Radian Group Stock Price, News & Analysis

Radian Guaranty Inc., a subsidiary of Radian Group Inc. (NYSE: RDN), reported key credit performance metrics for August 2021. The total beginning primary default inventory decreased to 38,347 loans, compared to 40,464 in July 2021. New defaults were 2,592, slightly lower than July's 2,749. Cures totaled (4,784), indicating improved financial health. The ending primary default inventory also saw a decline to 36,004 from 38,347 the previous month, reflecting effective management of credit risk in its insured portfolio.

Radian Group Inc. (NYSE: RDN) has reported a significant rise in home prices across the U.S., with the Radian Home Price Index (HPI) showing a month-over-month increase of 14.7% from June to July 2021. The median home price is now $286,434, reflecting a 10.9% year-over-year rise. Despite increased inventory, the demand remains high, contributing to shorter market times, with homes averaging only 66 days on the market. While price appreciation continues, affordability is declining, potentially impacting future housing activity.

Radian Group Inc. (NYSE: RDN) announced the retirement of Herbert Wender as Non-Executive Chairman, effective after the Annual Meeting of Stockholders in May 2022. Wender's retirement marks the end of a significant tenure during which he contributed to Radian's growth as a leading mortgage insurance provider. Howard B. Culang will succeed him as Non-Executive Chairman. Culang, a director since 1999, brings over two decades of experience in the mortgage industry. Radian continues to focus on providing innovative digital solutions across the mortgage and real estate sectors.

Radian Group announced a quarterly dividend of $0.14 per share payable on September 2, 2021, to stockholders of record by August 23, 2021. Additionally, the Board approved a $200 million increase to its share repurchase authorization, raising the total available to $237 million. The repurchase program has been extended to August 31, 2022. CEO Rick Thornberry highlighted the company's strong financial results and prudent capital management, detailing that over the past five years, Radian repurchased 35 million shares for $739 million and returned $155 million through dividends.

Radian Group reported strong Q2 2021 results with a net income of $155.2 million, or $0.80 per diluted share, rebounding from a $30.0 million loss in Q2 2020. Adjusted pretax operating income rose to $184.7 million, compared to a loss of $88.5 million a year prior. The company increased its quarterly dividend by 12% and repurchased 3.9 million shares. Despite challenges, Radian's book value per share grew by 11% year-over-year to $23.02.

Radian Group's Home Price Index (HPI) reported a significant rise in U.S. home prices, increasing 10.7% annually in the first half of 2021. The median home price reached $282,967 in June 2021, reflecting an 11.7% increase during Q2. The HPI's year-over-year growth of 10.2% shows ongoing strength in the housing market, with over 370,000 real estate closings in June. However, listing inventory remains historically low at around 968,000 units. Various regions, including the West, showed notable price appreciation, indicating a robust demand for homes despite limited supply.

Radian Group Inc. (NYSE: RDN) will hold a conference call on August 4, 2021, at 11:00 a.m. ET to discuss its Q2 2021 results, which will be announced after market close on August 3, 2021. The call will be live streamed on Radian's website and can also be accessed via phone at 800.447.0521 (U.S.) or 847.413.3238 (international) using passcode 50201372. A digital replay of the call will be available two hours after it concludes for two weeks. Additional financial information will also be accessible on Radian's website under Investors.

Radian Guaranty Inc. released its monthly operating statistics for June 2021, highlighting key metrics in its insured mortgage portfolio. The report shows a decrease in beginning primary default inventory to 42,802 from 45,689 in May. New primary defaults stood at 2,680, slightly lower than May's 2,714. Cures also improved significantly, recorded at (4,980) compared to (5,573) in May. However, claims paid were marginally lower at (29), indicating ongoing challenges. The ending primary default inventory decreased to 40,464.

The Radian Home Price Index (HPI) reported an annualized home price increase of 11.5% in May 2021 compared to April 2021. Compared to May 2020, home prices rose 9.9%, outperforming the 9.3% rise noted in April. The median home price reached $280,002. The data indicates a trend towards higher-priced homes sold, with sales under $250,000 hitting a record low of 30.5%. All U.S. regions saw price appreciation, particularly the Midwest and West, while the Bay area showed a strong bounce-back.