Hsbc Holdings PLC Makes New Investment in MGIC Investment Corporation $MTG

Hsbc Holdings PLC acquired a new stake in MGIC Investment Corporation (NYSE:MTG) in the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 108,177 shares of the insurance provider’s stock, valued at approximately $3,058,000. Hsbc Holdings PLC owned 0.05% of MGIC Investment as of its most recent SEC filing.

Several other large investors have also bought and sold shares of the stock. Newbridge Financial Services Group Inc. acquired a new position in MGIC Investment in the third quarter valued at $28,000. SBI Securities Co. Ltd. grew its holdings in MGIC Investment by 40.3% during the 4th quarter. SBI Securities Co. Ltd. now owns 1,461 shares of the insurance provider’s stock worth $43,000 after acquiring an additional 420 shares during the period. Geneos Wealth Management Inc. raised its position in shares of MGIC Investment by 88.0% in the 1st quarter. Geneos Wealth Management Inc. now owns 1,745 shares of the insurance provider’s stock worth $43,000 after acquiring an additional 817 shares in the last quarter. Mitsubishi UFJ Asset Management Co. Ltd. bought a new position in shares of MGIC Investment in the 2nd quarter worth about $62,000. Finally, Harbor Investment Advisory LLC lifted its stake in shares of MGIC Investment by 613.0% in the 2nd quarter. Harbor Investment Advisory LLC now owns 2,574 shares of the insurance provider’s stock valued at $73,000 after purchasing an additional 2,213 shares during the period. 95.58% of the stock is owned by institutional investors.

Analysts Set New Price Targets

Several equities analysts have issued reports on the company. Zacks Research raised MGIC Investment from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, August 25th. Weiss Ratings upgraded shares of MGIC Investment from a “buy (b+)” rating to a “buy (a-)” rating in a research note on Wednesday, August 19th. Keefe, Bruyette & Woods boosted their target price on shares of MGIC Investment from $29.00 to $30.00 and gave the company a “market perform” rating in a research report on Friday, July 31st. Roth Capital reissued a “buy” rating and set a $35.00 target price on shares of MGIC Investment in a research note on Thursday, July 30th. Finally, Royal Bank Of Canada lifted their price target on shares of MGIC Investment from $28.00 to $32.00 and gave the company a “sector perform” rating in a research note on Friday, July 31st. Two investment analysts have rated the stock with a Strong Buy rating, one has assigned a Buy rating and four have given a Hold rating to the company. According to MarketBeat, MGIC Investment presently has an average rating of “Moderate Buy” and a consensus target price of $30.60.

Insiders Place Their Bets

In related news, COO Salvatore A. Miosi sold 30,000 shares of the stock in a transaction dated Monday, June 8th. The stock was sold at an average price of $25.38, for a total transaction of $761,400.00. Following the sale, the chief operating officer owned 560,951 shares of the company’s stock, valued at approximately $14,236,936.38. This represents a 5.08% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Paula C. Maggio sold 20,000 shares of the business’s stock in a transaction that occurred on Friday, August 7th. The shares were sold at an average price of $30.30, for a total transaction of $606,000.00. Following the transaction, the executive vice president directly owned 149,620 shares of the company’s stock, valued at approximately $4,533,486. This represents a 11.79% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 1.34% of the stock is owned by company insiders.

MGIC Investment Stock Performance

Shares of MTG stock opened at $31.08 on Friday. The company has a debt-to-equity ratio of 0.13, a quick ratio of 1.19 and a current ratio of 1.19. The company has a market capitalization of $6.38 billion, a price-to-earnings ratio of 9.71, a PEG ratio of 0.79 and a beta of 0.66. MGIC Investment Corporation has a 52-week low of $24.69 and a 52-week high of $31.89. The company has a 50-day simple moving average of $29.51 and a two-hundred day simple moving average of $27.55.

MGIC Investment (NYSE:MTG) last posted its quarterly earnings data on Wednesday, July 29th. The insurance provider reported $0.87 earnings per share for the quarter, topping the consensus estimate of $0.76 by $0.11. MGIC Investment had a return on equity of 13.90% and a net margin of 59.20%.The business had revenue of $295.39 million for the quarter, compared to analysts’ expectations of $297.54 million. During the same quarter in the previous year, the firm earned $0.82 earnings per share. The business’s revenue was down 2.9% on a year-over-year basis. Research analysts anticipate that MGIC Investment Corporation will post 3.24 EPS for the current fiscal year.

MGIC Investment Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, August 20th. Shareholders of record on Wednesday, August 5th were given a dividend of $0.17 per share. This is an increase from MGIC Investment’s previous quarterly dividend of $0.15. This represents a $0.68 annualized dividend and a dividend yield of 2.2%. The ex-dividend date was Wednesday, August 5th. MGIC Investment’s dividend payout ratio (DPR) is currently 21.25%.

About MGIC Investment

MGIC Investment Corporation (NYSE: MTG) is a leading provider of private mortgage insurance in the United States. Established in 1957 as the nation’s first private mortgage insurer, MGIC helps lenders manage credit risk and facilitates homeownership by protecting mortgage loans against default. Headquartered in Milwaukee, Wisconsin, the company operates through its principal subsidiary, Mortgage Guaranty Insurance Corporation, and maintains relationships with a broad network of originators and servicers nationwide.

The company’s primary business activity involves issuing mortgage insurance policies that enable borrowers to purchase homes with down payments below traditional lending thresholds.