NMI (NASDAQ:NMIH) Reaches New 52-Week High on Strong Earnings

Shares of NMI Holdings, Inc. (NASDAQ:NMIH) hit a new 52-week high during trading on Wednesday following a stronger than expected earnings report. The company traded as high as $32.54 and last traded at $32.43, with a volume of 43218 shares trading hands. The stock had previously closed at $30.86.

The financial services provider reported $1.08 earnings per share for the quarter, topping analysts’ consensus estimates of $0.96 by $0.12. The firm had revenue of $156.25 million during the quarter, compared to analysts’ expectations of $133.76 million. NMI had a net margin of 55.63% and a return on equity of 17.97%. The firm’s quarterly revenue was up 14.2% on a year-over-year basis. During the same quarter last year, the company posted $0.88 EPS.

Analysts Set New Price Targets

NMIH has been the subject of a number of research analyst reports. Truist Financial increased their price objective on shares of NMI from $36.00 to $37.00 and gave the stock a “buy” rating in a research report on Wednesday. StockNews.com cut shares of NMI from a “buy” rating to a “hold” rating in a research report on Thursday, March 21st. Keefe, Bruyette & Woods raised their price target on shares of NMI from $33.00 to $36.00 and gave the company a “market perform” rating in a research report on Thursday, April 4th. JPMorgan Chase & Co. raised their price objective on shares of NMI from $35.00 to $36.00 and gave the company an “overweight” rating in a report on Wednesday. Finally, Royal Bank of Canada raised their price objective on shares of NMI from $31.00 to $33.00 and gave the company a “sector perform” rating in a report on Thursday, February 15th. Three equities research analysts have rated the stock with a hold rating and six have assigned a buy rating to the stock. According to data from MarketBeat, NMI currently has an average rating of “Moderate Buy” and an average price target of $34.67.

Insiders Place Their Bets

In other news, EVP Robert Owen Smith sold 3,000 shares of the stock in a transaction on Thursday, March 21st. The shares were sold at an average price of $31.19, for a total value of $93,570.00. Following the completion of the sale, the executive vice president now owns 82,612 shares of the company’s stock, valued at $2,576,668.28. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. In other news, VP Nicholas Daniel Realmuto sold 1,249 shares of the firm’s stock in a transaction dated Tuesday, March 12th. The shares were sold at an average price of $30.23, for a total value of $37,757.27. Following the transaction, the vice president now directly owns 10,455 shares in the company, valued at approximately $316,054.65. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, EVP Robert Owen Smith sold 3,000 shares of NMI stock in a transaction dated Thursday, March 21st. The shares were sold at an average price of $31.19, for a total transaction of $93,570.00. Following the completion of the sale, the executive vice president now owns 82,612 shares in the company, valued at $2,576,668.28. The disclosure for this sale can be found here. Insiders have sold a total of 145,158 shares of company stock valued at $4,395,582 over the last quarter. Company insiders own 2.40% of the company’s stock.

Hedge Funds Weigh In On NMI

Several large investors have recently bought and sold shares of the stock. Vanguard Group Inc. boosted its holdings in shares of NMI by 3.4% during the fourth quarter. Vanguard Group Inc. now owns 6,809,208 shares of the financial services provider’s stock worth $202,097,000 after purchasing an additional 225,364 shares during the period. Van Berkom & Associates Inc. increased its position in NMI by 7.3% during the third quarter. Van Berkom & Associates Inc. now owns 2,708,797 shares of the financial services provider’s stock worth $73,381,000 after acquiring an additional 185,099 shares during the period. Assenagon Asset Management S.A. increased its holdings in NMI by 33.1% in the 1st quarter. Assenagon Asset Management S.A. now owns 1,144,360 shares of the financial services provider’s stock valued at $37,009,000 after buying an additional 284,405 shares during the period. American Century Companies Inc. increased its holdings in NMI by 11.6% in the 3rd quarter. American Century Companies Inc. now owns 988,812 shares of the financial services provider’s stock valued at $26,787,000 after buying an additional 102,857 shares during the period. Finally, Charles Schwab Investment Management Inc. increased its holdings in NMI by 9.1% in the 4th quarter. Charles Schwab Investment Management Inc. now owns 980,783 shares of the financial services provider’s stock valued at $29,110,000 after buying an additional 81,727 shares during the period. Institutional investors and hedge funds own 94.12% of the company’s stock.

NMI Price Performance

The company has a current ratio of 0.73, a quick ratio of 0.73 and a debt-to-equity ratio of 0.21. The company’s fifty day simple moving average is $30.45 and its 200-day simple moving average is $29.47. The stock has a market cap of $2.55 billion, a P/E ratio of 8.24, a price-to-earnings-growth ratio of 1.15 and a beta of 1.06.

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.