Mortgage insurance provider Radian Group (NYSE: RDN) will be reporting results this Wednesday afternoon. Here’s what to expect.
Radian Group beat analysts’ revenue expectations last quarter, reporting revenues of $466.3 million, up 46.1% year on year. It was a strong quarter for the company, with a narrow beat of analysts’ EPS estimates.
Is Radian Group a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Radian Group’s revenue to grow 91.1% year on year, a reversal from the 12.9% decrease it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Radian Group has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Radian Group’s peers in the property & casualty insurance segment, some have already reported their Q2 results, giving us a hint as to what we can expect. First American Financial delivered year-on-year revenue growth of 15%, beating analysts’ expectations by 3.4%, and CNA Financial reported revenues up 1.9%, topping estimates by 1.2%. First American Financial traded down 2.2% following the results.
Read our full analysis of First American Financial’s results here and CNA Financial’s results here.
Investors in the property & casualty insurance segment have had steady hands going into earnings, with share prices up 1.3% on average over the last month. Radian Group is up 3% during the same time and is heading into earnings with an average analyst price target of $45 (compared to the current share price of $39.32).
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