NMI Holdings Inc (NASDAQ:NMIH) Receives Average Rating of "Moderate Buy" from Analysts

Key Points

• Analyst consensus: Five analysts rate NMIH an average "Moderate Buy" (four buys, one hold) with a 1‑year average price target of $42.80 and recent price‑target moves from JPMorgan, Keefe Bruyette & Woods, Barclays and UBS.
• Quarterly performance and valuation: NMI reported $1.20 EPS versus $1.17 expected and revenue essentially in line at $180.74M; the stock trades at a P/E of 7.92 and has a net margin of 55.05%, with a 12‑month range of $31.90–$43.20.
• Insider activity: Company insiders sold 189,412 shares (~$7.36M) over the past 90 days, reducing insider ownership to 3% while institutional investors hold about 94.12% of the shares.

Shares of NMI Holdings Inc (NASDAQ:NMIH - Get Free Report) have received an average rating of "Moderate Buy" from the five ratings firms that are currently covering the stock, Marketbeat reports. One analyst has rated the stock with a hold rating and four have issued a buy rating on the company. The average 1-year price target among brokerages that have issued ratings on the stock in the last year is $42.80.

Several analysts have recently weighed in on NMIH shares. JPMorgan Chase & Co. raised their price objective on shares of NMI from $42.00 to $43.00 and gave the stock an "overweight" rating in a report on Monday, January 12th. Barclays dropped their price objective on shares of NMI from $44.00 to $43.00 and set an "equal weight" rating for the company in a report on Monday. Keefe, Bruyette & Woods raised shares of NMI from a "market perform" rating to an "outperform" rating and raised their price objective for the stock from $46.00 to $48.00 in a report on Thursday, December 18th. UBS Group set a $43.00 price objective on shares of NMI in a report on Monday, January 12th. Finally, Weiss Ratings reaffirmed a "buy (b)" rating on shares of NMI in a report on Thursday, January 22nd.

NMI Stock Up 1.9%

Shares of NMIH opened at $38.91 on Thursday. The stock has a market cap of $2.96 billion, a price-to-earnings ratio of 7.92, a P/E/G ratio of 1.03 and a beta of 0.64. The company has a quick ratio of 0.57, a current ratio of 0.57 and a debt-to-equity ratio of 0.16. NMI has a 12 month low of $31.90 and a 12 month high of $43.20. The company has a 50-day moving average price of $38.62 and a two-hundred day moving average price of $38.32.

NMI (NASDAQ:NMIH - Get Free Report) last announced its quarterly earnings results on Tuesday, February 10th. The financial services provider reported $1.20 EPS for the quarter, topping analysts' consensus estimates of $1.17 by $0.03. The firm had revenue of $180.74 million during the quarter, compared to analysts' expectations of $180.69 million. NMI had a net margin of 55.05% and a return on equity of 15.78%. During the same quarter last year, the company earned $1.07 earnings per share. Equities analysts predict that NMI will post 4.62 EPS for the current fiscal year.

Insider Transactions at NMI

In other news, EVP Norman Peter Fitzgerald sold 22,500 shares of the firm's stock in a transaction that occurred on Tuesday, February 17th. The shares were sold at an average price of $39.94, for a total transaction of $898,650.00. Following the completion of the sale, the executive vice president owned 32,445 shares of the company's stock, valued at approximately $1,295,853.30. This trade represents a 40.95% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, EVP Mohammad Nawaz Yousaf sold 16,000 shares of the firm's stock in a transaction that occurred on Tuesday, February 17th. The stock was sold at an average price of $39.89, for a total transaction of $638,240.00. Following the sale, the executive vice president directly owned 38,733 shares of the company's stock, valued at approximately $1,545,059.37. The trade was a 29.23% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 189,412 shares of company stock valued at $7,357,746. Corporate insiders own 3.00% of the company's stock.

Institutional Trading of NMI

A number of hedge funds and other institutional investors have recently modified their holdings of NMIH. Allworth Financial LP increased its holdings in shares of NMI by 196.0% in the third quarter. Allworth Financial LP now owns 660 shares of the financial services provider's stock valued at $25,000 after purchasing an additional 437 shares in the last quarter. Maseco LLP acquired a new stake in shares of NMI in the fourth quarter valued at approximately $31,000. IFP Advisors Inc increased its holdings in shares of NMI by 189.5% in the fourth quarter. IFP Advisors Inc now owns 796 shares of the financial services provider's stock valued at $32,000 after purchasing an additional 521 shares in the last quarter. Harbor Capital Advisors Inc. increased its holdings in shares of NMI by 51.5% in the third quarter. Harbor Capital Advisors Inc. now owns 856 shares of the financial services provider's stock valued at $33,000 after purchasing an additional 291 shares in the last quarter. Finally, Farther Finance Advisors LLC increased its holdings in shares of NMI by 161.5% in the fourth quarter. Farther Finance Advisors LLC now owns 1,004 shares of the financial services provider's stock valued at $41,000 after purchasing an additional 620 shares in the last quarter. Institutional investors and hedge funds 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.

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