Donegal Group (NASDAQ:DGICA) Share Price Crosses Above 200-Day Moving Average – Should You Sell?

Donegal Group, Inc. (NASDAQ:DGICA)’s stock price passed above its 200-day moving average during trading on Wednesday . The stock has a 200-day moving average of $17.97 and traded as high as $18.75. Donegal Group shares last traded at $18.02, with a volume of 145,401 shares.

Wall Street Analysts Forecast Growth

A number of research firms have weighed in on DGICA. Keefe, Bruyette & Woods upped their target price on Donegal Group from $18.00 to $20.00 and gave the stock a “market perform” rating in a report on Wednesday, July 8th. Weiss Ratings lowered Donegal Group from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Monday. One analyst has rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to MarketBeat, the company has an average rating of “Hold” and a consensus target price of $20.00.

Donegal Group Stock Down 3.9%

The company’s fifty day simple moving average is $17.76 and its 200-day simple moving average is $17.97. The firm has a market capitalization of $667.64 million and a PE ratio of 10.07. The company has a debt-to-equity ratio of 0.05, a current ratio of 0.39 and a quick ratio of 0.39.

Donegal Group (NASDAQ:DGICA) last issued its quarterly earnings data on Thursday, April 30th. The insurance provider reported $0.32 EPS for the quarter, missing the consensus estimate of $0.40 by ($0.08). The business had revenue of $236.00 million for the quarter, compared to analysts’ expectations of $247.83 million. Donegal Group had a net margin of 6.77% and a return on equity of 10.31%. On average, analysts forecast that Donegal Group, Inc. will post 1.75 EPS for the current year.

Insider Transactions at Donegal Group

In other Donegal Group news, major shareholder Mutual Insurance Co Donegal purchased 10,000 shares of the firm’s stock in a transaction on Wednesday, June 3rd. The stock was bought at an average cost of $16.62 per share, for a total transaction of $166,200.00. Following the completion of the purchase, the insider owned 14,117,109 shares in the company, valued at $234,626,351.58. This represents a 0.07% increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Over the last quarter, insiders bought 139,487 shares of company stock worth $2,392,488. Corporate insiders own 2.75% of the company’s stock.

Hedge Funds Weigh In On Donegal Group

Several hedge funds have recently modified their holdings of DGICA. Smartleaf Asset Management LLC increased its holdings in shares of Donegal Group by 576.6% during the fourth quarter. Smartleaf Asset Management LLC now owns 2,747 shares of the insurance provider’s stock valued at $55,000 after acquiring an additional 2,341 shares in the last quarter. EverSource Wealth Advisors LLC boosted its stake in Donegal Group by 422.6% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 3,679 shares of the insurance provider’s stock worth $74,000 after purchasing an additional 2,975 shares in the last quarter. IFP Advisors Inc grew its position in Donegal Group by 1,377.6% during the 4th quarter. IFP Advisors Inc now owns 3,768 shares of the insurance provider’s stock worth $75,000 after purchasing an additional 3,513 shares during the last quarter. CANADA LIFE ASSURANCE Co grew its position in Donegal Group by 31.6% during the 4th quarter. CANADA LIFE ASSURANCE Co now owns 3,733 shares of the insurance provider’s stock worth $75,000 after purchasing an additional 896 shares during the last quarter. Finally, Tower Research Capital LLC TRC increased its stake in Donegal Group by 443.9% during the 2nd quarter. Tower Research Capital LLC TRC now owns 4,928 shares of the insurance provider’s stock valued at $99,000 after purchasing an additional 4,022 shares in the last quarter. Institutional investors and hedge funds own 27.96% of the company’s stock.

About Donegal Group

Donegal Group, Inc (NASDAQ: DGICA) is a property and casualty insurance holding company headquartered in Marietta, Pennsylvania. Through a network of independent agencies, the company offers a suite of personal and commercial insurance products. Its underwriting subsidiaries provide homeowners, automobile, farmowner, commercial multi-peril, surety and umbrella coverages designed to meet the needs of individuals, families and businesses.

The company’s origins date back to 1925 with the formation of Donegal Mutual Insurance Company to serve rural communities in Pennsylvania.