(RDN) Radian - Ratings and Ratios
Loan Insurance, Title Services, Appraisal, Risk Management, Real Estate
RDN EPS (Earnings per Share)
RDN Revenue
Description: RDN Radian
Radian Group Inc. is a leading provider of mortgage and real estate services in the United States, offering a range of products and services that help manage mortgage credit risk, including private mortgage insurance, title services, and real estate valuation products. The companys services cater to mortgage originators, consumers, mortgage lenders, and government-sponsored enterprises.
From a business perspective, Radian Groups revenue streams are likely driven by the volume of mortgage originations, the demand for title services, and the need for real estate valuation products. Key performance indicators (KPIs) that could be used to evaluate the companys performance include the number of mortgage insurance policies in force, title insurance premiums written, and the volume of real estate valuations performed. Additionally, metrics such as the companys loss ratio, expense ratio, and return on equity (RoE) of 9.84% could provide insight into its financial health and operational efficiency.
The companys position in the mortgage finance industry is significant, given its role in providing credit risk management solutions to mortgage lending institutions and investors. As the US mortgage market continues to evolve, Radian Groups ability to adapt to changing regulatory requirements, technological advancements, and shifting consumer behaviors will be crucial to its success. Key drivers of the companys growth could include the overall health of the US housing market, interest rates, and the demand for mortgage credit.
To further assess Radian Groups investment potential, it would be essential to analyze its financial statements, including its income statement, balance sheet, and cash flow statement. Key metrics such as the companys debt-to-equity ratio, interest coverage ratio, and operating cash flow margin could provide additional insight into its financial stability and ability to generate cash. With a market capitalization of $4.6 billion and a forward P/E ratio of 8.77, Radian Groups valuation appears reasonable compared to its peers in the mortgage finance industry.
RDN Stock Overview
| Market Cap in USD | 4,520m |
| Sub-Industry | Commercial & Residential Mortgage Finance |
| IPO / Inception | 1992-10-30 |
RDN Stock Ratings
| Growth Rating | 71.2% |
| Fundamental | 42.9% |
| Dividend Rating | 76.4% |
| Return 12m vs S&P 500 | -17.6% |
| Analyst Rating | 3.50 of 5 |
RDN Dividends
| Dividend Yield 12m | 3.05% |
| Yield on Cost 5y | 6.58% |
| Annual Growth 5y | 18.32% |
| Payout Consistency | 91.7% |
| Payout Ratio | 24.5% |
RDN Growth Ratios
| Growth Correlation 3m | 37.4% |
| Growth Correlation 12m | 51.5% |
| Growth Correlation 5y | 87.4% |
| CAGR 5y | 24.25% |
| CAGR/Max DD 3y (Calmar Ratio) | 1.47 |
| CAGR/Mean DD 3y (Pain Ratio) | 4.27 |
| Sharpe Ratio 12m | -0.16 |
| Alpha | -15.13 |
| Beta | 0.729 |
| Volatility | 25.12% |
| Current Volume | 925.1k |
| Average Volume 20d | 836k |
| Stop Loss | 32 (-3.3%) |
| Signal | -0.11 |
Piotroski VR‑10 (Strict, 0-10) 5.0
| Net Income (586.5m TTM) > 0 and > 6% of Revenue (6% = 77.1m TTM) |
| FCFTA -0.08 (>2.0%) and ΔFCFTA -10.08pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue -171.6% (prev 462.5%; Δ -634.1pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA -0.12 (>3.0%) and CFO -1.15b <= Net Income 586.5m (YES >=105%, WARN >=100%) |
| Net Debt (3.20b) to EBITDA (708.5m) ratio: 4.52 <= 3.0 (WARN <= 3.5) |
| Current Ratio 0.06 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (138.4m) change vs 12m ago -10.39% (target <= -2.0% for YES) |
| Gross Margin 95.24% (prev 73.34%; Δ 21.90pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 14.51% (prev 15.75%; Δ -1.23pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 6.36 (EBITDA TTM 708.5m / Interest Expense TTM 100.3m) >= 6 (WARN >= 3) |
Altman Z'' 1.60
| (A) -0.23 = (Total Current Assets 152.1m - Total Current Liabilities 2.36b) / Total Assets 9.58b |
| (B) 0.51 = Retained Earnings (Balance) 4.91b / Total Assets 9.58b |
| (C) 0.07 = EBIT TTM 637.3m / Avg Total Assets 8.86b |
| (D) 0.91 = Book Value of Equity 4.63b / Total Liabilities 5.09b |
| Total Rating: 1.60 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 42.88
| 1. Piotroski 5.0pt = 0.0 |
| 2. FCF Yield -15.29% = -5.0 |
| 3. FCF Margin -59.05% = -7.50 |
| 4. Debt/Equity 0.72 = 2.25 |
| 5. Debt/Ebitda 4.52 = -2.50 |
| 6. ROIC - WACC (= 1.97)% = 2.46 |
| 7. RoE 12.75% = 1.06 |
| 8. Rev. Trend 58.08% = 4.36 |
| 9. EPS Trend -44.91% = -2.25 |
What is the price of RDN shares?
Over the past week, the price has changed by -0.84%, over one month by -4.72%, over three months by -1.94% and over the past year by -4.90%.
Is Radian a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of RDN is around 36.65 USD . This means that RDN is currently undervalued and has a potential upside of +10.76% (Margin of Safety).
Is RDN a buy, sell or hold?
- Strong Buy: 1
- Buy: 2
- Hold: 2
- Sell: 1
- Strong Sell: 0
What are the forecasts/targets for the RDN price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 39.3 | 18.9% |
| Analysts Target Price | 39.3 | 18.9% |
| ValueRay Target Price | 39.7 | 20% |
Last update: 2025-10-13 02:03
RDN Fundamental Data Overview
P/E Trailing = 8.4268
P/E Forward = 7.3692
P/S = 3.5152
P/B = 1.0552
P/EG = 1.18
Beta = 0.729
Revenue TTM = 1.29b USD
EBIT TTM = 637.3m USD
EBITDA TTM = 708.5m USD
Long Term Debt = 1.83b USD (from longTermDebt, last quarter)
Short Term Debt = 87.5m USD (from shortTermDebt, last quarter)
Debt = 3.22b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 3.20b USD (from netDebt column, last quarter)
Enterprise Value = 4.96b USD (4.52b + Debt 3.22b - CCE 2.78b)
Interest Coverage Ratio = 6.36 (Ebit TTM 637.3m / Interest Expense TTM 100.3m)
FCF Yield = -15.29% (FCF TTM -758.9m / Enterprise Value 4.96b)
FCF Margin = -59.05% (FCF TTM -758.9m / Revenue TTM 1.29b)
Net Margin = 45.64% (Net Income TTM 586.5m / Revenue TTM 1.29b)
Gross Margin = 95.24% ((Revenue TTM 1.29b - Cost of Revenue TTM 61.1m) / Revenue TTM)
Gross Margin QoQ = 93.93% (prev 93.21%)
Tobins Q-Ratio = 0.52 (Enterprise Value 4.96b / Total Assets 9.58b)
Interest Expense / Debt = 0.80% (Interest Expense 25.9m / Debt 3.22b)
Taxrate = 18.98% (33.2m / 175.0m)
NOPAT = 516.3m (EBIT 637.3m * (1 - 18.98%))
Current Ratio = 0.06 (Total Current Assets 152.1m / Total Current Liabilities 2.36b)
Debt / Equity = 0.72 (Debt 3.22b / totalStockholderEquity, last quarter 4.49b)
Debt / EBITDA = 4.52 (Net Debt 3.20b / EBITDA 708.5m)
Debt / FCF = -4.22 (negative FCF - burning cash) (Net Debt 3.20b / FCF TTM -758.9m)
Total Stockholder Equity = 4.60b (last 4 quarters mean from totalStockholderEquity)
RoA = 6.12% (Net Income 586.5m / Total Assets 9.58b)
RoE = 12.75% (Net Income TTM 586.5m / Total Stockholder Equity 4.60b)
RoCE = 9.91% (EBIT 637.3m / Capital Employed (Equity 4.60b + L.T.Debt 1.83b))
RoIC = 7.32% (NOPAT 516.3m / Invested Capital 7.06b)
WACC = 5.35% (E(4.52b)/V(7.74b) * Re(8.70%) + D(3.22b)/V(7.74b) * Rd(0.80%) * (1-Tc(0.19)))
Discount Rate = 8.70% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -100.0 | Cagr: -6.19%
Fair Price DCF = unknown (Cash Flow -758.9m)
EPS Correlation: -44.91 | EPS CAGR: -58.99% | SUE: -4.0 | # QB: 0
Revenue Correlation: 58.08 | Revenue CAGR: 2.60% | SUE: -0.07 | # QB: 0
Additional Sources for RDN Stock
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