Dallas, Texas 04/15/2014 (FINANCIALSTRENDS) – MGIC Investment Corp.(NYSE:MTG) latest news release provided updates on the announcement of its first quarter earnings results. On April 22, 2014, MGIC will release financial reports, before the opening bell.
MGIC Investment Corp. (NYSE:MTG) had in the first quarter of 2013, reported net loss of $0.32 per share. In the fourth quarter of 2013, however, the company had seen only a net loss of $0.01 per share, even better the market estimates.
It is expected that MTG will continue to focus on this heavy movement forward of the previous quarter and beat analyst estimates.
The positive indicator that the earnings will be as expected is the growth in EPS, which has currently grown to 96.51%. Analysts have also declared that the EPS for the first quarter of 2014 is expected to reach $0.12.
In the previous week the company received coverage by analysts. With MGIC Investment Corp. (NYSE:MTG) receiving new primary insurance mortgage of $2 billion, from its previous $1.5 billion, the company stock prices had risen higher.
MGIC Investment Corp. (NYSE:MTG) by analysts now hold a sell on the stoc, based on the fact that the gross profit margins are way below the industry averages. Additionally, analysts feel the return on equity though high is off set by the revenue fall which was way below the industry average of 26.3%,
The issue for MGIC Investment Corp. (NYSE:MTG) was the significant fall in revenue which was more rapid than peers in the industry. Fortunately for MGIC it is safe in terms of the bottom line as the earnings per share rose as well. The current growth, in terms of stock, is well over 73.30% in the past year, incidentally way higher than the S&P500 Index.
MGIC will now have to curtail its weaknesses and play on its strengths as it continues to re-strategize and achieve higher results.