Universal Insurance (NYSE:UVE) Stock Crosses Above 50-Day Moving Average – Should You Sell?

Universal Insurance Holdings Inc (NYSE:UVE)’s stock price passed above its 50 day moving average during trading on Monday . The stock has a 50 day moving average of $32.91 and traded as high as $33.87. Universal Insurance shares last traded at $33.7350, with a volume of 103,107 shares changing hands.

Analysts Set New Price Targets

UVE has been the topic of several research reports. Piper Sandler raised their price objective on shares of Universal Insurance from $35.00 to $40.00 and gave the company an “overweight” rating in a research report on Monday, December 22nd. Zacks Research upgraded shares of Universal Insurance from a “hold” rating to a “strong-buy” rating in a research report on Friday, February 27th. Wall Street Zen upgraded shares of Universal Insurance from a “buy” rating to a “strong-buy” rating in a research report on Saturday, December 27th. Finally, Weiss Ratings restated a “buy (b)” rating on shares of Universal Insurance in a research report on Wednesday, January 21st. One research analyst has rated the stock with a Strong Buy rating and two have given a Buy rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Buy” and a consensus price target of $40.00.

Universal Insurance Price Performance

The company has a quick ratio of 0.52, a current ratio of 0.52 and a debt-to-equity ratio of 0.18. The business’s 50-day simple moving average is $32.91 and its 200 day simple moving average is $31.74. The firm has a market capitalization of $944.85 million, a P/E ratio of 5.35 and a beta of 0.69.

Universal Insurance (NYSE:UVE) last issued its quarterly earnings results on Tuesday, February 24th. The insurance provider reported $2.17 EPS for the quarter, beating analysts’ consensus estimates of $1.30 by $0.87. Universal Insurance had a net margin of 11.41% and a return on equity of 37.28%. The business had revenue of $403.57 million for the quarter, compared to analysts’ expectations of $372.99 million. Sell-side analysts forecast that Universal Insurance Holdings Inc will post 1.66 earnings per share for the current year.

Universal Insurance Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, March 13th. Investors of record on Friday, March 6th were given a $0.16 dividend. This represents a $0.64 dividend on an annualized basis and a yield of 1.9%. The ex-dividend date was Friday, March 6th. Universal Insurance’s dividend payout ratio (DPR) is presently 10.14%.

Insiders Place Their Bets

In related news, CAO Kimberly D. Campos sold 879 shares of Universal Insurance stock in a transaction on Thursday, March 26th. The shares were sold at an average price of $33.84, for a total value of $29,745.36. Following the transaction, the chief accounting officer owned 7,422 shares in the company, valued at $251,160.48. This trade represents a 10.59% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Chairman Sean P. Downes sold 20,000 shares of Universal Insurance stock in a transaction on Wednesday, March 25th. The stock was sold at an average price of $34.60, for a total transaction of $692,000.00. Following the completion of the transaction, the chairman owned 1,206,788 shares in the company, valued at approximately $41,754,864.80. The trade was a 1.63% decrease in their position. The SEC filing for this sale provides additional information. 16.60% of the stock is owned by company insiders.

Hedge Funds Weigh In On Universal Insurance

A number of large investors have recently added to or reduced their stakes in UVE. State of Alaska Department of Revenue purchased a new position in Universal Insurance in the 3rd quarter worth $32,000. Torren Management LLC purchased a new position in shares of Universal Insurance in the fourth quarter valued at about $54,000. Tower Research Capital LLC TRC increased its position in shares of Universal Insurance by 390.0% in the second quarter. Tower Research Capital LLC TRC now owns 2,656 shares of the insurance provider’s stock valued at $74,000 after acquiring an additional 2,114 shares during the period. IFP Advisors Inc increased its position in shares of Universal Insurance by 492.4% in the fourth quarter. IFP Advisors Inc now owns 2,796 shares of the insurance provider’s stock valued at $95,000 after acquiring an additional 2,324 shares during the period. Finally, Osaic Holdings Inc. increased its position in shares of Universal Insurance by 11.3% in the second quarter. Osaic Holdings Inc. now owns 5,249 shares of the insurance provider’s stock valued at $146,000 after acquiring an additional 534 shares during the period. Hedge funds and other institutional investors own 66.61% of the company’s stock.

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.