The Vanguard Group, Inc. recently announced the acquisition of new stake in Radian Group Inc. (NYSE:RDN). The institutional investor has increased its shareholding in the Financial company by 0.48% to 18.87 million shares with purchase of 89194.0 shares. This fresh investment now brings its stake to 9.91% valued currently at $292.62 million. In addition, Fidelity Management & Research Co. raised its holdings by 0.15 million to 16.4 million shares. And Putnam Investment Management LLC has lifted its position by 2.52% or 0.23 million shares – to 9.37 million shares.
With over 1.63 million Radian Group Inc. (RDN) shares trading Monday and a closing price of $14.97 on the day, the dollar volume was approximately $24.36 million. The shares have shown a positive weekly performance of 8.09% and its price on 08/03/20 gained nearly 0.34%. Currently, there are 200.16M common shares owned by the public and among those 189.43M shares have been available to trade.
An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 12 analysts who have offered their price forecasts for RDN have a consensus price objective of $21.50. The analysts have set the share’s price value over the next 12 months at a high of $28.00 and a low of $16.00 should the stock experience a downside. Incidentally, analysts’ outlook for the Radian Group Inc. stock is 1.90 for the next 12 months. The average price target is 30.37% above its last price level and an upside to the estimated low will see the stock gain 6.44% over that period. But an upside of 46.54% will see the stock hit the forecast high price target while mean target price for the stock is $20.00.
Insiders at the company have transacted a total of 46 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 24 of these insider trades were purchases, accounting for 310,373 shares. Insider sales of the common stock occurred on 22 occasions, with total insider shares sold totaling 138,992 shares.
The top 3 mutual fund holders in Radian Group Inc. are Putnam Equity Income Fund, Vanguard Total Stock Market Index, and Canada Pension Plan. Putnam Equity Income Fund owns 6.12 million shares of the company’s stock, all valued at over $94.85 million. The company sold 9743.0 shares recently to bring their total holdings to about 3.21% of the shares outstanding. Vanguard Total Stock Market Index sold -0.37 million shares to see its total holdings shrink to 5.43 million shares valued at over $84.24 million and representing 2.85% of the shares outstanding. Canada Pension Plan bought 2.45 million shares to bring its total holdings to over 5.05 million shares at a value of $78.4 million. Canada Pension Plan now owns shares totaling to 2.66% of the shares outstanding.
Shares of Radian Group Inc. (NYSE: RDN) opened at $14.94, up $0.02 from a prior closing price of $14.92. However, the script later closed the day at $14.97, up 0.34%. The company’s stock has a 5-day price change of 8.09% and 8.16% over the past three months. RDN shares are trading -40.50% year to date (YTD), with the 12-month market performance down to -33.56% lower. It has a 12-month low price of $9.53 and touched a high of $26.32 over the same period. Currently, 1.63 million shares have been traded, compared to an average intraday trading volume of 2.31 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by 5.79%, -2.45%, and -23.99% respectively.
Institutional ownership of Radian Group Inc. (NYSE: RDN) shares accounts for 97.30% of the company’s 200.16M shares outstanding. Mutual fund holders own 38.83%, while other institutional holders and individual stakeholders account for 57.98% and 1.28% respectively.
It has a market capitalization of $2.84B and a beta (3y monthly) value of 1.65. The stock’s trailing 12-month PE ratio is 4.87, while the earnings-per-share (ttm) stands at $3.08. The company has a PEG of 4.68 and the debt-to-equity ratio at 0.27. Price movements for the stock have been influenced by the stock’s volatility, which stands at 4.25% over the week and 4.56% over the month.
Analysts forecast that Radian Group Inc. (RDN) will achieve an EPS of $0.19 for the current quarter, $0.38 for the next quarter and $2.62 for 2021. The lowest estimate earnings-per-share for the quarter is -$0.29 while analysts give the company a high EPS estimate of $0.58. Comparatively, EPS for the current quarter was $0.8 a year ago. Earnings per share for the fiscal year are expected to increase by 15.30%, and 44.04% over the next financial year. EPS should grow at an annualized rate of 1.04% over the next five years, compared to -9.90% over the past 5-year period.
If you are looking to buy this stock, then you may note that the average analyst recommendation by 12 brokerage firm advisors rate Radian Group Inc. (RDN) as a “Strong Buy” at a consensus score of 1.90. Specifically, 9 Wall Street analysts polled rate the stock as a buy, while 3 of the 12 advise that investors “hold,” and 0 rated it as a “Sell.”
Looking at the support for the RDN, a number of firms have released research notes about the stock. Keefe Bruyette stated their Mkt Perform rating for the stock in a research note on June 09, 2020, with the firm’s price target at $21. B. Riley FBR coverage for the Radian Group Inc. (RDN) stock in a research note released on June 01, 2020 offered a Buy rating with a price target of $20. Compass Point was of a view on May 02, 2019 that the stock is Buy, while BofA/Merrill gave the stock Buy rating on May 01, 2019, issuing a price target of $23- $27. Compass Point on their part issued Buy rating on April 27, 2018.