Universal Insurance (NYSE:UVE) Hits New 1-Year High – What’s Next?

Universal Insurance Holdings Inc (NYSE:UVE)’s share price reached a new 52-week high on Saturday . The company traded as high as $39.53 and last traded at $39.2530, with a volume of 524525 shares. The stock had previously closed at $35.18.

Analyst Upgrades and Downgrades

UVE has been the subject of several analyst reports. Weiss Ratings reiterated a “buy (b)” rating on shares of Universal Insurance in a report on Monday, April 20th. Zacks Research raised Universal Insurance from a “hold” rating to a “strong-buy” rating in a research report on Friday, February 27th. One equities research analyst has rated the stock with a Strong Buy rating and two have assigned a Buy rating to the company. According to MarketBeat, the company has an average rating of “Buy” and an average price target of $40.00.

Universal Insurance Price Performance

The company has a market cap of $1.10 billion, a PE ratio of 5.82 and a beta of 0.69. The company has a debt-to-equity ratio of 0.17, a quick ratio of 0.52 and a current ratio of 0.51. The stock has a 50 day moving average of $34.03 and a 200-day moving average of $32.54.

Universal Insurance (NYSE:UVE) last issued its earnings results on Thursday, April 23rd. The insurance provider reported $2.00 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.39 by $0.61. The company had revenue of $398.16 million during the quarter, compared to analyst estimates of $481.09 million. Universal Insurance had a return on equity of 37.51% and a net margin of 12.22%. Equities analysts predict that Universal Insurance Holdings Inc will post 4 earnings per share for the current year.

Universal Insurance Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, May 15th. Investors of record on Friday, May 8th will be paid a $0.16 dividend. The ex-dividend date is Friday, May 8th. This represents a $0.64 dividend on an annualized basis and a yield of 1.6%. Universal Insurance’s dividend payout ratio (DPR) is 9.48%.

Insiders Place Their Bets

In related news, Chairman Sean P. Downes sold 20,000 shares of the firm’s stock in a transaction on Wednesday, March 25th. The stock was sold at an average price of $34.60, for a total value of $692,000.00. Following the completion of the transaction, the chairman owned 1,206,788 shares in the company, valued at $41,754,864.80. This trade represents a 1.63% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CAO Kimberly D. Campos sold 879 shares of the firm’s stock in a transaction on Thursday, March 26th. The stock was sold at an average price of $33.84, for a total value of $29,745.36. Following the completion of the transaction, the chief accounting officer owned 7,422 shares of the company’s stock, valued at $251,160.48. This trade represents a 10.59% decrease in their position. The disclosure for this sale is available in the SEC filing. Company insiders own 17.50% of the company’s stock.

Hedge Funds Weigh In On Universal Insurance

Institutional investors have recently modified their holdings of the stock. State of Alaska Department of Revenue purchased a new position in shares of Universal Insurance during the 3rd quarter valued at about $32,000. Torren Management LLC purchased a new position in shares of Universal Insurance during the 4th quarter valued at about $54,000. Tower Research Capital LLC TRC raised its stake in shares of Universal Insurance by 390.0% during the 2nd quarter. Tower Research Capital LLC TRC now owns 2,656 shares of the insurance provider’s stock valued at $74,000 after buying an additional 2,114 shares during the last quarter. IFP Advisors Inc raised its stake in shares of Universal Insurance by 492.4% during the 4th quarter. IFP Advisors Inc now owns 2,796 shares of the insurance provider’s stock valued at $95,000 after buying an additional 2,324 shares during the last quarter. Finally, Root Financial Partners LLC raised its stake in shares of Universal Insurance by 170,750.0% during the 1st quarter. Root Financial Partners LLC now owns 3,417 shares of the insurance provider’s stock valued at $117,000 after buying an additional 3,415 shares during the last quarter. 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.