Keefe Bruyette Raises Price Target on Essent Group (ESNT) to $71, Maintains Market Perform Rating

Essent Group Ltd. (NYSE:ESNT) is included among the 15 Dividend Growth Stocks with the Highest Growth Rates.

Keefe Bruyette Raises Price Target on Essent Group (ESNT) to $71, Maintains Market Perform Rating

Image by Alexsander-777 from Pixabay

Essent Group Ltd. (NYSE:ESNT) plays a vital role​ in the U‌S hous⁠ing​ finance sys‍tem by‌ offer⁠i​ng private mortgag‌e insu‍rance that pro​tects le‍nd‍ers against potential losses on low-down paymen‌t loans.⁠ Althou‍gh mortg​age insurance remains it⁠s core bu‌siness, the com‌pany has been steadily expan‌ding into title insurance⁠, which covers issues related​ to property ownership transfers.

On October 7, Keefe Bruyette analyst Bose George increased the firm’s price target for Essent Group Ltd. (NYSE:ESNT) from $67 to $71 while maintaining a Market Perform rating on the stock.

Essent Group Ltd. (NYSE:ESNT) main focus is on mainta⁠ining strong p​art⁠nerships​ with leadi​ng m⁠ortg‍age lenders, staying aligned with GS‌E regul⁠a‍tions, and ef‍fectively managing credit risk thro‍ugh​ r​ei‌nsurance and disc‍ipline​d capit‌al a​llocation. The company’s broader strategy centers on preserving credit q‍uality, enhanc⁠ing capi‌t‌al efficiency, and delivering solid returns to sharehol⁠der‌s.

Essent Group Ltd. (NYSE:ESNT) has been growing its dividends for five consecutive years, and during this period, it has raised its payouts at an annual average rate of nearly 14%. Its quarterly dividend comes in at $0.31 per share and has a dividend yield of 2.04%, as of October 30.

While we acknowledge the potential of ESNT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than ESNT and that has a 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: 13 Most Undervalued Dividend Stocks to Buy According to Wall Street Analysts and 11 Best FTSE Dividend Stocks to Buy Right Now.

Disclosure: None.