Why Essent's Stock Is Trading Lower Today

Essent Group ESNT shares are trading lower on Thursday after the company announced an offering of 11 million common shares.

Essent Group is a private mortgage insurance company in the U.S. Essent provides credit protection to lenders and mortgage investors by covering a portion of the unpaid principal balance of a mortgage and certain related expenses in the event of a default.

By providing capital to mitigate mortgage credit risk, the company allows lenders to make additional mortgage financing available to prospective homeowners. Essent writes mortgage guaranty coverage in all 50 states and the District of Columbia.

Essent Group shares were trading down 6.44% at $35.01 at the time of publication on Thursday. The stock has a 52-week high of $55.84 and a 52-week low of $17.52 cents.