NEW YORK ( TheStreet) -- Mortgage insurers' shares rallied after Radian Group ( RDN) posted a profit in the third quarter.

Radian posted its first profit in five years with a net income of $112.2 million, or 84 cents a share.

Radian's stock was up 82 cents to $8.27, MGIC Investment's ( MTG) stock was up 2 cents to $8.52 and PMI Group's ( PMI) stock got a 14 cent boost to $3.30.

Monoline stocks-- which took a beating yesterday on news that Ambac was looking at pre-packaged bankruptcy -- also surged MBIA's ( MBI) stock was up 12 cents at $11.33, Ambac's ( ABK) stock was up 6 cents at 47 cents and Assured Guaranty ( AGO) was up 54 cents at $19.64.

--Written by Maria Woehr in New York.

To contact the writer of this article, click here: Maria Woehr.

To follow the writer on Twitter, go to http://twitter.com/newsgirlmw.

To submit a news tip, send an email to: tips@thestreet.com.

If you liked this article you might like

Cramer: A Ton of Things Are Not Supposed to Be Happening

Cramer: A Ton of Things Are Not Supposed to Be Happening

Going Shorter; Takeaways and Observations: Best of Kass

Going Shorter; Takeaways and Observations: Best of Kass

Fear and Doubt; Auction Action: Best of Kass

Fear and Doubt; Auction Action: Best of Kass

Doubt Is OK; The Lay of the Land: Doug Kass' Views

Doubt Is OK; The Lay of the Land: Doug Kass' Views

Here Is One of My Best Stock Ideas, Doug Kass Explains

Here Is One of My Best Stock Ideas, Doug Kass Explains