NFC Investments LLC has increased its shareholding in MGIC Investment Corporation (NYSE: MTG) by 1.0% during the second quarter of 2023. According to a recent filing with the Securities and Exchange Commission, the institutional investor now holds 1,875,864 shares following the acquisition of an additional 18,872 shares. This investment makes up approximately 14.9% of NFC Investments LLC’s total portfolio, making MGIC its largest holding, valued at about $52.2 million.
Several other institutional investors have also adjusted their positions in MGIC Investment. For instance, Waterloo Capital L.P. raised its stake by 11.3%, now owning 34,265 shares worth $954,000 after purchasing an additional 3,488 shares. Meanwhile, Prudential Financial Inc. expanded its holdings by 41.4%, acquiring 59,855 shares to reach a total of 204,397 shares valued at $5.69 million.
Centric Wealth Management increased its stake by 1.3%, now holding 126,642 shares worth $3.44 million. Additionally, American Century Companies Inc. boosted its position by 0.8%, resulting in ownership of 3,039,553 shares valued at $84.62 million. Franklin Resources Inc. made a notable increase of 51.6%, owning 2,658,372 shares valued at $74.01 million after acquiring 904,734 shares during the same period. Overall, hedge funds and institutional investors now control 95.58% of MGIC Investment’s stock.
Stock Performance and Dividends
As of the latest trading session, MGIC Investment stock opened at $28.31. The stock’s performance shows a 50-day simple moving average of $27.70 and a 200-day simple moving average of $27.18. The company’s financial health is reflected in a current ratio of 1.46, a quick ratio of 1.46, and a relatively low debt-to-equity ratio of 0.13. Over the past year, MGIC Investment has experienced a low of $21.94 and a high of $29.01, with a market capitalization of $6.33 billion.
In addition, MGIC announced a quarterly dividend of $0.15 per share, which was paid on November 20, 2023. This dividend, representing an annualized amount of $0.60, results in a dividend yield of 2.1%. The ex-dividend date was set for November 6, 2023, with a payout ratio of 19.29%.
Analyst Insights and Insider Transactions
Research reports from analysts indicate a mixed outlook for MGIC Investment. Weiss Ratings has reiterated a “buy” rating with an A- designation. Barclays has adjusted its price target from $27.00 to $28.00, assigning a “cautious” rating to the stock. Presently, one analyst rates the stock as a Strong Buy, three analysts recommend holding, and two suggest selling. The average rating stands at “Hold” with a price target of $26.80.
In terms of insider activity, Chief Operating Officer Salvatore A. Miosi sold 30,000 shares on October 1, 2023, at an average price of $28.15, totaling $844,500. Following this transaction, Miosi holds 189,401 shares valued at approximately $5.33 million. Similarly, Chief Executive Officer Timothy J. Mattke sold 139,203 shares on October 7, 2023, at an average price of $27.09, amounting to $3.77 million. After this sale, Mattke retains 961,791 shares, worth around $26.05 million. In total, insiders have sold 219,203 shares worth $5.99 million in the last ninety days, with insiders owning 1.05% of the company’s shares.
MGIC Investment Corporation, through its subsidiaries, provides private mortgage insurance and related services to lenders and government-sponsored entities across the United States, the District of Columbia, Puerto Rico, and Guam. The company specializes in mortgage default protection on individual loans, covering unpaid principal, delinquent interest, and costs associated with defaults and foreclosures.
