MGIC Investment Co. (MTG) to Issue Quarterly Dividend of $0.12 on May 21st

MGIC Investment Co. (NYSE:MTG) announced a quarterly dividend on Thursday, April 25th, Wall Street Journal reports. Investors of record on Thursday, May 9th will be given a dividend of 0.115 per share by the insurance provider on Tuesday, May 21st. This represents a $0.46 annualized dividend and a dividend yield of 2.25%. The ex-dividend date of this dividend is Wednesday, May 8th.

MGIC Investment has raised its dividend by an average of 21.5% per year over the last three years and has increased its dividend annually for the last 3 consecutive years. MGIC Investment has a payout ratio of 17.9% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect MGIC Investment to earn $2.53 per share next year, which means the company should continue to be able to cover its $0.46 annual dividend with an expected future payout ratio of 18.2%.

MGIC Investment Trading Up 0.6 %

NYSE:MTG opened at $20.48 on Friday. The company has a debt-to-equity ratio of 0.13, a quick ratio of 0.98 and a current ratio of 0.98. The stock has a 50-day simple moving average of $20.45 and a 200-day simple moving average of $19.13. MGIC Investment has a 1 year low of $13.97 and a 1 year high of $22.43. The stock has a market cap of $5.52 billion, a P/E ratio of 8.22, a P/E/G ratio of 1.68 and a beta of 1.24.

MGIC Investment (NYSE:MTG) last issued its earnings results on Wednesday, January 31st. The insurance provider reported $0.67 EPS for the quarter, beating analysts’ consensus estimates of $0.57 by $0.10. MGIC Investment had a return on equity of 14.82% and a net margin of 61.72%. The company had revenue of $284.72 million during the quarter, compared to the consensus estimate of $302.96 million. As a group, analysts anticipate that MGIC Investment will post 2.43 earnings per share for the current fiscal year.

Analysts Set New Price Targets

A number of equities analysts have commented on MTG shares. Roth Mkm lifted their target price on MGIC Investment from $21.00 to $24.00 and gave the company a “buy” rating in a research note on Friday, February 2nd. Keefe, Bruyette & Woods reaffirmed a “market perform” rating and set a $24.00 price target (up previously from $23.50) on shares of MGIC Investment in a report on Thursday, April 4th. Finally, Royal Bank of Canada lifted their price target on MGIC Investment from $18.00 to $21.00 and gave the company a “sector perform” rating in a report on Friday, February 2nd. Five equities research analysts have rated the stock with a hold rating and one has issued a buy rating to the company. Based on data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus price target of $21.08.

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.