RALEIGH, N.C., April 10, 2025 (GLOBE NEWSWIRE) -- Enact Holdings, Inc. (NASDAQ:ACT) (Enact) announced it will issue its first quarter earnings release after the market closes on April 30, 2025. Enact will host a conference call to review first quarter 2025 financial results on May 1, 2025 at 8:00 a.m. (ET). Enact's earnings release, summary presentation and financial supplement will be available through the company's website, https://ir.enactmi.com/, at the time of their release to the public. Participants ...

Core Points - Enact Holdings Inc. will replace SolarWinds Corp. in the S&P SmallCap 600 effective April 16, 2025 [1] - The acquisition of SolarWinds by Turn/River Capital is expected to close soon, pending final conditions [1] Summary by Category Index Changes - Enact Holdings will be added to the S&P SmallCap 600 under the Financials sector [1] - SolarWinds will be deleted from the S&P SmallCap 600 under the Information Technology sector [1] Company Actions - The effective date for these changes is prior to the opening of trading on April 16, 2025 [1] - The acquisition deal for SolarWinds is in progress and awaiting final closing conditions [1]

LEBANON, Tenn., April 08, 2025 (GLOBE NEWSWIRE) -- Tritium, a global leader in direct current (DC) fast chargers for electric vehicles (EVs), today announced that it will unveil a revolutionary next-generation DC fast charging architecture at this year's ACT Expo conference in Anaheim, Calif. on April 28, 2025. This groundbreaking architecture significantly enhances Tritium's current shared power model, creating a more efficient and powerful pool of shared power that will redefine industry standards. "We're ...

Group 1 - ACNB is a notable stock in the Finance sector, currently outperforming its peers with a year-to-date return of 3.1% compared to the sector average of 1.8% [4] - The Zacks Rank system indicates that ACNB has a strong buy rating (1), with a 33.1% increase in the consensus earnings estimate for the full year over the past 90 days, reflecting improved analyst sentiment [3] - ACNB belongs to the Banks - Southwest industry, which has seen a decline of about 4.9% year-to-date, further highlighting ACNB's strong performance relative to its industry [5] Group 2 - Enact Holdings, Inc. is another Finance stock that has outperformed the sector, with a year-to-date increase of 6.2% and a Zacks Rank of 2 (Buy) [4][5] - The Insurance - Multi line industry, to which Enact belongs, has performed positively with a 5% increase year-to-date, despite its lower Zacks Industry Rank of 54 [6]

Company Overview - Enact Holdings, Inc. is a leading U.S. private mortgage insurance provider, operating primarily through its wholly-owned subsidiary Enact Mortgage Insurance Corporation since 1981 [5] - The company is headquartered in Raleigh, North Carolina, and is committed to helping more people achieve homeownership through partnerships with lenders [5] Sustainability Report Highlights - Enact released its 2024 Sustainability Report, which covers the calendar year 2024 and emphasizes the company's commitment to sustainability [1][2] - The report showcases Enact's transparency regarding its sustainability initiatives, including third-party risk management, professional development programs, and Hurricane Helene relief response [2] - The President and CEO of Enact, Rohit Gupta, stated that the company's growth and profitability are linked to its focus on sustainability, highlighting the progress made in various areas [3] Stakeholder Engagement - The sustainability pillars and priorities outlined in the report are identified as critical to Enact's long-term success by both internal and external stakeholders [2] - The report aims to provide insights into how Enact is building stronger communities through homeownership, philanthropy, and volunteerism [3] Availability of Report - The 2024 Sustainability Report is accessible on Enact's Investor Relations website [3]

Group 1 - Enact Holdings, Inc. (ACT) is currently ranked 2 (Buy) in the Zacks Rank system, indicating a positive earnings outlook with a 2.2% increase in the consensus estimate for full-year earnings over the past three months [3] - Year-to-date, Enact Holdings, Inc. has gained approximately 1.6%, outperforming the average loss of 1.3% in the Finance sector [4] - Enact Holdings, Inc. belongs to the Insurance - Multi line industry, which is ranked 55 in the Zacks Industry Rank, with an average gain of 0.6% this year [5] Group 2 - Erie Indemnity (ERIE), another stock in the Finance sector, has a year-to-date return of 1.5% and also holds a Zacks Rank of 2 (Buy) [4][5] - The Insurance - Brokerage industry, which includes Erie Indemnity, has seen a significant increase of 9.2% since the beginning of the year, but it is ranked 141 [6]

Core Points - Enact Holdings, Inc. has appointed H. Elizabeth (Liz) Mitchell as an Independent Director effective March 11, 2025, and she will also serve on the Audit Committee [1] - Anne G. Waleski will not stand for re-election at the 2025 Annual Shareholder Meeting, leading to a temporary increase in the Board size from eleven to twelve directors [1] - Ms. Mitchell has extensive experience in finance and public companies, having served on various boards and as CEO of Renaissance U.S. Inc. until her retirement in 2016 [1][2] - Dom Addesso, Chairperson of the Board, expressed confidence that Ms. Mitchell's expertise will contribute to the company's growth and long-term shareholder value [3] - Ms. Waleski will continue her roles on the Audit Committee and Nominating & Corporate Governance Committee until the 2025 Annual Shareholder Meeting, and her decision not to seek re-election is not due to any disagreements with the company [3][4] Company Overview - Enact operates primarily through its wholly-owned subsidiary, Enact Mortgage Insurance Corporation, and is a leading private mortgage insurance provider in the U.S. [4] - The company aims to help more people achieve homeownership by partnering with lenders to provide top-tier service, underwriting expertise, and risk management [4]

Financial Performance and Capital Management - The company may require additional capital to support growth and meet regulatory requirements, which could adversely affect its financial condition if not raised in a timely manner [218]. - The company’s ability to raise additional capital may be limited by Genworth's ownership of at least 80% of its common stock, affecting future capital-raising efforts [219]. - The company's liquidity and capital position are highly dependent on the performance of its subsidiaries and their ability to pay dividends and distributions [293]. - The payment of dividends by the company's insurance subsidiaries is subject to regulatory approval and may be restricted based on their financial condition and operating performance [292]. - Future dividend payments and share repurchase authorizations are subject to review and approval by the Board of Directors [312]. - The ability to return capital to shareholders is dependent on business results and the macroeconomic environment [312]. - Future capital returns may be materially affected by various risk factors [312]. - Genworth's ownership of at least 80% of common stock may limit the company's ability to raise additional capital [312]. - There is no assurance that the company will maintain current levels of dividends or share repurchases in the future [312]. - The company's ability to repurchase stock may be restricted by limited public float [312]. - Future returns of capital must comply with debt agreements and applicable laws [312]. - Any changes in capital return strategies could materially affect the market price of common stock [312]. Regulatory and Compliance Risks - The company is subject to extensive regulation, and changes in regulation may reduce profitability and limit growth, impacting the ability to conduct business [245][246]. - The statutory capital adequacy ratio for U.S. mortgage insurers, known as the RTC ratio, is critical for maintaining business operations and compliance with regulatory requirements [252]. - Regulatory scrutiny related to risk-based pricing systems and the use of algorithms may increase, potentially affecting premium rates and underwriting practices [249]. - The company is subject to various federal and state consumer protection and insurance laws, which could materially adversely affect its business if changes occur [262]. - The Dodd-Frank Act requires originators to retain a specified percentage of credit risk exposure on securitized mortgages that do not meet the definition of a Qualified Residential Mortgage (QRM) [263]. - In July 2023, proposed changes to the Basel III Endgame rule could eliminate the 50% capital relief for high loan-to-value portfolio loans with mortgage insurance for banks with total assets greater than $100 billion, potentially decreasing demand for mortgage insurance [266]. Market and Economic Conditions - A decline in economic conditions or adverse population trends could negatively affect the housing market and, consequently, the demand for mortgage insurance [240]. - Changes in government housing policy and increased competition from federal agencies like FHA and VA could reduce demand for private mortgage insurance [259]. - The FHFA's Enterprise Capital Framework may lead to increased guarantee pricing by GSEs, negatively impacting the private mortgage insurance market [261]. - A decrease in the volume of Low Down Payment Loan originations could lead to a decline in revenue, as the company primarily provides mortgage insurance for these loans [237]. Investment and Financial Risks - The company faces significant unrealized losses in its investment portfolio due to elevated interest rates, impacting future earnings [217]. - The company’s investment portfolio is predominantly limited to highly rated fixed maturity securities, but rising interest rates have led to significant unrealized losses [227]. - The company’s mortgage insurance premiums may not adequately compensate for risks, potentially leading to adverse financial effects [236]. Operational Risks - The company relies on third-party servicers for loan servicing, and disruptions in their operations could increase losses and impact financial performance [230]. - The company relies on third-party vendors for unique products and services, and any failure by these vendors could adversely affect its operations [298]. - The company is exposed to risks from natural or man-made disasters, which could disrupt operations and lead to increased delinquency rates among borrowers [307]. - The company must continuously invest in technology to remain competitive, and failure to enhance its platform could negatively impact its business [302]. Cybersecurity and Reputational Risks - The company has experienced occasional cybersecurity incidents, which, if significant, could damage reputation and result in regulatory fines or legal costs [243][244]. - The company retains confidential customer information, and any failure to protect this data could result in significant costs and damage to reputation [243]. - The company may face reputational harm if Genworth or its subsidiaries experience litigation or damage to their reputation, which could adversely affect its business [277]. - The company faces risks related to litigation and regulatory proceedings, which could result in financial losses and harm its reputation [295]. Shareholder and Corporate Governance - Genworth beneficially owns at least 80% of the company's common stock, which allows it to control significant corporate decisions, potentially delaying or deterring actions favored by other stockholders [268]. - The company is currently a member of the Genworth Consolidated Group, which requires Genworth to own at least 80% of the total voting power of the company's stock [287]. - If the company ceases to be a member of the Genworth Consolidated Group, it may face increased income tax obligations due to the application of "unified loss rules" [288]. - The company does not expect a material reduction in the tax basis of its assets if it departs from the Genworth Consolidated Group, but there are no guarantees regarding future tax obligations [289]. Dividend and Stock Repurchase Activities - The company initiated a quarterly dividend for common shareholders in 2022 [312]. - The first Stock Repurchase Plan was announced, allowing for repurchases of common stock [312].

Core Insights - The article compares Enact Holdings, Inc. (ACT) and Goosehead Insurance (GSHD) to determine which stock is more attractive to value investors [1] Valuation Metrics - ACT has a Zacks Rank of 2 (Buy), indicating a positive earnings estimate revision trend, while GSHD has a Zacks Rank of 4 (Sell) [3] - ACT's forward P/E ratio is 7.58, significantly lower than GSHD's forward P/E of 61.05 [5] - ACT has a PEG ratio of 2.10, while GSHD's PEG ratio is 2.69, suggesting ACT is more favorably valued considering expected EPS growth [5] - ACT's P/B ratio is 1.04, in stark contrast to GSHD's P/B of 1,907.17, indicating a much lower market value relative to book value for ACT [6] - Based on these valuation metrics, ACT earns a Value grade of B, while GSHD receives a Value grade of F [6] Investment Outlook - ACT is positioned as the superior value option due to its solid earnings outlook and favorable valuation figures compared to GSHD [7]

Financial Data and Key Metrics Changes - For the full year 2024, adjusted operating income reached a record high of $718 million or $4.56 per diluted share, up 9% year over year [11] - Adjusted return on equity was 15% and adjusted book value increased by 12% year over year to $34.16 per share [11] - In Q4 2024, adjusted operating income was $169 million, up 7% year over year, with adjusted earnings per share at $1.09 [14][30] Business Line Data and Key Metrics Changes - New insurance written for the year totaled $51 billion, with record insurance in force at $269 billion, supporting approximately 140,000 families [12] - In Q4, primary insurance in force increased to $269 billion, up $1 billion sequentially and up $66 billion or 2% year over year [32] - New insurance written in Q4 was $13 billion, down 2% sequentially but up 27% year over year [32] Market Data and Key Metrics Changes - The operating environment in the US housing market remains constructive, with long-term demographic drivers of housing demand robust [15] - Labor markets showed resilience with consistent wage growth surpassing inflation [16] - Approximately 70% of insurance in force had mortgage rates below 6%, indicating strong credit quality [17] Company Strategy and Development Direction - The company aims to extend its platform into compelling adjacencies leveraging capabilities across mortgage, housing, and credit [24] - Enact RE continues to participate in attractive GSE single and multi-family deals, viewed as a long-term growth opportunity [24] - The capital allocation priorities include supporting existing policyholders, investing in business growth, and returning excess capital to shareholders [23] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the long-term view of the US economy and housing, despite current challenges [16] - The company remains committed to helping people achieve homeownership responsibly, which underpins all business aspects [54] - Management noted that the aging of the portfolio should slow the increase in new delinquency development [71] Other Important Information - The company returned $354 million to shareholders in 2024, exceeding the high end of capital return guidance [13] - Ratings were upgraded by S&P from BBB+ to A- and by Fitch from A- to A, reflecting the strength of the business model [13] - The company maintained a disciplined approach to expense management, reducing expenses by 2% year over year [20] Q&A Session Summary Question: Capital return guidance and potential for increase - Management confirmed the capital return guidance of $350 million for 2025, with the possibility of reassessing based on business performance and macroeconomic conditions [59][60] Question: Reinsurance business and GSE CRT volume - Management indicated potential for GSE CRT volume to increase under different scenarios, which would allow for attractive risk-adjusted returns [64] Question: Impact of portfolio seasoning on delinquencies - Management noted that the average age of the portfolio increased, which should slow the increase in new delinquency development [71]