MGIC stock bounces after execs acquire more shares
MGIC's (MTG) stock value bounced more than 20% Monday after the mortgage insurer's top executives loaded up on 40,000 shares late last week. MGIC's Executive Vice President and Chief Financial Officer Jon Michael Lauer acquired 20,000 shares of stock on Aug. 26 at $2.34 per share for a total of 603,821 shares, securities filings say. Patrick Sinks, the firm's president and COO, acquired 20,000 shares for $2.28 per share last week, resulting in ownership of 648,484 shares. Those transactions occurred on Aug. 25 and 26. On Monday, the stock was trading at nearly $3 per share, up from Friday's close of $2.46 per share. The executives' buy stirred rumors that the transactions were designed to increase MGIC's stock value. However, Rob Haines, mortgage insurer analyst for CreditSights, said "It's too early to tell if there is ultimate value at MGIC. It is a positive signal though." Mortgage insurers struggled in August after Standard & Poor's downgraded the U.S. debt rating. The stocks also were hit hard by a stream of negative economic data. Write to: Kerri Panchuk.