend payout ratio (DPR) is currently 25.00%.

Insider Activity

In other news, EVP Meghan Bartholomew sold 7,812 shares of the company’s stock in a transaction dated Monday, September 14th. The shares were sold at an average price of $35.94, for a total value of $280,763.28. Following the sale, the executive vice president owned 39,203 shares in the company, valued at approximately $1,408,955.82. This represents a 16.62% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 2.03% of the company’s stock.

Wall Street Analyst Weigh In

Several analysts have recently weighed in on the company. Keefe, Bruyette & Woods lowered their target price on Radian Group from $46.00 to $44.00 and set an “outperform” rating for the company in a research note on Tuesday, August 11th. Zacks Research upgraded Radian Group from a “strong sell” rating to a “hold” rating in a research note on Tuesday, October 13th. Wall Street Zen downgraded Radian Group from a “buy” rating to a “hold” rating in a report on Saturday, October 10th. BTIG Research started coverage on Radian Group in a research note on Tuesday, September 22nd. They set a “buy” rating and a $48.00 price objective for the company. Finally, Weiss Ratings downgraded Radian Group from a “buy (b+)” rating to a “buy (b)” rating in a report on Tuesday, October 13th. Six research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $43.14.

About Radian Group

Radian Group Inc (NYSE:RDN) is a financial services company that provides mortgage insurance and related services to the residential real estate industry. Through its mortgage insurance subsidiaries, including Radian Guaranty Inc, the company helps lenders manage credit risk on residential mortgages, particularly loans made to borrowers with smaller down payments. Its insurance can also help borrowers obtain home financing without contributing a traditional 20% down payment.

Radian’s mortgage insurance business serves mortgage lenders, banks, credit unions and other housing finance participants primarily in the United States.