Radian Group Inc. (NYSE:RDN) Receives Consensus Rating of “Moderate Buy” from Analysts

Radian Group Inc. (NYSE:RDN) has received a consensus rating of “Moderate Buy” from the seven brokerages that are covering the firm, MarketBeat Ratings reports. One investment analyst has rated the stock with a sell rating, two have issued a hold rating, three have assigned a buy rating and one has issued a strong buy rating on the company. The average 1-year price objective among analysts that have covered the stock in the last year is $40.60.

Several brokerages have issued reports on RDN. UBS Group dropped their target price on Radian Group from $41.00 to $39.00 and set a “neutral” rating for the company in a report on Thursday, March 12th. Barclays set a $40.00 price target on shares of Radian Group in a research report on Monday, February 23rd. Keefe, Bruyette & Woods raised shares of Radian Group from a “market perform” rating to an “outperform” rating and upped their price objective for the company from $41.00 to $42.00 in a report on Wednesday, February 11th. Zacks Research upgraded shares of Radian Group from a “hold” rating to a “strong-buy” rating in a research report on Friday, February 20th. Finally, Roth Mkm reaffirmed a “buy” rating and set a $45.00 target price on shares of Radian Group in a research note on Friday, January 2nd.

Radian Group Price Performance

Shares of Radian Group stock traded down $0.19 on Friday, hitting $32.93. 61,272 shares of the company were exchanged, compared to its average volume of 1,449,587. The stock has a market capitalization of $4.49 billion, a price-to-earnings ratio of 7.93, a price-to-earnings-growth ratio of 1.78 and a beta of 0.80. The company has a 50-day moving average price of $33.38 and a 200 day moving average price of $34.49. Radian Group has a 1-year low of $29.32 and a 1-year high of $38.84. The company has a quick ratio of 3.40, a current ratio of 3.40 and a debt-to-equity ratio of 0.23.

Radian Group (NYSE:RDN) last posted its quarterly earnings results on Thursday, February 19th. The insurance provider reported $1.16 EPS for the quarter, beating the consensus estimate of $1.11 by $0.05. Radian Group had a return on equity of 13.07% and a net margin of 46.99%.The firm had revenue of $300.51 million during the quarter, compared to analysts’ expectations of $300.45 million. During the same quarter last year, the firm earned $1.09 earnings per share. The business’s revenue for the quarter was up 2.7% on a year-over-year basis. As a group, sell-side analysts predict that Radian Group will post 3.79 earnings per share for the current fiscal year.

Radian Group Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Tuesday, March 10th. Stockholders of record on Monday, February 23rd were issued a dividend of $0.255 per share. The ex-dividend date was Monday, February 23rd. This represents a $1.02 dividend on an annualized basis and a dividend yield of 3.1%. Radian Group’s dividend payout ratio (DPR) is currently 24.58%.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in RDN. Norges Bank acquired a new stake in Radian Group during the second quarter worth $85,785,000. Balyasny Asset Management L.P. raised its position in Radian Group by 151.7% in the third quarter. Balyasny Asset Management L.P. now owns 1,873,049 shares of the insurance provider’s stock valued at $67,842,000 after purchasing an additional 1,128,852 shares during the period. Donald Smith & CO. Inc. lifted its stake in shares of Radian Group by 43.7% in the 4th quarter. Donald Smith & CO. Inc. now owns 3,012,255 shares of the insurance provider’s stock valued at $108,411,000 after purchasing an additional 916,003 shares during the last quarter. Vanguard Group Inc. lifted its stake in shares of Radian Group by 2.7% in the 3rd quarter. Vanguard Group Inc. now owns 16,272,597 shares of the insurance provider’s stock valued at $589,393,000 after purchasing an additional 427,473 shares during the last quarter. Finally, Millennium Management LLC grew its holdings in shares of Radian Group by 59.7% during the 3rd quarter. Millennium Management LLC now owns 1,007,172 shares of the insurance provider’s stock worth $36,480,000 after purchasing an additional 376,533 shares during the period. 95.33% of the stock is currently owned by hedge funds and other institutional investors.

Radian Group Company Profile

Radian Group Inc (NYSE:RDN) is a leading provider of private mortgage insurance and related risk management solutions in the United States. Through its primary subsidiary, Radian Guaranty Inc, the company underwrites borrower-paid and lender-paid mortgage insurance that protects lenders and investors from potential losses arising from borrower defaults. Radian’s core business focuses on supporting residential mortgage originations and servicing by offering capital-efficient credit protection and credit risk transfer strategies.

Beyond mortgage insurance, Radian offers an array of real estate transaction services under its Radian Title division.