Market Overview

UPDATE: Goldman Sachs Initiates Coverage on MGIC Investment on Opportunities in Mortgage Finance Value Chain

Related MTG
Watch These 5 Huge Put Purchases In Monday Trade
Watch These 7 Huge Call Purchases In Wednesday Trade
Another Potential Masterstroke For Arch Capital (Seeking Alpha)

In a report published Thursday, Goldman Sachs analyst Eric Beardsley initiated coverage on MGIC Investment (NYSE: MTG) with a Conviction List-Buy rating and $10.00 price target.

In the report, Goldman Sachs noted, “We initiate coverage on the Specialty Finance sector with Buy ratings on MTG (CL-Buy) and RDN (23% and 18% upside to our targets respectively) as we believe their pace of credit improvement is underestimated by the market. The sector also has one of the strongest secular growth outlooks in financials as FHA reform drives increased demand for private mortgage insurance. New entrant ESNT (Neutral) is a pure-play growth story, though lacks the credit upside of MTG and RDN and looks fairly valued in our view.”

MGIC Investment closed on Wednesday at $8.10.

Latest Ratings for MTG

Oct 2016Bank of AmericaInitiates Coverage OnBuy
Oct 2016Keefe Bruyette & WoodsMaintainsOutperform
Jul 2016Compass PointUpgradesNeutralBuy

View More Analyst Ratings for MTG
View the Latest Analyst Ratings

Posted-In: Eric Beardsley Goldman SachsAnalyst Color Initiation Analyst Ratings


Related Articles (MTG)

View Comments and Join the Discussion!