Universal Insurance (NYSE:UVE) Shares Down 6.4% – What’s Next?

Universal Insurance Holdings Inc (NYSE:UVE) traded down 6.4% during trading on Friday . The company traded as low as $32.22 and last traded at $31.6460. 29,425 shares traded hands during mid-day trading, a decline of 85% from the average session volume of 202,660 shares. The stock had previously closed at $33.80.

Analyst Ratings Changes

UVE has been the topic of a number of analyst reports. Weiss Ratings reaffirmed a “buy (b)” rating on shares of Universal Insurance in a report on Wednesday, October 8th. Wall Street Zen upgraded shares of Universal Insurance from a “buy” rating to a “strong-buy” rating in a report on Saturday, December 27th. Piper Sandler upped their price objective on shares of Universal Insurance from $35.00 to $40.00 and gave the stock an “overweight” rating in a research report on Monday, December 22nd. Finally, Zacks Research lowered shares of Universal Insurance from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, December 23rd. Two investment analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $40.00.

Universal Insurance Stock Performance

The company’s 50-day moving average is $33.11 and its two-hundred day moving average is $28.30. The company has a quick ratio of 0.55, a current ratio of 0.55 and a debt-to-equity ratio of 0.20. The company has a market cap of $888.32 million, a P/E ratio of 7.47 and a beta of 0.73.

Universal Insurance (NYSE:UVE) last released its earnings results on Thursday, October 23rd. The insurance provider reported $1.36 earnings per share for the quarter, beating analysts’ consensus estimates of $1.10 by $0.26. Universal Insurance had a net margin of 7.74% and a return on equity of 28.25%. The firm had revenue of $400.03 million for the quarter, compared to analysts’ expectations of $366.36 million. Equities analysts predict that Universal Insurance Holdings Inc will post 1.66 EPS for the current year.

Universal Insurance Announces Dividend

The company also recently announced a special dividend, which was paid on Friday, December 12th. Shareholders of record on Friday, December 5th were given a $0.13 dividend. The ex-dividend date of this dividend was Friday, December 5th. Universal Insurance’s dividend payout ratio (DPR) is currently 15.09%.

Insider Transactions at Universal Insurance

In other news, Chairman Sean P. Downes sold 20,000 shares of the company’s stock in a transaction on Friday, December 19th. The stock was sold at an average price of $33.82, for a total transaction of $676,400.00. Following the transaction, the chairman owned 1,243,512 shares of the company’s stock, valued at $42,055,575.84. This represents a 1.58% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Stephen Donaghy sold 25,000 shares of Universal Insurance stock in a transaction dated Monday, December 29th. The stock was sold at an average price of $34.07, for a total value of $851,750.00. Following the completion of the sale, the chief executive officer directly owned 679,961 shares of the company’s stock, valued at approximately $23,166,271.27. This trade represents a 3.55% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 146,598 shares of company stock valued at $4,839,579. Corporate insiders own 16.60% of the company’s stock.

Institutional Trading of Universal Insurance

A number of institutional investors have recently modified their holdings of the business. JPMorgan Chase & Co. boosted its holdings in Universal Insurance by 3.3% in the 3rd quarter. JPMorgan Chase & Co. now owns 224,175 shares of the insurance provider’s stock worth $5,896,000 after buying an additional 7,088 shares during the period. Jacobs Levy Equity Management Inc. boosted its holdings in shares of Universal Insurance by 12.7% in the third quarter. Jacobs Levy Equity Management Inc. now owns 371,982 shares of the insurance provider’s stock worth $9,783,000 after acquiring an additional 41,830 shares during the period. Qube Research & Technologies Ltd boosted its holdings in shares of Universal Insurance by 12.7% in the third quarter. Qube Research & Technologies Ltd now owns 131,777 shares of the insurance provider’s stock worth $3,466,000 after acquiring an additional 14,875 shares during the period. Public Employees Retirement System of Ohio grew its position in shares of Universal Insurance by 14.8% in the third quarter. Public Employees Retirement System of Ohio now owns 23,161 shares of the insurance provider’s stock valued at $609,000 after purchasing an additional 2,980 shares in the last quarter. Finally, Millennium Management LLC raised its stake in shares of Universal Insurance by 212.3% during the 3rd quarter. Millennium Management LLC now owns 596,370 shares of the insurance provider’s stock valued at $15,685,000 after purchasing an additional 405,403 shares during the period. 66.61% of the stock is currently owned by hedge funds and other institutional investors.

About Universal Insurance

Universal Insurance Holdings, Inc (NYSE: UVE) is a property and casualty insurance holding company headquartered in Jacksonville, Florida. The company underwrites homeowners and other residential property insurance products to protect against natural catastrophes such as hurricanes, windstorms and fires. It distributes policies primarily through a network of independent agents and brokers, offering coverage for primary residences, secondary homes, condominiums, vacant dwellings and rental properties across its service territory.

In addition to personal lines, Universal provides commercial property and casualty insurance tailored to small businesses and institutional clients.