Donald Smith & CO. Inc. Purchases New Shares in Radian Group Inc. $RDN

Donald Smith & CO. Inc. purchased a new position in shares of Radian Group Inc. (NYSE:RDN) during the second quarter, HoldingsChannel reports. The fund purchased 4,329,811 shares of the insurance provider’s stock, valued at approximately $163,104,000. Radian Group comprises 2.9% of Donald Smith & CO. Inc.’s investment portfolio, making the stock its 16th biggest position.

Several other hedge funds and other institutional investors have also bought and sold shares of RDN. BlackRock Inc. bought a new stake in Radian Group in the 2nd quarter valued at about $728,072,000. Charles Schwab Investment Management Inc. grew its position in shares of Radian Group by 1.1% during the 4th quarter. Charles Schwab Investment Management Inc. now owns 5,959,463 shares of the insurance provider’s stock worth $214,481,000 after purchasing an additional 63,437 shares in the last quarter. Dimensional Fund Advisors LP increased its holdings in shares of Radian Group by 4.0% during the first quarter. Dimensional Fund Advisors LP now owns 5,948,335 shares of the insurance provider’s stock worth $196,773,000 after purchasing an additional 230,912 shares during the period. Balyasny Asset Management L.P. increased its holdings in shares of Radian Group by 16.8% during the fourth quarter. Balyasny Asset Management L.P. now owns 2,188,624 shares of the insurance provider’s stock worth $78,769,000 after purchasing an additional 315,575 shares during the period. Finally, Norges Bank acquired a new stake in shares of Radian Group in the fourth quarter valued at approximately $77,364,000. Institutional investors and hedge funds own 95.33% of the company’s stock.

Insiders Place Their Bets

In other Radian Group news, Chairman Howard Bernard Culang sold 3,612 shares of the firm’s stock in a transaction on Wednesday, May 27th. The stock was sold at an average price of $36.00, for a total value of $130,032.00. Following the sale, the chairman owned 8,050 shares of the company’s stock, valued at approximately $289,800. This trade represents a 30.97% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Margaret Anne Leyden sold 2,070 shares of the firm’s stock in a transaction on Friday, May 29th. The shares were sold at an average price of $34.59, for a total value of $71,601.30. Following the completion of the sale, the director directly owned 6,864 shares in the company, valued at approximately $237,425.76. This represents a 23.17% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold 15,517 shares of company stock valued at $557,610 over the last ninety days. Company insiders own 2.03% of the company’s stock.

Radian Group Price Performance

Shares of NYSE:RDN opened at $36.61 on Friday. The firm has a 50 day moving average of $37.45 and a 200-day moving average of $35.51. Radian Group Inc. has a 12 month low of $31.50 and a 12 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. The stock has a market capitalization of $4.84 billion, a PE ratio of 9.41, a PEG ratio of 0.89 and a beta of 0.72.

Radian Group (NYSE:RDN) last posted its quarterly earnings results on Thursday, August 6th. The insurance provider reported $1.14 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.34 by ($0.20). The firm had revenue of $574.96 million for the quarter, compared to analyst estimates of $556.55 million. Radian Group had a return on equity of 13.65% and a net margin of 32.60%.The business’s revenue was up 92.3% on a year-over-year basis. During the same quarter in the prior year, the business posted $1.01 EPS. On average, equities research analysts predict that Radian Group Inc. will post 4.86 EPS for the current fiscal year.

Radian Group Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, September 9th. Shareholders of record on Monday, August 24th will be paid a dividend of $0.255 per share. The ex-dividend date is Monday, August 24th. This represents a $1.02 annualized dividend and a yield of 2.8%. Radian Group’s dividend payout ratio is presently 26.22%.

Analyst Upgrades and Downgrades

Several brokerages recently issued reports on RDN. Wall Street Zen cut Radian Group from a “buy” rating to a “hold” rating in a research note on Sunday, August 9th. Bank of America upgraded Radian Group from an “underperform” rating to a “buy” rating and raised their price objective for the stock from $35.00 to $43.00 in a research note on Wednesday, April 29th. Barclays dropped their price objective on Radian Group from $39.00 to $35.00 and set an “equal weight” rating for the company in a report on Monday, August 10th. Keefe, Bruyette & Woods cut their target price on Radian Group from $46.00 to $44.00 and set an “outperform” rating for the company in a research report on Tuesday, August 11th. Finally, Weiss Ratings raised Radian Group from a “buy (b)” rating to a “buy (b+)” rating in a report on Tuesday, August 11th. Five equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $42.17.

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.