Essent Group (ESNT) shares surged 5.31% in pre-market trading, as investors responded positively to the company's second-quarter 2026 financial results, which significantly exceeded analyst expectations.
The company reported earnings of $2.08 per share, a 19.54% beat over the FactSet consensus estimate of $1.74. Revenue for the quarter reached $362.7 million, up 13.64% from the prior-year period, and also surpassing analyst estimates of $321.6 million. Net income climbed to $189.7 million from $171.8 million in the first quarter, with an annualized return on equity rising to 13.4%.
Additionally, Essent Group declared a quarterly cash dividend of $0.35 per share, payable on September 10, 2026, to shareholders of record as of August 31, 2026. The company also announced a new excess of loss reinsurance transaction effective July 1, 2026, and a substantial share repurchase of 5.8 million shares for $348 million year-to-date.
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