Overview
U.S. mortgage insurer's Q4 revenue missed analyst expectations
Adjusted operating income per share for Q4 beat analyst estimates
Company returned over $500 mln to shareholders in 2025
Outlook
Company announces new share repurchase program of up to $500 mln
Enact sees continued affordability pressures and interest rate volatility shaping housing activity
Result Drivers
INSURANCE IN-FORCE - Primary insurance in-force increased 2% year-over-year to $273 bln
LOSS RESERVE RELEASE - Losses incurred decreased due to a $60 mln net reserve release reflecting favorable cure performance
OPERATING EXPENSES - Sequential increase in operating expenses driven by incentive-based compensation
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q4 Revenue | Miss | $312.71 mln | $316.78 mln (3 Analysts) |
Q4 Adj. Diluted Operating Income per share | Beat | $1.23 | $1.09 (4 Analysts) |
Q4 EPS | $1.22 | ||
Q4 Net Income | $177 mln | ||
Q4 Adjusted Operating Income | $179 mln | ||
Q4 Expense Ratio | 24.00% | ||
Q4 ROE | 13.30% |
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 4 "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 Enact Holdings Inc is $42.50, about 5.1% above its February 2 closing price of $40.45
The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 8 three months ago
Press Release: ID:nGNX6pHqY4
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(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.)