Last Updated: 16 Sep 2024
Executive Summary
NMI Holdings Inc. (NMIH) is a leading provider of private home equity insurance services in the United States. The company has a strong financial position with a market capitalization of $3.27 billion, EBITDA of $496.42 million, and EPS of $4.23. NMIH has a trailing PE ratio of 9.71 and a forward PE ratio of 8.64, which are both below the industry average. The company's stock price is currently trading at $41.07, which is within the 52-week range of $25.62 to $42.05.
Company Overview
NMI Holdings Inc. was founded in 1998 and is headquartered in Emeryville, California. The company provides private home equity insurance services to homeowners who have a mortgage on their property. NMIH's insurance policies protect homeowners from the risk of losing their home equity in the event of a default on their mortgage.
Fundamental Analysis
NMI Holdings Inc. has a strong financial position with a market capitalization of $3.27 billion, EBITDA of $496.42 million, and EPS of $4.23. The company's revenue has grown by an average of 13.6% over the past five years, and its net income has grown by an average of 18.9% over the same period. NMIH's profit margin is 56.4%, and its operating margin is 82.2%. The company's return on assets is 10.5%, and its return on equity is 18.4%.
Technical Analysis
The technical analysis of NMI Holdings Inc. stock shows that the stock is currently trading in a bullish trend. The stock price is above its 50-day and 200-day moving averages, and the relative strength index (RSI) is above 50. The stock is also forming a bullish pennant pattern, which is a continuation pattern that indicates that the stock price is likely to continue to rise.
Short Term Outlook
The short-term outlook for NMI Holdings Inc. stock is bullish. The stock price is trading in a bullish trend, and the technical indicators are positive. The stock is also trading at a discount to its fair value, which makes it a good value play.
Long Term Outlook
The long-term outlook for NMI Holdings Inc. stock is also bullish. The company has a strong financial position and a growing market. The company is also benefiting from the rising interest rates, which are increasing the demand for private home equity insurance.
Analyst Recommendations
The analysts who cover NMI Holdings Inc. stock have a bullish outlook on the stock. The consensus rating on the stock is "Buy," and the average target price is $41.71. Three analysts have a "Strong Buy" rating on the stock, three analysts have a "Buy" rating, and four analysts have a "Hold" rating.
