Stewart Information Services Corporation - STC STOCK NEWS

AM Best has affirmed the Financial Strength Rating (FSR) of A- (Excellent) and the Long-Term Issuer Credit Ratings (Long-Term ICR) of "a-" (Excellent) for the member companies of Stewart Title Group. The Long-Term ICR of "bbb-" (Good) for the parent holding company, Stewart Information Services [NYSE: STC], has also been affirmed. The outlook for these ratings is stable.

The ratings reflect Stewart's very strong balance sheet strength, adequate operating performance, neutral business profile, and appropriate enterprise risk management. Despite challenges from high interest rates and a slowing economy, Stewart's underwriting and operating results are expected to remain in line with industry averages. The company benefits from very strong risk-adjusted capitalization and its position as the fourth-largest title insurance writer in the United States.

Sangoma Technologies (TSX: STC; Nasdaq: SANG) reported its Q4 and fiscal year 2024 results, achieving guidance targets. Key highlights include:

- FY2024 revenue of $247.3 million, within guided range
- Adjusted EBITDA of $42.6 million, meeting expectations
- 67% year-over-year increase in net cash from operating activities
- Gross margin improved to 70% from 68% in FY2023
- Services revenue grew 1.83%, while Products revenue declined
- Q4 operating expenses down 5% to $41.6 million
- Strong cash position with $16.2 million balance

The company's transformation strategy is progressing, with a focus on growth and debt reduction. Sangoma provided FY2025 guidance, projecting revenue of $250-$260 million and Adjusted EBITDA of $42-$46 million.

Stewart Title has appointed Heather Bland as the new Senior Vice President, Chief Underwriting Counsel for Direct Operations. With over 20 years of experience in the title insurance industry, Bland will develop underwriting strategy and expand commercial capabilities in Direct Operations. She previously served as Vice President, Senior National Counsel at Old Republic National Title Insurance Company's Chicago office.

Ryan Swed, Head of U.S. Direct Operations, expressed excitement about Bland's potential impact on commercial markets. Wilhelmina Kightlinger, Chief Underwriting Counsel for National Commercial Services, highlighted the opportunity to develop the next generation of underwriters. Bland, who holds a Juris Doctorate from Northern Illinois University, is a member of several industry committees and holds the Illinois Title Professional designation.

Stewart Information Services (NYSE:STC) has announced the planned retirement of Steve Lessack, Group President, effective at the end of the year. Lessack, who joined Stewart in 1995 and has served as Group President since 2019, has been instrumental in leading the company's Direct Operations, National Commercial Services, and International Operations. CEO Fred Eppinger praised Lessack's contributions, highlighting his role in bringing in top-tier talent and strengthening Stewart across these business lines.

The company has already made leadership transitions, with Ryan Swed promoted to Head of U.S. Direct Operations and Erin Sheckler promoted to Head of National Commercial Services in April 2023. Additionally, Marco Polsinelli will now oversee International Operations while continuing to lead Canadian Operations. Lessack's retirement marks the end of his 35-plus years of expertise in the industry, leaving behind a team well-positioned for continued growth and success.

PropStream, a leading real estate data provider, has announced significant enhancements to its services, including AI Property Values and an upgraded Automated Valuation Model (AVM). These innovations, powered by machine learning AI, aim to provide the most up-to-date and accurate property valuations by aggregating data from multiple sources and continuously updating them.

Brian Tepfer, PropStream's President, emphasized the company's commitment to transforming real estate data collection and utilization through predictive AI features. The new AVM is designed to give users an edge in property research and comparisons, enabling more informed decision-making. PropStream has also recently added Demographics datasets and plans to release more updates in the future.

Stewart Information Services (NYSE:STC) has announced a dividend increase, demonstrating its commitment to shareholder returns. The company's Board of Directors has approved an increase in the annual cash dividend from $1.90 to $2.00 per share. This change will take effect with the third quarterly payment of 2024, set at $0.50 per share, payable on September 30, 2024, to common stockholders of record on September 16, 2024. CEO Fred Eppinger emphasized that this action aligns with Stewart's goal of delivering consistent returns to shareholders through both operational performance and annual dividends.

Stewart Information Services (NYSE:STC) has been named one of the 2024-2025 Best Companies to Work For by U.S. News & World Report. The company was also recognized in the Insurance category and South region. This achievement reflects Stewart's efforts to become a destination for top talent in the title insurance and real estate industry.

CEO Fred Eppinger attributed this recognition to improvements in employee benefits and programs based on feedback. The ratings consider factors such as pay and benefits, work-life balance, job stability, comfort, belongingness, and career opportunities. Stewart's commitment to creating a positive work environment aligns with U.S. News' focus on factors influencing job seekers' decisions.

The company emphasizes its dedication to building a better home for all through its culture, customer service, and community and sustainability initiatives. Stewart invites interested individuals to explore career opportunities on their website.

Cloudvirga, a leading digital mortgage point-of-sale platform provider, has launched a dynamic advisory panel to explore industry issues, test solutions, and contribute to research. This open-forum group, comprising both clients and non-clients, will host monthly virtual meetings for ongoing initiatives. The panel aims to provide a free platform for mortgage professionals to share perspectives and suggestions for improving tools and services in the mortgage finance industry.

The inaugural focus group was held in Denver in June, bringing together lenders from various segments to discuss the industry's future. Findings from this meeting, available on Cloudvirga's blog, offer insights into lender pain points hindering full digital mortgage integration. The next virtual meeting is scheduled for August 15, with interested lenders invited to register on Cloudvirga's website.

Stewart Information Services (NYSE: STC) reported Q2 2024 results with total revenues of $602.2 million, up from $549.2 million in Q2 2023. Net income increased to $17.3 million ($0.62 per diluted share) compared to $15.8 million ($0.58 per diluted share) in the prior year quarter. On an adjusted basis, net income was $25.4 million ($0.91 per diluted share).

The title segment saw a 6% increase in operating revenues, driven by growth in domestic commercial, international, and agency title operations. The real estate solutions segment experienced a 29% increase in operating revenues, primarily due to increased credit information and valuation services.

Despite the improved results, CEO Fred Eppinger noted that the company remains impacted by a difficult housing market. Stewart continues to focus on strategic goals and invest in growth and margin improvement across all business lines.