United Fire Group (NASDAQ:UFCS) Shares Cross Above 200 Day Moving Average – What’s Next?

Shares of United Fire Group, Inc (NASDAQ:UFCS) crossed above its 200-day moving average during trading on Wednesday . The stock has a 200-day moving average of $39.36 and traded as high as $48.68. United Fire Group shares last traded at $47.98, with a volume of 109,186 shares.

Wall Street Analysts Forecast Growth

A number of research firms have recently weighed in on UFCS. Wall Street Zen raised United Fire Group from a “hold” rating to a “buy” rating in a research report on Saturday, May 9th. Piper Sandler increased their price target on United Fire Group from $45.00 to $57.00 and gave the company an “overweight” rating in a research note on Thursday, May 7th. Zacks Research upgraded United Fire Group from a “hold” rating to a “strong-buy” rating in a research note on Friday, May 8th. JonesTrading upped their price objective on shares of United Fire Group from $40.00 to $45.00 and gave the company a “buy” rating in a report on Thursday, May 7th. Finally, Weiss Ratings reaffirmed a “buy (b)” rating on shares of United Fire Group in a research report on Wednesday, May 13th. One equities research analyst has rated the stock with a Strong Buy rating and three have issued a Buy rating to the stock. According to MarketBeat, the company presently has an average rating of “Buy” and an average price target of $51.00.

United Fire Group Price Performance

The company has a market cap of $1.23 billion, a PE ratio of 9.67 and a beta of 0.52. The company has a debt-to-equity ratio of 0.15, a quick ratio of 0.34 and a current ratio of 0.34. The stock has a 50 day moving average of $44.08 and a 200-day moving average of $39.36.

United Fire Group (NASDAQ:UFCS) last posted its quarterly earnings results on Tuesday, May 5th. The insurance provider reported $1.16 earnings per share for the quarter, beating the consensus estimate of $0.87 by $0.29. The business had revenue of $369.44 million for the quarter, compared to the consensus estimate of $340.16 million. United Fire Group had a return on equity of 14.65% and a net margin of 9.16%. Equities analysts predict that United Fire Group, Inc will post 4.69 earnings per share for the current year.

United Fire Group Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, June 19th. Investors of record on Friday, June 5th will be given a $0.20 dividend. The ex-dividend date is Friday, June 5th. This represents a $0.80 dividend on an annualized basis and a yield of 1.7%. United Fire Group’s dividend payout ratio is currently 16.13%.

United Fire Group declared that its Board of Directors has authorized a stock buyback program on Wednesday, May 20th that allows the company to repurchase 2,000,000 outstanding shares. This repurchase authorization allows the insurance provider to buy shares of its stock through open market purchases. Stock repurchase programs are generally an indication that the company’s management believes its shares are undervalued.

Insider Transactions at United Fire Group

In other United Fire Group news, Director George D. Milligan acquired 4,500 shares of the firm’s stock in a transaction on Friday, June 5th. The stock was acquired at an average cost of $45.23 per share, for a total transaction of $203,535.00. Following the purchase, the director owned 90,034 shares in the company, valued at approximately $4,072,237.82. The trade was a 5.26% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Corporate insiders own 6.06% of the company’s stock.

Institutional Trading of United Fire Group

A number of hedge funds and other institutional investors have recently made changes to their positions in UFCS. Smartleaf Asset Management LLC raised its holdings in shares of United Fire Group by 129.4% during the fourth quarter. Smartleaf Asset Management LLC now owns 686 shares of the insurance provider’s stock worth $25,000 after purchasing an additional 387 shares during the last quarter. Basepoint Wealth LLC purchased a new stake in United Fire Group in the fourth quarter valued at $26,000. Federated Hermes Inc. boosted its holdings in United Fire Group by 109.5% in the fourth quarter. Federated Hermes Inc. now owns 1,190 shares of the insurance provider’s stock valued at $43,000 after purchasing an additional 622 shares during the last quarter. Kemnay Advisory Services Inc. acquired a new stake in United Fire Group during the 4th quarter worth about $48,000. Finally, Meeder Asset Management Inc. purchased a new position in shares of United Fire Group during the 4th quarter valued at about $53,000. Institutional investors and hedge funds own 62.68% of the company’s stock.

About United Fire Group

United Fire Group, Inc (NASDAQ: UFCS) is an insurance holding company based in Cedar Rapids, Iowa, that specializes in property and casualty coverage for commercial and personal lines. The company underwrites business through three primary segments: commercial, personal and specialty insurance. Within the commercial segment, United Fire Group offers tailored policies for small- and medium-sized enterprises, including general liability, commercial property and workers’ compensation. Its personal lines cover homeowners, auto, farm and umbrella policies.

United Fire Group distributes its products primarily through a national network of independent insurance agents and brokers.