MBIA Inc (MBI): Today's Featured Insurance Laggard

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

MBIA ( MBI) pushed the Insurance industry lower today making it today's featured Insurance laggard. The industry as a whole closed the day up 0.5%. By the end of trading, MBIA fell $0.13 (-1.0%) to $12.67 on light volume. Throughout the day, 1,185,308 shares of MBIA exchanged hands as compared to its average daily volume of 3,225,900 shares. The stock ranged in price between $12.64-$12.80 after having opened the day at $12.75 as compared to the previous trading day's close of $12.80. Other companies within the Insurance industry that declined today were: Kingsway Financial Services ( KFS), down 2.2%, Crawford & Company ( CRD.A), down 2.1%, CNinsure ( CISG), down 2.0% and American National Insurance ( ANAT), down 1.7%.

MBIA Inc., together with its subsidiaries, provides financial guarantee insurance and related reinsurance, advisory, and portfolio services for the public and structured finance markets; and asset management advisory services in the United States and internationally. MBIA Inc. MBIA has a market cap of $2.5 billion and is part of the financial sector. The company has a P/E ratio of 3.3, below the S&P 500 P/E ratio of 17.7. Shares are up 63.1% year to date as of the close of trading on Tuesday. Currently there are no analysts that rate MBIA a buy, no analysts rate it a sell, and 1 rates it a hold.

TheStreet Ratings rates MBIA as a hold. The company's strengths can be seen in multiple areas, such as its robust revenue growth, notable return on equity and expanding profit margins. However, as a counter to these strengths, we find that the company has favored debt over equity in the management of its balance sheet.

On the positive front, Phoenix Companies ( PNX), up 4.9%, Blue Capital Reinsurance Holdings ( BCRH), up 3.8%, Universal Insurance Holdings ( UVE), up 3.1% and PICO Holdings ( PICO), up 3.1% , were all gainers within the insurance industry with Hartford Financial Services Group ( HIG) being today's featured insurance industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the insurance industry could consider KBW Insurance ETF ( KIE) while those bearish on the insurance industry could consider Proshares Short Financials ( SEF).

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.
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