Zacks Investment Research upgraded shares of Radian Group (NYSE:RDN) from a hold rating to a strong-buy rating in a research report sent to investors on Thursday, January 4th. They currently have $24.00 target price on the insurance provider’s stock.
According to Zacks, “Shares of Radian have outperformed the insurance industry in a year. It is poised for growth on expansive mortgage and real estate service offerings, declining delinquency, lower levels of paid claims and improving risk-based capital ratio. Radian Group is restructuring its business by intensifying focus on core business and services with higher-growth potential besides more predictable and recurring fee-based revenues. In its recent endeavor, it divested Clayton EuroRisk to focus on core business. Radian intends to position its Service segment for continued profitability. EBITDA margin for the Services segment is expected in 10-15% range over time. The company’s initiatives to solidify the capital position by extending debt maturities and enhancing financial flexibility bode well. However, stricter regulations, rising mortgage rates and a competitive market pose as risks. Restructuring cost is estimated to be $20 million.”
Several other brokerages have also recently commented on RDN. ValuEngine cut Radian Group from a strong-buy rating to a buy rating in a research report on Thursday, September 7th. Royal Bank of Canada started coverage on Radian Group in a research report on Wednesday, December 20th. They set an outperform rating and a $26.00 price target for the company. Compass Point raised Radian Group from a neutral rating to a buy rating and increased their price target for the company from $21.75 to $24.75 in a research report on Friday, October 27th. B. Riley restated a buy rating on shares of Radian Group in a research note on Monday, November 6th. Finally, Wells Fargo & Co began coverage on Radian Group in a research note on Tuesday, November 28th. They issued a market perform rating and a $22.00 price objective on the stock. One analyst has rated the stock with a sell rating, two have issued a hold rating, nine have issued a buy rating and one has assigned a strong buy rating to the company’s stock. Radian Group has an average rating of Buy and an average price target of $23.89.
Radian Group (NYSE:RDN) opened at $22.13 on Thursday. The company has a quick ratio of 1.23, a current ratio of 1.23 and a debt-to-equity ratio of 0.34. The stock has a market capitalization of $4,770.00, a PE ratio of 28.01, a price-to-earnings-growth ratio of 1.94 and a beta of 1.57. Radian Group has a 52 week low of $15.58 and a 52 week high of $22.82.
Radian Group (NYSE:RDN) last posted its quarterly earnings data on Thursday, October 26th. The insurance provider reported $0.46 earnings per share for the quarter, topping the consensus estimate of $0.42 by $0.04. The company had revenue of $312.05 million during the quarter, compared to analysts’ expectations of $321.10 million. Radian Group had a return on equity of 12.99% and a net margin of 14.88%. Radian Group’s revenue for the quarter was down 2.8% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.41 earnings per share. equities research analysts predict that Radian Group will post 1.75 EPS for the current year.
A number of institutional investors have recently bought and sold shares of the business. Vanguard Group Inc. increased its stake in Radian Group by 5.0% during the 2nd quarter. Vanguard Group Inc. now owns 18,116,304 shares of the insurance provider’s stock worth $296,201,000 after acquiring an additional 859,950 shares during the period. LSV Asset Management increased its stake in Radian Group by 0.6% during the 2nd quarter. LSV Asset Management now owns 10,409,782 shares of the insurance provider’s stock worth $170,199,000 after acquiring an additional 58,304 shares during the period. Northern Trust Corp increased its stake in Radian Group by 24.6% during the 2nd quarter. Northern Trust Corp now owns 5,305,329 shares of the insurance provider’s stock worth $86,742,000 after acquiring an additional 1,048,954 shares during the period. Capital World Investors increased its stake in Radian Group by 42.7% during the 2nd quarter. Capital World Investors now owns 4,930,000 shares of the insurance provider’s stock worth $80,606,000 after acquiring an additional 1,475,000 shares during the period. Finally, Boston Partners increased its stake in Radian Group by 2.7% during the 3rd quarter. Boston Partners now owns 3,504,572 shares of the insurance provider’s stock worth $65,500,000 after acquiring an additional 92,553 shares during the period. Hedge funds and other institutional investors own 91.43% of the company’s stock.
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Radian Group Company Profile
Radian Group Inc is an insurance holding company that provides mortgage insurance, and products and services to the real estate and mortgage finance industries. The Company operates in two segments: Mortgage Insurance and Services. The Mortgage Insurance segment provides credit-related insurance coverage, principally through private mortgage insurance to mortgage lending institutions.
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