Hsbc Holdings PLC Sells 10,889 Shares of NMI Holdings Inc $NMIH

Key Points

• Hsbc Holdings PLC has reduced its stake in NMI Holdings Inc by 13.6%, owning 69,456 shares valued at $2.5 million following the sale of 10,889 shares in Q1.
• Analyst ratings for NMI Holdings include a recent upgrade from Barclays raising the target price from $41 to $42, while Wall Street Zen downgraded their rating from "buy" to "hold."
• NMI reported $1.22 earnings per share for Q2, exceeding expectations, with a net margin of 55.57%, although revenue was below estimates at $149.07 million.

Hsbc Holdings PLC reduced its stake in shares of NMI Holdings Inc (NASDAQ:NMIH - Free Report) by 13.6% during the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 69,456 shares of the financial services provider's stock after selling 10,889 shares during the quarter. Hsbc Holdings PLC owned approximately 0.09% of NMI worth $2,502,000 at the end of the most recent reporting period.

A number of other hedge funds have also added to or reduced their stakes in the stock. Quantbot Technologies LP increased its position in NMI by 87.4% during the 1st quarter. Quantbot Technologies LP now owns 62,140 shares of the financial services provider's stock valued at $2,240,000 after purchasing an additional 28,987 shares during the period. Algert Global LLC increased its position in NMI by 0.7% during the 1st quarter. Algert Global LLC now owns 204,179 shares of the financial services provider's stock valued at $7,361,000 after purchasing an additional 1,440 shares during the period. American Century Companies Inc. increased its position in NMI by 9.0% during the 1st quarter. American Century Companies Inc. now owns 2,133,945 shares of the financial services provider's stock valued at $76,929,000 after purchasing an additional 176,766 shares during the period. Aberdeen Group plc increased its position in NMI by 134.2% during the 1st quarter. Aberdeen Group plc now owns 517,515 shares of the financial services provider's stock valued at $18,656,000 after purchasing an additional 296,557 shares during the period. Finally, Caitong International Asset Management Co. Ltd purchased a new position in NMI during the 1st quarter valued at $48,000. 94.12% of the stock is owned by hedge funds and other institutional investors.

Insider Buying and Selling

In related news, Chairman Bradley M. Shuster sold 21,545 shares of the stock in a transaction dated Friday, June 6th. The shares were 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 approximately $16,211,371.52. This represents a 4.99% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Company insiders own 3.00% of the company's stock.

Analyst Ratings Changes

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

NMI Stock Up 0.1%

NMIH stock traded up $0.02 during trading on Friday, hitting $39.35. 224,628 shares of the stock traded hands, compared to its average volume of 357,723. NMI Holdings Inc has a 1 year low of $31.90 and a 1 year high of $43.20. The firm's 50 day moving average is $39.47 and its two-hundred day moving average is $37.52. The stock has a market cap of $3.05 billion, a price-to-earnings ratio of 8.35, a price-to-earnings-growth ratio of 1.14 and a beta of 0.57. 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 (NASDAQ:NMIH - Get Free Report) last announced 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 net margin of 55.57% and a return on equity of 16.51%. The company had revenue of $149.07 million for the quarter, compared to the consensus estimate of $173.39 million. During the same period in the prior year, the firm posted $1.20 EPS. NMI's revenue for the quarter was up 7.2% on a year-over-year basis. On average, sell-side analysts anticipate that NMI Holdings Inc will post 4.62 EPS for the current year.

NMI 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.