Genworth Reorganization Doesn’t Help Competitors

The rising tide which was the announcement that Genworth Financial is reorganizing its operations on Wednesday morning failed to raise the boats of its competitors in the mortgage insurance industry.

In fact, on a percentage basis, MGIC and Radian were the second and fourth worst performing stocks in the Mortgage Industry Equity Composite.

On the day Genworth, which is not a member of the MIEC, finished 8.86% ahead of its Tuesday close, with nearly 36 million shares traded (the three-month average volume is in the area of 10 million).

But MGIC finished down 2.71% from Tuesday and Radian down 1.31%. Ellie Mae had the highest percentage loss, off 2.84%.

On the other hand, CoreLogic was up 2.7% and Bank of America up 1.99%.

Of the 17 MIEC stocks, nine were losers and eight of those performed worse than the Dow Jones Industrial Average (which was off 0.17%). There were two stocks that broke even and six ended the day ahead.