Zacks Research Issues Positive Outlook for NMI Earnings

Key Points

• Zacks Research has raised its Q1 2027 earnings per share estimate for NMI Holdings from $1.34 to $1.36, with the full-year consensus now at $4.62 per share.
• NMI reported an EPS of $1.28 for the previous quarter, exceeding expectations of $1.10, alongside a revenue of $173.25 million, which was higher than analyst forecasts.
• NMI has a current consensus rating of "Moderate Buy" and an average target price of $43.00, with several analysts adjusting their price objectives upwards.

NMI Holdings Inc (NASDAQ:NMIH - Free Report) - Zacks Research boosted their Q1 2027 earnings per share estimates for shares of NMI in a report released on Thursday, July 24th. Zacks Research analyst R. Department now anticipates that the financial services provider will earn $1.36 per share for the quarter, up from their previous estimate of $1.34. The consensus estimate for NMI's current full-year earnings is $4.62 per share.

NMI (NASDAQ:NMIH - Get Free Report) last released its earnings results on Tuesday, April 29th. The financial services provider reported $1.28 EPS for the quarter, beating the consensus estimate of $1.10 by $0.18. NMI had a return on equity of 17.27% and a net margin of 55.93%. The company had revenue of $173.25 million during the quarter, compared to analysts' expectations of $169.04 million. During the same period in the prior year, the business posted $1.08 EPS. The business's revenue was up 10.8% on a year-over-year basis.

Other equities analysts have also recently issued reports about the company. JPMorgan Chase & Co. raised their price objective on NMI from $41.00 to $44.00 and gave the stock an "overweight" rating in a research note on Friday, July 11th. Barclays raised their price objective on NMI from $41.00 to $42.00 and gave the stock an "equal weight" rating in a research note on Tuesday, July 8th. Wall Street Zen cut NMI from a "buy" rating to a "hold" rating in a research note on Saturday, July 12th. Keefe, Bruyette & Woods cut NMI from an "outperform" rating to a "market perform" rating and raised their price objective for the stock from $42.00 to $43.00 in a research note on Monday, July 7th. Finally, Compass Point restated a "buy" rating and set a $37.00 price objective (up from $34.00) on shares of NMI in a research note on Friday, May 23rd. Four research analysts have rated the stock with a hold rating and four have assigned a buy rating to the company's stock. Based on data from MarketBeat, NMI has a consensus rating of "Moderate Buy" and an average target price of $43.00.

NMI Stock Performance

Shares of NMIH opened at $38.07 on Monday. The business's fifty day moving average price is $39.77 and its 200 day moving average price is $37.30. NMI has a 12-month low of $31.90 and a 12-month high of $43.20. The stock has a market capitalization of $2.97 billion, a PE ratio of 8.22, a price-to-earnings-growth ratio of 1.16 and a beta of 0.55. The company has a debt-to-equity ratio of 0.18, a current ratio of 0.74 and a quick ratio of 0.74.

Institutional Investors Weigh In On NMI

Hedge funds have recently added to or reduced their stakes in the stock. Sumitomo Mitsui Trust Group Inc. increased its holdings in shares of NMI by 18.2% during the first quarter. Sumitomo Mitsui Trust Group Inc. now owns 7,800 shares of the financial services provider's stock valued at $281,000 after purchasing an additional 1,200 shares during the period. Principal Financial Group Inc. increased its holdings in shares of NMI by 2.3% during the first quarter. Principal Financial Group Inc. now owns 462,641 shares of the financial services provider's stock valued at $16,678,000 after purchasing an additional 10,377 shares during the period. Wealth Enhancement Advisory Services LLC increased its holdings in shares of NMI by 90.8% during the first quarter. Wealth Enhancement Advisory Services LLC now owns 11,543 shares of the financial services provider's stock valued at $416,000 after purchasing an additional 5,492 shares during the period. Allspring Global Investments Holdings LLC increased its holdings in shares of NMI by 53.9% during the first quarter. Allspring Global Investments Holdings LLC now owns 19,012 shares of the financial services provider's stock valued at $696,000 after purchasing an additional 6,659 shares during the period. Finally, SG Americas Securities LLC acquired a new position in shares of NMI during the first quarter valued at $530,000. 94.12% of the stock is currently owned by institutional investors.

Insider Buying and Selling

In other NMI news, Director Michael Curry Montgomery sold 1,875 shares of the firm's stock in a transaction on Tuesday, May 13th. The stock was sold at an average price of $38.05, for a total value of $71,343.75. Following the sale, the director directly owned 66,068 shares in the company, valued at approximately $2,513,887.40. This trade represents a 2.76% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, insider William J. Leatherberry sold 13,111 shares of the firm's stock in a transaction on Wednesday, April 30th. The shares were sold at an average price of $35.56, for a total value of $466,227.16. Following the completion of the sale, the insider owned 163,796 shares in the company, valued at $5,824,585.76. The trade was a 7.41% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 113,697 shares of company stock valued at $4,210,337 in the last three months. 3.00% of the stock is owned by corporate insiders.

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.

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