NMI Holdings Inc (NASDAQ:NMIH) Receives Average Recommendation of “Moderate Buy” from Brokerages

Shares of NMI Holdings Inc (NASDAQ:NMIH) have earned a consensus recommendation of “Moderate Buy” from the six research firms that are presently covering the company, Marketbeat reports. Two analysts have rated the stock with a hold recommendation and four have issued a buy recommendation on the company. The average 1-year price target among analysts that have updated their coverage on the stock in the last year is $48.3333.

A number of equities research analysts have recently weighed in on NMIH shares. UBS Group set a $46.00 price objective on shares of NMI in a report on Friday, May 22nd. Royal Bank Of Canada reaffirmed an “outperform” rating and set a $53.00 target price on shares of NMI in a report on Tuesday. JPMorgan Chase & Co. lifted their target price on shares of NMI from $48.00 to $50.00 and gave the stock an “overweight” rating in a research report on Friday, July 31st. Keefe, Bruyette & Woods reissued a “market perform” rating and issued a $47.00 price target on shares of NMI in a research note on Monday. Finally, Truist Financial upped their price target on shares of NMI from $49.00 to $51.00 and gave the company a “buy” rating in a research report on Friday, July 31st.

NMI Stock Performance

Shares of NASDAQ NMIH opened at $44.05 on Friday. The stock’s 50-day moving average is $40.23 and its 200 day moving average is $39.19. The stock has a market cap of $3.31 billion, a price-to-earnings ratio of 8.67, a P/E/G ratio of 1.22 and a beta of 0.54. NMI has a 1-year low of $34.84 and a 1-year high of $46.74. The company has a current ratio of 0.65, a quick ratio of 0.63 and a debt-to-equity ratio of 0.15.

NMI (NASDAQ:NMIH) last issued its earnings results on Thursday, July 30th. The financial services provider reported $1.38 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.28 by $0.10. NMI had a return on equity of 15.13% and a net margin of 54.10%.The business had revenue of $187.89 million during the quarter, compared to analyst estimates of $156.26 million. During the same quarter in the prior year, the firm earned $1.22 earnings per share. NMI’s revenue for the quarter was up 8.1% on a year-over-year basis. On average, sell-side analysts anticipate that NMI will post 5.19 EPS for the current fiscal year.

Insider Activity

In other news, Director Michael Curry Montgomery sold 1,554 shares of the business’s stock in a transaction dated Tuesday, May 19th. The stock was sold at an average price of $37.90, for a total value of $58,896.60. Following the completion of the sale, the director owned 69,026 shares of the company’s stock, valued at approximately $2,616,085.40. The trade was a 2.20% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, EVP Robert Owen Smith sold 12,000 shares of the stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $44.65, for a total value of $535,800.00. Following the sale, the executive vice president owned 96,381 shares of the company’s stock, valued at $4,303,411.65. This represents a 11.07% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 2.44% of the stock is currently owned by insiders.

Institutional Trading of NMI

A number of institutional investors have recently made changes to their positions in NMIH. Dimensional Fund Advisors LP increased its stake in shares of NMI by 0.8% in the first quarter. Dimensional Fund Advisors LP now owns 4,351,808 shares of the financial services provider’s stock worth $163,237,000 after buying an additional 34,372 shares during the period. Van Berkom & Associates Inc. boosted its position in NMI by 5.6% during the 4th quarter. Van Berkom & Associates Inc. now owns 2,016,030 shares of the financial services provider’s stock valued at $82,234,000 after buying an additional 106,400 shares during the period. Geode Capital Management LLC boosted its position in NMI by 0.3% during the 4th quarter. Geode Capital Management LLC now owns 1,982,722 shares of the financial services provider’s stock valued at $80,887,000 after buying an additional 5,274 shares during the period. Bank of America Corp DE grew its holdings in NMI by 22.7% in the 1st quarter. Bank of America Corp DE now owns 1,304,633 shares of the financial services provider’s stock worth $48,937,000 after acquiring an additional 241,724 shares during the last quarter. Finally, Qube Research & Technologies Ltd increased its position in shares of NMI by 10.8% in the second quarter. Qube Research & Technologies Ltd now owns 758,481 shares of the financial services provider’s stock valued at $32,000,000 after acquiring an additional 73,695 shares during the period. Hedge funds and other institutional investors own 94.12% of the company’s stock.

About NMI

NMI Holdings, Inc (NASDAQ: NMIH) is a publicly traded mortgage insurance company that provides private mortgage insurance to lenders across the United States and Canada. Through its principal subsidiary, National Mortgage Insurance Corporation, NMI underwrites and issues policies that protect originators and investors against losses arising from borrower default on residential mortgage loans. By mitigating credit risk on higher‐loan‐to‐value mortgages, the company supports homebuyers’ access to financing and contributes to overall market liquidity.

Beyond its core mortgage insurance products, NMI offers credit risk‐sharing and reinsurance solutions designed to help clients optimize capital utilization and manage portfolio exposure.