Form 4: MGIC Investment Corp Director Lehman Acquires Shares and Share Units Through Dividend and Deferred Compensation

Director Michael E. Lehman of MGIC Investment Corp reports acquisition of common stock and share units through dividend payments and participation in a deferred compensation plan.

Summary

• On March 5, 2025, Michael E. Lehman, a director of MGIC Investment Corp, acquired 161.412 shares of common stock due to dividends paid on restricted stock units.
• Lehman also acquired 8.626 share units through phantom dividend reinvestment within the MGIC Investment Corporation Deferred Compensation Plan for Non-Employee Directors.
• Following these transactions, Lehman directly owns 67,477.5241 shares of common stock and 1,576.0407 share units.
• The share units are settled in cash based on the price of MGIC's common stock, unless a qualified election for later distribution is made.

Sentiment

Score: 7

Explanation: The sentiment is neutral to positive. The director increasing their holdings through dividends and deferred compensation suggests confidence in the company's performance.

Positives

• The director's participation in the deferred compensation plan and reinvestment of dividends signals confidence in the company's future performance.

Industry Context

Directors acquiring shares through dividends and deferred compensation plans is a common practice. It aligns their interests with those of shareholders and demonstrates a long-term commitment to the company's success. This is a standard way for directors to increase their stake in the company without making open market purchases.

Comparison to Industry Standards

• Comparing Lehman's holdings and acquisition methods to those of directors at similar mortgage insurance companies like Radian Group or Essent Group would provide a benchmark for assessing the significance of these transactions.
• Deferred compensation plans are a common tool for executive and director compensation across the financial services industry.
• The size of the dividend reinvestment and share unit acquisition can be compared to industry averages to determine if it is typical for a director at a company of MGIC's size and performance.

Stakeholder Impact

• The director's increased stake could positively influence shareholder confidence.
• The transactions have no immediate impact on employees, customers, suppliers, or creditors.

Key Dates