Radian Group (RDN) Downgraded by ValuEngine to “Sell”

ValuEngine downgraded shares of Radian Group (NYSE:RDN) from a hold rating to a sell rating in a report released on Wednesday morning.

Several other brokerages have also recently weighed in on RDN. B. Riley lifted their price objective on shares of Radian Group from $20.00 to $24.00 and gave the stock a neutral rating in a research note on Tuesday, August 7th. Bank of America lifted their price objective on shares of Radian Group from $13.00 to $23.00 and gave the stock a buy rating in a research note on Monday, August 13th. Compass Point set a $26.00 price objective on shares of Radian Group and gave the stock a buy rating in a research note on Thursday, November 1st. TheStreet upgraded shares of Radian Group from a c+ rating to a b- rating in a research note on Tuesday, July 31st. Finally, Royal Bank of Canada reissued a hold rating and issued a $21.00 target price on shares of Radian Group in a report on Friday, July 27th. One analyst has rated the stock with a sell rating, four have assigned a hold rating and eight have issued a buy rating to the company. The company presently has an average rating of Buy and an average target price of $23.36.

Shares of Radian Group stock opened at $18.27 on Wednesday. Radian Group has a twelve month low of $14.06 and a twelve month high of $23.49. The company has a quick ratio of 1.53, a current ratio of 1.53 and a debt-to-equity ratio of 0.31. The stock has a market capitalization of $3.93 billion, a price-to-earnings ratio of 10.04, a price-to-earnings-growth ratio of 1.38 and a beta of 1.45.

Radian Group (NYSE:RDN) last issued its quarterly earnings data on Wednesday, October 31st. The insurance provider reported $0.71 earnings per share for the quarter, topping the consensus estimate of $0.63 by $0.08. Radian Group had a net margin of 37.56% and a return on equity of 17.34%. The business had revenue of $330.70 million during the quarter, compared to analysts’ expectations of $334.59 million. During the same quarter in the previous year, the company earned $0.46 EPS. The business’s revenue was up 6.0% on a year-over-year basis. As a group, equities research analysts expect that Radian Group will post 2.66 EPS for the current fiscal year.

Radian Group declared that its board has approved a stock repurchase plan on Thursday, August 16th that permits the company to repurchase $100.00 million in outstanding shares. This repurchase authorization permits the insurance provider to purchase up to 2.4% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company’s leadership believes its shares are undervalued.

The company also recently announced a quarterly dividend, which will be paid on Friday, December 7th. Shareholders of record on Monday, November 26th will be issued a $0.0025 dividend. This represents a $0.01 annualized dividend and a yield of 0.05%. The ex-dividend date of this dividend is Friday, November 23rd. Radian Group’s dividend payout ratio is currently 0.55%.

Hedge funds have recently added to or reduced their stakes in the business. Principal Financial Group Inc. grew its holdings in shares of Radian Group by 39.6% during the 1st quarter. Principal Financial Group Inc. now owns 31,986 shares of the insurance provider’s stock valued at $609,000 after purchasing an additional 9,070 shares during the last quarter. Cornerstone Wealth Management LLC bought a new stake in shares of Radian Group during the 2nd quarter valued at approximately $874,000. New York State Teachers Retirement System bought a new stake in shares of Radian Group during the 2nd quarter valued at approximately $311,000. Connor Clark & Lunn Investment Management Ltd. bought a new stake in shares of Radian Group during the 2nd quarter valued at approximately $1,951,000. Finally, Heartland Advisors Inc. grew its holdings in shares of Radian Group by 1.3% during the 2nd quarter. Heartland Advisors Inc. now owns 925,550 shares of the insurance provider’s stock valued at $15,012,000 after purchasing an additional 11,750 shares during the last quarter. 92.94% of the stock is currently owned by hedge funds and other institutional investors.

Radian Group Company Profile

Radian Group Inc, through its subsidiaries, provides mortgage and real estate products and services in the United States. It operates through two segments, Mortgage Insurance and Services. The Mortgage Insurance segment offers credit-related insurance coverage, primarily through private mortgage insurance, as well as other credit risk management solutions to mortgage lending institutions; and primary mortgage insurance coverage on residential first-lien mortgage loans.

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Analyst Recommendations for Radian Group (NYSE:RDN)

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