Today’s Stock On Watch: Is Buying 52-Week Stock Like Essent Group Ltd a Winning Strategy?

Today's Stock On Watch: Is Buying 52 Week Stock Like Essent Group Ltd a Winning Strategy?

The stock of Essent Group Ltd (NYSE:ESNT) hit a new 52-week high and has $32.25 target or 6.00% above today’s $30.42 share price. The 6 months bullish chart indicates low risk for the $2.88 billion company. The 1-year high was reported on Nov, 28 by Barchart.com. If the $32.25 price target is reached, the company will be worth $172.80M more.
The 52-week high event is an important milestone for every stock because it shows very positive momentum and is time when buyers come in. During such notable technical setup, fundamental investors usually stay away and are careful shorting or selling the stock. About 599,309 shares traded hands. Essent Group Ltd (NYSE:ESNT) has risen 46.10% since April 25, 2016 and is uptrending. It has outperformed by 40.09% the S&P500.

Analysts await Essent Group Ltd (NYSE:ESNT) to report earnings on February, 10. They expect $0.62 earnings per share, up 31.91% or $0.15 from last year’s $0.47 per share. ESNT’s profit will be $58.70 million for 12.27 P/E if the $0.62 EPS becomes a reality. After $0.65 actual earnings per share reported by Essent Group Ltd for the previous quarter, Wall Street now forecasts -4.62% negative EPS growth.

Essent Group Ltd (NYSE:ESNT) Ratings Coverage

Out of 6 analysts covering Essent Group (NYSE:ESNT), 2 rate it a “Buy”, 1 “Sell”, while 3 “Hold”. This means 33% are positive. Essent Group has been the topic of 14 analyst reports since August 12, 2015 according to StockzIntelligence Inc. The stock has “Market Perform” rating given by Keefe Bruyette & Woods on Friday, August 5. The firm has “Neutral” rating given on Friday, August 5 by Compass Point. The stock of Essent Group Ltd (NYSE:ESNT) has “Neutral” rating given on Tuesday, February 16 by Compass Point. As per Wednesday, September 28, the company rating was downgraded by Bank of America. The rating was maintained by Barclays Capital with “Overweight” on Friday, August 5. On Wednesday, September 7 the stock rating was maintained by Barclays Capital with “Overweight”. Compass Point maintained Essent Group Ltd (NYSE:ESNT) rating on Friday, May 6. Compass Point has “Neutral” rating and $24 price target. The firm has “Underperform” rating by Bank of America given on Thursday, October 27. Credit Suisse maintained it with “Neutral” rating and $24 target price in Monday, May 2 report.

According to Zacks Investment Research, “Essent Group Ltd., through its subsidiaries, operates as a private mortgage insurance company. It serves originators of residential mortgage loans, such as regulated depository institutions, mortgage banks, credit unions, and other lenders. Essent Group Ltd. is based in Hamilton, Bermuda.”

Insitutional Activity: The institutional sentiment increased to 1.98 in 2016 Q2. Its up 0.54, from 1.44 in 2016Q1. The ratio increased, as 16 funds sold all Essent Group Ltd shares owned while 38 reduced positions. 24 funds bought stakes while 54 increased positions. They now own 70.39 million shares or 0.71% more from 69.90 million shares in 2016Q1.
Swiss Savings Bank accumulated 0% or 111,500 shares. Northern Trust Corporation last reported 854,036 shares in the company. Macquarie Gp Limited last reported 0% of its portfolio in the stock. The California-based Wells Fargo Mn has invested 0.03% in Essent Group Ltd (NYSE:ESNT). Skyline Asset Mngmt Lp last reported 1.37% of its portfolio in the stock. Voya Investment Lc accumulated 30,181 shares or 0% of the stock. Alps has 20,263 shares for 0% of their US portfolio. Moreover, Lazard Asset Mgmt Limited Liability has 0.01% invested in Essent Group Ltd (NYSE:ESNT) for 109,400 shares. Mycio Wealth Prns Ltd, a Pennsylvania-based fund reported 135 shares. Balyasny Asset Management Lc holds 0.02% of its portfolio in Essent Group Ltd (NYSE:ESNT) for 163,883 shares. Eaton Vance Mngmt, a Massachusetts-based fund reported 463,026 shares. Basswood Cap Mgmt Limited Liability Com reported 154,733 shares or 0.2% of all its holdings. Zebra Capital Management Limited Liability holds 0.13% of its portfolio in Essent Group Ltd (NYSE:ESNT) for 17,243 shares. Blackrock has 48,982 shares for 0% of their US portfolio. Principal Financial Gp Inc Inc holds 0% of its portfolio in Essent Group Ltd (NYSE:ESNT) for 15,787 shares.

Insider Transactions: Since July 6, 2016, the stock had 1 insider buy, and 8 insider sales for $66.78 million net activity. MCALEE LAWRENCE E JR sold $85,500 worth of stock or 3,000 shares. 24,000 shares were sold by Cashmer Jeff, worth $627,600. $775,409 worth of Essent Group Ltd (NYSE:ESNT) was bought by Turnbull Andrew. Shares for $72,600 were sold by Gibbons Mary Lourdes. $66.13M worth of Essent Group Ltd (NYSE:ESNT) was sold by PBRA (CAYMAN) Co on Thursday, November 10.

More notable recent Essent Group Ltd (NYSE:ESNT) news were published by: Businesswire.com which released: “Essent Group Ltd. CEO to Present at the J.P. Morgan 2016 FinTech & Specialty …” on November 23, 2016, also Businesswire.com with their article: “Essent Group Ltd. Schedules Third Quarter Earnings Conference Call on November …” published on October 13, 2016, Businesswire.com published: “Essent Group Ltd. Reports Third Quarter 2016 Results” on November 04, 2016. More interesting news about Essent Group Ltd (NYSE:ESNT) were released by: Businesswire.com and their article: “Essent Group Ltd. Reports Second Quarter 2016 Results” published on August 04, 2016 as well as Businesswire.com‘s news article titled: “Essent Group Ltd. Enters Into $200 Million Revolving Credit Facility” with publication date: April 21, 2016.

ESNT Company Profile

Essent Group Ltd. (Essent), incorporated on July 1, 2008, is a private mortgage insurance company. The Firm is engaged in serving the United States housing finance industry. It offers private mortgage insurance and reinsurance for mortgages secured by residential properties located in the United States. The primary mortgage insurance activities are conducted through Essent Guaranty, Inc. (Essent Guaranty), a subsidiary of the firm domiciled in the state of Pennsylvania. Essent Guaranty maintains activities centers and operates additional underwriting and service centers in Winston-Salem, North Carolina and Irvine, California. Essent Guaranty is a mortgage insurer and is licensed to write mortgage insurance in all 50 states and the District of Columbia.

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