Radian Group (NYSE:RDN) Rating Lowered to Hold at Compass Point

Radian Group (NYSE:RDN) was downgraded by analysts at Compass Point from a “strong-buy” rating to a “hold” rating in a research report issued on Friday,Zacks.com reports.

Several other analysts have also commented on RDN. Keefe, Bruyette & Woods reissued an “outperform” rating and set a $38.00 price target (up from $37.00) on shares of Radian Group in a research report on Friday, May 2nd. UBS Group increased their price target on shares of Radian Group from $34.00 to $36.00 and gave the company a “neutral” rating in a research report on Monday, May 5th. Four investment analysts have rated the stock with a hold rating and two have assigned a buy rating to the stock. Based on data from MarketBeat.com, Radian Group has a consensus rating of “Hold” and a consensus price target of $36.83.

Radian Group Stock Performance

RDN stock opened at $33.28 on Friday. The firm has a market cap of $4.47 billion, a price-to-earnings ratio of 8.47, a PEG ratio of 1.73 and a beta of 0.71. The firm has a 50-day simple moving average of $32.65 and a two-hundred day simple moving average of $32.91. Radian Group has a one year low of $29.32 and a one year high of $37.86. The company has a debt-to-equity ratio of 0.50, a quick ratio of 2.01 and a current ratio of 2.87.

Radian Group (NYSE:RDN) last released its quarterly earnings results on Wednesday, April 30th. The insurance provider reported $0.99 EPS for the quarter, beating the consensus estimate of $0.95 by $0.04. The business had revenue of $318.11 million during the quarter, compared to analyst estimates of $326.99 million. Radian Group had a net margin of 46.85% and a return on equity of 13.96%. The company’s quarterly revenue was down .4% on a year-over-year basis. During the same period in the prior year, the firm posted $1.03 earnings per share. On average, equities analysts forecast that Radian Group will post 3.79 EPS for the current fiscal year.

Radian Group declared that its Board of Directors has approved a stock buyback plan on Wednesday, May 21st that authorizes the company to repurchase $750.00 million in shares. This repurchase authorization authorizes the insurance provider to repurchase up to 16.9% of its shares through open market purchases. Shares repurchase plans are often a sign that the company’s leadership believes its stock is undervalued.

Insider Activity at Radian Group

In other news, Director Gregory Serio sold 4,100 shares of Radian Group stock in a transaction that occurred on Friday, February 28th. The shares were sold at an average price of $32.65, for a total transaction of $133,865.00. Following the completion of the transaction, the director now directly owns 344 shares of the company’s stock, valued at $11,231.60. The trade was a 92.26% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. 2.01% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Radian Group

Several institutional investors have recently made changes to their positions in RDN. Geneos Wealth Management Inc. increased its holdings in shares of Radian Group by 191.3% during the 1st quarter. Geneos Wealth Management Inc. now owns 871 shares of the insurance provider’s stock valued at $29,000 after purchasing an additional 572 shares in the last quarter. Picton Mahoney Asset Management increased its holdings in shares of Radian Group by 54.3% during the 4th quarter. Picton Mahoney Asset Management now owns 972 shares of the insurance provider’s stock valued at $31,000 after purchasing an additional 342 shares in the last quarter. V Square Quantitative Management LLC grew its stake in Radian Group by 61.5% in the 4th quarter. V Square Quantitative Management LLC now owns 1,274 shares of the insurance provider’s stock valued at $40,000 after acquiring an additional 485 shares during the period. Covestor Ltd grew its stake in Radian Group by 35.6% in the 4th quarter. Covestor Ltd now owns 1,351 shares of the insurance provider’s stock valued at $43,000 after acquiring an additional 355 shares during the period. Finally, Smartleaf Asset Management LLC grew its stake in Radian Group by 124.8% in the 4th quarter. Smartleaf Asset Management LLC now owns 2,378 shares of the insurance provider’s stock valued at $75,000 after acquiring an additional 1,320 shares during the period. 95.33% of the stock is owned by hedge funds and other institutional investors.

Radian Group Company Profile

Radian Group Inc, together with its subsidiaries, engages in the mortgage and real estate services business in the United States. It operates through two segments, Mortgage Insurance and Homegenius segments. The Mortgage Insurance segment aggregates, manages, and distributes U.S. mortgage credit risk for mortgage lending institutions and mortgage credit investors, through private mortgage insurance on residential first-lien mortgage loans; and other credit risk management solutions, including contract underwriting.