NMI Holdings Inc (NASDAQ:NMIH) Receives Consensus Recommendation of "Moderate Buy" from Analysts

Key Points

• NMI Holdings Inc has received a consensus recommendation of "Moderate Buy" from six research firms, with three holding the stock and three issuing buy ratings. The average 1-year target price is approximately $42.33.
• In its latest quarterly results, NMI reported an earnings per share (EPS) of $1.22, surpassing expectations, though revenue was below estimates at $149.07 million, reflecting a 7.2% year-over-year increase.
• Insider trading activity included the sale of 21,545 shares by Chairman Bradley M. Shuster, which represents a 4.99% decrease in his stock position, while 94.12% of the stock is owned by institutional investors.

NMI Holdings Inc (NASDAQ:NMIH - Get Free Report) has received an average recommendation of "Moderate Buy" from the six research firms that are presently covering the stock, MarketBeat.com reports. Three investment analysts have rated the stock with a hold rating and three have issued a buy rating on the company. The average 1-year target price among brokers that have covered the stock in the last year is $42.3333.

Several equities analysts recently issued reports on NMIH shares. Keefe, Bruyette & Woods cut NMI from an "outperform" rating to a "market perform" rating and boosted their price target for the company from $42.00 to $43.00 in a research report on Monday, July 7th. Wall Street Zen lowered NMI from a "buy" rating to a "hold" rating in a report on Saturday, July 12th. Compass Point reissued a "buy" rating and set a $37.00 target price (up from $34.00) on shares of NMI in a research note on Friday, May 23rd. JPMorgan Chase & Co. raised their price target on NMI from $41.00 to $44.00 and gave the company an "overweight" rating in a report on Friday, July 11th. Finally, Barclays raised their price target on NMI from $41.00 to $42.00 and gave the company an "equal weight" rating in a report on Tuesday, July 8th.

NMI Stock Performance

Shares of NMIH stock opened at $39.36 on Wednesday. The stock has a market capitalization of $3.05 billion, a PE ratio of 8.36, a price-to-earnings-growth ratio of 1.14 and a beta of 0.57. NMI has a 52-week low of $31.90 and a 52-week high of $43.20. The stock's 50-day moving average price is $39.54 and its 200 day moving average price is $37.45. The company has a quick ratio of 0.74, a current ratio of 0.74 and a debt-to-equity ratio of 0.17.

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

Insider Activity at NMI

In other news, Chairman Bradley M. Shuster sold 21,545 shares of the firm's stock in a transaction that occurred on Friday, June 6th. The stock was sold at an average price of $39.56, for a total value of $852,320.20. Following the completion of 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 position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 3.00% of the stock is owned by corporate insiders.

Institutional Trading of NMI

Several hedge funds have recently modified their holdings of NMIH. PNC Financial Services Group Inc. boosted its stake in shares of NMI by 4.1% during the 2nd quarter. PNC Financial Services Group Inc. now owns 6,661 shares of the financial services provider's stock worth $281,000 after acquiring an additional 264 shares in the last quarter. Xponance Inc. boosted its stake in shares of NMI by 5.0% during the 1st quarter. Xponance Inc. now owns 5,917 shares of the financial services provider's stock worth $213,000 after acquiring an additional 281 shares in the last quarter. Covestor Ltd boosted its stake in shares of NMI by 15.7% during the 1st quarter. Covestor Ltd now owns 2,190 shares of the financial services provider's stock worth $79,000 after acquiring an additional 297 shares in the last quarter. Wealth Enhancement Advisory Services LLC boosted its stake in shares of NMI by 5.7% during the 4th quarter. Wealth Enhancement Advisory Services LLC now owns 6,051 shares of the financial services provider's stock worth $222,000 after acquiring an additional 325 shares in the last quarter. Finally, California State Teachers Retirement System boosted its stake in shares of NMI by 0.5% during the 2nd quarter. California State Teachers Retirement System now owns 70,112 shares of the financial services provider's stock worth $2,958,000 after acquiring an additional 328 shares in the last quarter. 94.12% of the stock is owned by institutional investors and hedge funds.

About NMI

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.