Essent Group Ltd. (NYSE: ESNT) has received a consensus rating of “Moderate Buy” from ten analysts covering the company, according to data from MarketBeat.com. This rating reflects a balanced view, with five analysts recommending a buy and five suggesting a hold on the stock. The average 12-month price target among these analysts stands at approximately $69.14.
Several recent analyses highlight varying outlooks for Essent Group. On December 18, Keefe, Bruyette & Woods raised their price objective from $71.00 to $73.00, maintaining a “market perform” rating. In a report dated January 2, Roth Capital increased their target price from $70.00 to $75.00, issuing a “buy” rating. Conversely, Goldman Sachs Group reaffirmed a “neutral” rating with a price target of $70.00.
Investors have also seen notable actions from analysts regarding the company’s stock. JPMorgan Chase & Co. downgraded Essent Group from “overweight” to “neutral,” reducing the target price from $66.00 to $65.00 in a report released on October 7. Meanwhile, Weiss Ratings reaffirmed a “buy (B+)” rating on December 29, reflecting confidence in the company’s potential.
Current Market Performance
As of Friday, Essent Group’s stock opened at $64.09. The company boasts a market capitalization of $6.20 billion, with a P/E ratio of 9.33 and a beta of 0.90. The firm has demonstrated stability, with a quick ratio and current ratio both at 1.68, alongside a low debt-to-equity ratio of 0.09.
In terms of price movement, Essent Group’s shares have fluctuated between a twelve-month low of $51.61 and a high of $67.09. The company released its quarterly earnings data on November 7, reporting earnings per share (EPS) of $1.67, which fell short of the consensus estimate of $1.75 by $0.08. Revenue for the quarter was recorded at $311.83 million, slightly below the expected $316.84 million.
Despite this, the company maintained a robust net margin of 55.63% and a return on equity of 12.40%. Analysts project that Essent Group will generate an EPS of $6.88 for the current fiscal year.
Dividend Announcements and Insider Activity
Recently, Essent Group declared a quarterly dividend of $0.31, which was paid on December 10. Shareholders on record as of December 1 received this payment, reflecting an annualized dividend of $1.24 and a yield of 1.9%. The company’s dividend payout ratio stands at 18.05%.
In terms of insider trading, Mary Lourdes Gibbons, Senior Vice President, sold 4,352 shares on December 18 at an average price of $67.00, totaling $291,584.00. Post-transaction, she retained 237,896 shares valued at approximately $15.94 million. Another notable transaction occurred on November 14, when Roy James Kasmar, a director, sold 3,250 shares at an average price of $61.44, amounting to $199,680.00.
Institutional investors continue to be active with Essent Group. Recently, Jane Street Group LLC increased its stake by 760.5%, acquiring an additional 324,757 shares and bringing its total to 367,460 shares valued at $21.21 million. Other significant changes in holdings include Arrowstreet Capital Limited Partnership, which lifted its position by 184.8%, and Pacer Advisors Inc., which grew its holdings by 531.1%.
Currently, institutional investors hold approximately 93% of Essent Group’s stock, indicating strong confidence in the company’s prospects as it continues to navigate the financial landscape.
Essent Group Ltd. specializes in private mortgage insurance and mortgage reinsurance solutions, providing essential credit protection to mortgage lenders. Its products facilitate low-down-payment programs, enabling homebuyers to achieve ownership with reduced equity requirements.
