Universal Insurance (NYSE:UVE) Sees Large Volume Increase - Still a Buy?

Shares of Universal Insurance Holdings, Inc. (NYSE:UVE - Get Free Report) saw an uptick in trading volume on Tuesday . 127,526 shares were traded during trading, a decline of 30% from the previous session's volume of 181,331 shares.The stock last traded at $17.62 and had previously closed at $16.90.

Analyst Upgrades and Downgrades

Separately, StockNews.com downgraded Universal Insurance from a "strong-buy" rating to a "buy" rating in a report on Monday, August 5th.

Universal Insurance Trading Up 4.7 %

The firm's 50 day simple moving average is $20.70 and its two-hundred day simple moving average is $19.83. The stock has a market capitalization of $504.10 million, a P/E ratio of 6.89 and a beta of 0.89. The company has a quick ratio of 0.54, a current ratio of 0.54 and a debt-to-equity ratio of 0.26.

Universal Insurance (NYSE:UVE - Get Free Report) last announced its quarterly earnings results on Thursday, July 25th. The insurance provider reported $1.18 EPS for the quarter, beating analysts' consensus estimates of $1.15 by $0.03. Universal Insurance had a net margin of 5.60% and a return on equity of 21.14%. The business had revenue of $380.21 million during the quarter, compared to analyst estimates of $340.09 million. During the same quarter in the previous year, the business posted $0.87 EPS. As a group, analysts forecast that Universal Insurance Holdings, Inc. will post 2.3 earnings per share for the current fiscal year.

Universal Insurance Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, August 9th. Investors of record on Friday, August 2nd were given a dividend of $0.16 per share. The ex-dividend date was Friday, August 2nd. This represents a $0.64 annualized dividend and a dividend yield of 3.62%. Universal Insurance's payout ratio is 25.10%.

Insider Buying and Selling

In related news, Director Jon Springer sold 35,173 shares of the firm's stock in a transaction dated Friday, August 16th. The shares were sold at an average price of $20.53, for a total transaction of $722,101.69. Following the transaction, the director now directly owns 473,899 shares of the company's stock, valued at $9,729,146.47. This trade represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. In other news, Director Jon Springer sold 35,173 shares of the company's stock in a transaction that occurred on Friday, August 16th. The stock was sold at an average price of $20.53, for a total value of $722,101.69. Following the completion of the transaction, the director now directly owns 473,899 shares of the company's stock, valued at $9,729,146.47. This represents a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Chairman Sean P. Downes sold 20,000 shares of the stock in a transaction that occurred on Wednesday, July 31st. The shares were sold at an average price of $20.00, for a total value of $400,000.00. Following the sale, the chairman now directly owns 1,122,262 shares of the company's stock, valued at $22,445,240. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 75,173 shares of company stock worth $1,571,502. 17.50% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Universal Insurance

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Allspring Global Investments Holdings LLC raised its position in Universal Insurance by 11,666.1% in the first quarter. Allspring Global Investments Holdings LLC now owns 58,713 shares of the insurance provider's stock worth $1,193,000 after acquiring an additional 58,214 shares during the period. Boston Partners purchased a new position in Universal Insurance in the first quarter valued at approximately $758,000. Vanguard Group Inc. grew its holdings in Universal Insurance by 2.8% during the first quarter. Vanguard Group Inc. now owns 1,544,506 shares of the insurance provider's stock valued at $31,384,000 after purchasing an additional 41,425 shares during the period. Cornercap Investment Counsel Inc. increased its position in Universal Insurance by 90.7% in the second quarter. Cornercap Investment Counsel Inc. now owns 56,502 shares of the insurance provider's stock worth $1,060,000 after buying an additional 26,873 shares during the last quarter. Finally, Highland Capital Management LLC raised its stake in shares of Universal Insurance by 135.1% in the second quarter. Highland Capital Management LLC now owns 76,069 shares of the insurance provider's stock valued at $1,427,000 after buying an additional 43,718 shares during the period. 66.61% of the stock is owned by hedge funds and other institutional investors.

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.