Insurer Radian Group's Q2 revenue jumps 93%, beats estimates

Radian

05/08/2026 21:55

Overview
U.S. specialty insurer's Q2 revenue rose 93% yr/yr, beating analyst expectations
Adjusted net operating income per share increased to $1.14 from $1.11 yr ago
Company repurchased $76 mln in shares and paid $37 mln in dividends in Q2

Outlook
Radian Guaranty expects to pay about $650 mln in ordinary dividends to Radian Group in 2026
Company expects to repay remaining borrowing on its revolving credit facility in 2026
Radian says divestitures will sharpen focus on insurance and support future opportunities

Result Drivers
SPECIALTY INSURANCE EXPANSION - Specialty segment accounted for 53% of net premiums earned and contributed to revenue growth, per company
MORTGAGE SEGMENT GROWTH - Primary mortgage insurance in force reached a record $284 bln and new insurance written rose 14% yr/yr, per company
RESERVES IMPACT - Specialty segment provision for losses included reserves for expected and potential claims related to the Middle East conflict

Company press release: ID:nBw5WL37ya

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$575 mln
$537.20 mln (3 Analysts)
Q2 Net Income
 
$116 mln
 
Q2 Adjusted Operating Income
Beat
$196 mln
$180.55 mln (2 Analysts)
Q2 Adjusted ROE
 
12.90%
 
Q2 Pretax Profit
 
$151 mln
 
Q2 ROE
 
9.80%
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the property & casualty insurance peer group is "buy"
Wall Street's median 12-month price target for Radian Group Inc. is $45.00, about 13.5% above its August 4 closing price of $39.64
The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 7 three months ago

Reuters Recommended Reads
Aug 5 - Mortgage insurer Enact's Q2 revenue edges past estimates
Aug 5 - Genworth Financial Q2 net income flat
Aug 4 - Greenlight Re’s Q2 combined ratio worsens to 100.1% on Middle East exposure

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)