Connor Clark & Lunn Investment Management Ltd. Increases Stock Holdings in NMI Holdings Inc $NMIH

Key Points

• Connor Clark & Lunn Investment Management Ltd. increased its stake in NMI Holdings Inc by 65.7% during the first quarter, now owning 72,759 shares valued at approximately $2.6 million.
• Multiple institutional investors, including Assenagon Asset Management and Barclays PLC, have recently boosted their stakes in NMI, indicating strong interest among hedge funds.
• NMI Holdings recently reported earnings per share (EPS) of $1.22, exceeding expectations, with revenue of $149.07 million for the quarter, which is a 7.2% year-over-year increase.

Connor Clark & Lunn Investment Management Ltd. boosted its position in NMI Holdings Inc (NASDAQ:NMIH - Free Report) by 65.7% in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 72,759 shares of the financial services provider's stock after purchasing an additional 28,846 shares during the quarter. Connor Clark & Lunn Investment Management Ltd. owned approximately 0.09% of NMI worth $2,623,000 at the end of the most recent quarter.

A number of other institutional investors have also added to or reduced their stakes in NMIH. Assenagon Asset Management S.A. raised its holdings in NMI by 70.9% in the first quarter. Assenagon Asset Management S.A. now owns 2,034,419 shares of the financial services provider's stock worth $73,341,000 after purchasing an additional 844,037 shares in the last quarter. Capital World Investors raised its holdings in NMI by 21.1% in the fourth quarter. Capital World Investors now owns 1,150,000 shares of the financial services provider's stock worth $42,274,000 after purchasing an additional 200,000 shares in the last quarter. Barclays PLC raised its holdings in NMI by 43.6% in the fourth quarter. Barclays PLC now owns 555,618 shares of the financial services provider's stock worth $20,424,000 after purchasing an additional 168,619 shares in the last quarter. Captrust Financial Advisors bought a new position in NMI in the fourth quarter worth $5,747,000. Finally, Renaissance Technologies LLC raised its holdings in NMI by 328.9% in the fourth quarter. Renaissance Technologies LLC now owns 166,653 shares of the financial services provider's stock worth $6,126,000 after purchasing an additional 127,800 shares in the last quarter. Institutional investors own 94.12% of the company's stock.

Wall Street Analyst Weigh In

A number of research firms have issued reports on NMIH. Compass Point reiterated a "buy" rating and issued a $37.00 price objective (up previously from $34.00) on shares of NMI in a report on Friday, May 23rd. JPMorgan Chase & Co. increased their target price on NMI from $41.00 to $44.00 and gave the stock an "overweight" rating in a research note on Friday, July 11th. Barclays increased their target price on NMI from $41.00 to $42.00 and gave the stock an "equal weight" rating in a research note on Tuesday, July 8th. Keefe, Bruyette & Woods cut NMI from an "outperform" rating to a "market perform" rating and increased their target price for the stock from $42.00 to $43.00 in a research note on Monday, July 7th. Finally, Wall Street Zen cut NMI from a "buy" rating to a "hold" rating in a research note on Saturday, July 12th. Three analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. According to MarketBeat, NMI presently has a consensus rating of "Moderate Buy" and a consensus price target of $42.33.

NMI Stock Performance

Shares of NMI stock traded up $0.4980 during trading on Tuesday, hitting $39.1680. 36,193 shares of the company's stock traded hands, compared to its average volume of 569,614. The company has a debt-to-equity ratio of 0.17, a current ratio of 0.74 and a quick ratio of 0.74. NMI Holdings Inc has a 1 year low of $31.90 and a 1 year high of $43.20. The stock has a market capitalization of $3.04 billion, a P/E ratio of 8.32, a PEG ratio of 1.13 and a beta of 0.57. The business has a 50-day simple moving average of $39.62 and a 200-day simple moving average of $37.40.

NMI (NASDAQ:NMIH - Get Free Report) last released its quarterly earnings data on Tuesday, July 29th. The financial services provider reported $1.22 EPS for the quarter, beating the consensus estimate of $1.16 by $0.06. NMI had a return on equity of 16.51% and a net margin of 55.57%.The company had revenue of $149.07 million for the quarter, compared to analysts' expectations of $173.39 million. During the same period last year, the firm posted $1.20 earnings per share. NMI's revenue was up 7.2% compared to the same quarter last year. As a group, analysts forecast that NMI Holdings Inc will post 4.62 EPS for the current year.

Insider Activity at NMI

In related news, Chairman Bradley M. Shuster sold 21,545 shares of the stock in a transaction on Friday, June 6th. The stock was sold at an average price of $39.56, for a total transaction of $852,320.20. Following the sale, the chairman directly owned 409,792 shares of the company's stock, valued at $16,211,371.52. This trade represents a 4.99% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. 3.00% of the stock is owned by company insiders.

NMI Company Profile

NMI Holdings, Inc provides private mortgage guaranty insurance services in the United States. The company offers mortgage insurance services, such as primary and pool insurance; and outsourced loan review services to mortgage loan originators. It serves national and regional mortgage banks, money center banks, credit unions, community banks, builder-owned mortgage lenders, internet-sourced lenders, and other non-bank lenders.