Radian Group Inc. (NYSE:RDN) Sees Large Growth in Short Interest

Radian Group Inc. (NYSE:RDN) was the recipient of a significant increase in short interest in February. As of February 28th, there was short interest totalling 12,390,000 shares, an increase of 41.1% from the February 13th total of 8,780,000 shares. Based on an average daily volume of 1,260,000 shares, the days-to-cover ratio is presently 9.8 days. Approximately 8.7% of the company’s stock are sold short.

Insider Buying and Selling at Radian Group

In related news, Director Gregory Serio sold 4,100 shares of the firm’s stock in a transaction on Friday, February 28th. The shares were sold at an average price of $32.65, for a total value of $133,865.00. Following the completion of the transaction, the director now directly owns 344 shares of the company’s stock, valued at approximately $11,231.60. This trade represents a 92.26 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Corporate insiders own 2.16% of the company’s stock.

Hedge Funds Weigh In On Radian Group

Institutional investors and hedge funds have recently modified their holdings of the business. KBC Group NV boosted its holdings in Radian Group by 19.0% in the 3rd quarter. KBC Group NV now owns 4,481 shares of the insurance provider’s stock valued at $155,000 after purchasing an additional 716 shares during the period. Quest Partners LLC bought a new stake in shares of Radian Group in the third quarter valued at approximately $1,161,000. Moran Wealth Management LLC acquired a new stake in Radian Group during the third quarter worth approximately $2,650,000. BNP PARIBAS ASSET MANAGEMENT Holding S.A. increased its stake in Radian Group by 10.2% during the 3rd quarter. BNP PARIBAS ASSET MANAGEMENT Holding S.A. now owns 711,960 shares of the insurance provider’s stock worth $24,698,000 after acquiring an additional 65,678 shares during the period. Finally, Intech Investment Management LLC bought a new position in Radian Group during the 3rd quarter worth $1,075,000. 95.33% of the stock is currently owned by institutional investors and hedge funds.

Radian Group Stock Performance

RDN traded up $0.44 on Friday, reaching $31.52. The company had a trading volume of 1,305,600 shares, compared to its average volume of 954,907. The stock has a market cap of $4.57 billion, a P/E ratio of 8.02, a P/E/G ratio of 1.73 and a beta of 1.04. 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 has a fifty-two week low of $29.17 and a fifty-two week high of $37.86. The company’s fifty day moving average is $32.62 and its 200 day moving average is $33.66.

Radian Group (NYSE:RDN) last posted its earnings results on Wednesday, February 5th. The insurance provider reported $1.09 EPS for the quarter, beating the consensus estimate of $0.92 by $0.17. Radian Group had a return on equity of 13.96% and a net margin of 46.85%. As a group, analysts predict that Radian Group will post 3.79 earnings per share for the current fiscal year.

Radian Group Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, March 11th. Stockholders of record on Monday, February 24th were issued a dividend of $0.255 per share. The ex-dividend date of this dividend was Monday, February 24th. This represents a $1.02 dividend on an annualized basis and a dividend yield of 3.24%. This is an increase from Radian Group’s previous quarterly dividend of $0.25. Radian Group’s dividend payout ratio (DPR) is currently 25.95%.

Wall Street Analysts Forecast Growth

Several research analysts have recently weighed in on RDN shares. Keefe, Bruyette & Woods lowered their price objective on shares of Radian Group from $41.00 to $40.00 and set an “outperform” rating on the stock in a research note on Wednesday, January 8th. UBS Group boosted their price target on Radian Group from $33.00 to $34.00 and gave the stock a “neutral” rating in a research report on Wednesday, February 19th. Three investment analysts have rated the stock with a hold rating and two have issued a buy rating to the company. According to data from MarketBeat.com, Radian Group presently has an average rating of “Hold” and a consensus price target of $36.80.

About Radian Group

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.