Universal Insurance (NYSE:UVE) Cut to Buy at StockNews.com

StockNews.com lowered shares of Universal Insurance (NYSE:UVE) from a strong-buy rating to a buy rating in a research note published on Tuesday morning.

Universal Insurance Price Performance

NYSE UVE opened at $21.73 on Tuesday. Universal Insurance has a 12 month low of $16.50 and a 12 month high of $23.39. The company has a debt-to-equity ratio of 0.25, a current ratio of 0.51 and a quick ratio of 0.51. The firm has a market capitalization of $610.53 million, a PE ratio of 8.83 and a beta of 0.84. The company’s 50 day simple moving average is $20.40 and its 200 day simple moving average is $20.81.

Universal Insurance (NYSE:UVE) last issued its earnings results on Tuesday, February 25th. The insurance provider reported $0.25 earnings per share for the quarter, topping analysts’ consensus estimates of $0.09 by $0.16. The firm had revenue of $384.81 million during the quarter, compared to analysts’ expectations of $349.91 million. Universal Insurance had a net margin of 4.82% and a return on equity of 15.43%. As a group, equities research analysts forecast that Universal Insurance will post 1.66 EPS for the current fiscal year.

Universal Insurance Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, March 14th. Investors of record on Friday, March 7th were issued a dividend of $0.16 per share. This represents a $0.64 dividend on an annualized basis and a yield of 2.95%. This is a boost from Universal Insurance’s previous quarterly dividend of $0.13. The ex-dividend date of this dividend was Friday, March 7th. Universal Insurance’s dividend payout ratio (DPR) is presently 32.16%.

Insider Buying and Selling

In related news, Chairman Sean P. Downes sold 20,000 shares of the firm’s stock in a transaction that occurred on Friday, February 28th. The shares were sold at an average price of $22.08, for a total value of $441,600.00. Following the completion of the transaction, the chairman now owns 990,200 shares of the company’s stock, valued at approximately $21,863,616. This trade represents a 1.98 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. In the last 90 days, insiders sold 90,000 shares of company stock valued at $1,908,700. Company insiders own 17.50% of the company’s stock.

Hedge Funds Weigh In On Universal Insurance

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Wells Fargo & Company MN boosted its stake in Universal Insurance by 5.6% in the 4th quarter. Wells Fargo & Company MN now owns 13,804 shares of the insurance provider’s stock worth $291,000 after purchasing an additional 732 shares during the period. Quarry LP boosted its stake in shares of Universal Insurance by 55.6% during the 3rd quarter. Quarry LP now owns 2,171 shares of the insurance provider’s stock valued at $48,000 after buying an additional 776 shares during the period. EP Wealth Advisors LLC boosted its stake in shares of Universal Insurance by 12.0% during the 4th quarter. EP Wealth Advisors LLC now owns 12,189 shares of the insurance provider’s stock valued at $257,000 after buying an additional 1,306 shares during the period. Franklin Resources Inc. boosted its stake in shares of Universal Insurance by 8.9% during the 4th quarter. Franklin Resources Inc. now owns 21,799 shares of the insurance provider’s stock valued at $459,000 after buying an additional 1,775 shares during the period. Finally, Lazard Asset Management LLC boosted its stake in shares of Universal Insurance by 56.7% during the 4th quarter. Lazard Asset Management LLC now owns 5,758 shares of the insurance provider’s stock valued at $121,000 after buying an additional 2,083 shares during the period. Institutional investors and hedge funds own 66.61% of the company’s stock.

About Universal Insurance

Universal Insurance Holdings, Inc, together with its subsidiaries, operates as an integrated insurance holding company in the United States. It develops, markets, and underwrites insurance products for personal residential insurance, such as homeowners, renters/tenants, condo unit owners, and dwelling/fire; and offers allied lines, coverage for other structures, and personal property, liability, and personal articles coverages.