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What To Expect From Radian Group’s (RDN) Q4 Earnings

RDN Cover Image

Mortgage insurance provider Radian Group (NYSE: RDN) will be reporting earnings this Wednesday after market hours. Here’s what to expect.

Radian Group missed analysts’ revenue expectations by 2.1% last quarter, reporting revenues of $310.6 million, down 8.4% year on year. It was a slower quarter for the company, with a miss of analysts’ revenue estimates.

Is Radian Group a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, analysts are expecting Radian Group’s revenue to decline 9.4% year on year to $302.3 million, a deceleration from its flat revenue in the same quarter last year. Adjusted earnings are expected to come in at $1.09 per share.

Radian Group Total Revenue

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Radian Group has missed Wall Street’s revenue estimates twice over the last two years.

Looking at Radian Group’s peers in the property & casualty insurance segment, some have already reported their Q4 results, giving us a hint as to what we can expect. First American Financial delivered year-on-year revenue growth of 21.6%, beating analysts’ expectations by 15.2%, and Stewart Information Services reported revenues up 19.6%, topping estimates by 2.5%. First American Financial traded up 2.8% following the results while Stewart Information Services was also up 2.9%.

Read our full analysis of First American Financial’s results here and Stewart Information Services’s results here.

Investors in the property & casualty insurance segment have had steady hands going into earnings, with share prices up 1.5% on average over the last month. Radian Group is down 1.2% during the same time and is heading into earnings with an average analyst price target of $39.50 (compared to the current share price of $32.82).

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