NMI Holdings Inc (NASDAQ:NMIH) Given Average Recommendation of "Moderate Buy" by Analysts

Key Points

• NMI Holdings has an average analyst rating of “Moderate Buy”, with four buy ratings and one hold, and a consensus 12-month price target of $44.80.
• The company beat first-quarter earnings and revenue estimates, reporting EPS of $1.28 versus $1.22 expected and revenue of $183.48 million versus $153.99 million expected.
• There has been notable insider selling recently, including sales by a director and the chairman, though institutional investors own 94.12% of the stock overall.

NMI Holdings Inc (NASDAQ:NMIH - Get Free Report) has received an average rating of "Moderate Buy" from the five analysts that are presently covering the company, MarketBeat.com reports. One investment analyst has rated the stock with a hold recommendation and four have issued a buy recommendation on the company. The average twelve-month target price among brokers that have issued ratings on the stock in the last year is $44.80.

Several research firms recently commented on NMIH. Royal Bank Of Canada assumed coverage on shares of NMI in a research report on Friday, May 22nd. They issued an "outperform" rating and a $46.00 price objective on the stock. Keefe, Bruyette & Woods dropped their target price on shares of NMI from $50.00 to $46.00 and set an "outperform" rating for the company in a report on Monday, May 4th. Barclays cut their target price on shares of NMI from $44.00 to $43.00 and set an "equal weight" rating for the company in a research report on Monday, April 6th. JPMorgan Chase & Co. reduced their price target on shares of NMI from $44.00 to $43.00 and set an "overweight" rating on the stock in a report on Thursday, April 9th. Finally, UBS Group set a $46.00 price target on shares of NMI in a research report on Friday, May 22nd.

Insider Buying and Selling

In other NMI news, Director Michael Curry Montgomery sold 1,554 shares of the stock in a transaction on Tuesday, May 19th. The stock was sold at an average price of $37.90, for a total transaction of $58,896.60. Following the sale, the director owned 69,026 shares in the company, valued at approximately $2,616,085.40. This represents a 2.20% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Chairman Bradley M. Shuster sold 18,953 shares of the firm's stock in a transaction on Tuesday, March 24th. The stock was sold at an average price of $37.35, for a total value of $707,894.55. Following the transaction, the chairman directly owned 415,411 shares of the company's stock, valued at $15,515,600.85. The trade was a 4.36% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 77,909 shares of company stock worth $2,920,756. 2.44% of the stock is owned by corporate insiders.

Institutional Trading of NMI

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Public Sector Pension Investment Board raised its position in shares of NMI by 5.4% in the third quarter. Public Sector Pension Investment Board now owns 597,447 shares of the financial services provider's stock valued at $22,906,000 after buying an additional 30,341 shares during the last quarter. Tudor Investment Corp ET AL grew its stake in NMI by 62.6% in the 3rd quarter. Tudor Investment Corp ET AL now owns 368,840 shares of the financial services provider's stock worth $14,141,000 after acquiring an additional 142,065 shares during the period. Teacher Retirement System of Texas grew its stake in NMI by 22.9% in the 4th quarter. Teacher Retirement System of Texas now owns 187,189 shares of the financial services provider's stock worth $7,635,000 after acquiring an additional 34,907 shares during the period. Dimensional Fund Advisors LP increased its stake in NMI by 0.7% in the third quarter. Dimensional Fund Advisors LP now owns 4,288,867 shares of the financial services provider's stock valued at $164,437,000 after purchasing an additional 31,570 shares during the last quarter. Finally, AlphaQuest LLC increased its stake in NMI by 188.3% in the third quarter. AlphaQuest LLC now owns 93,577 shares of the financial services provider's stock valued at $3,588,000 after purchasing an additional 61,116 shares during the last quarter. Hedge funds and other institutional investors own 94.12% of the company's stock.

NMI Price Performance

Shares of NASDAQ:NMIH opened at $36.28 on Friday. NMI has a 12 month low of $34.84 and a 12 month high of $43.20. The firm has a market capitalization of $2.76 billion, a price-to-earnings ratio of 7.39, a price-to-earnings-growth ratio of 1.28 and a beta of 0.59. The business's 50 day simple moving average is $38.33 and its 200-day simple moving average is $38.78. The company has a debt-to-equity ratio of 0.16, a current ratio of 0.63 and a quick ratio of 0.63.

NMI (NASDAQ:NMIH - Get Free Report) last posted its earnings results on Thursday, April 30th. The financial services provider reported $1.28 EPS for the quarter, topping analysts' consensus estimates of $1.22 by $0.06. NMI had a return on equity of 15.18% and a net margin of 53.82%.The company had revenue of $183.48 million for the quarter, compared to the consensus estimate of $153.99 million. During the same period in the previous year, the business earned $1.28 earnings per share. NMI's quarterly revenue was up 5.9% compared to the same quarter last year. As a group, equities analysts forecast that NMI will post 5.12 earnings per share for the current fiscal year.

NMI Company Profile

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.

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