Provides private mortgage guaranty insurance to lenders. Protects lenders against losses from borrower defaults. Now — the numbers.
This is an established company with proven profits.
Average growth of 10% a year over the last 4 years. Every year shown ended in profit.
The market pays 8.6× for every dollar of annual profit — cheap, which is either an opportunity or a warning.
Against companies in its own sector, it looks cheaper than 78% of them.
Analysts' average target sits 13% above today's price.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Profit power and business quality lead the class.
For a bank, strength is measured by capital buffers and reserves — not cash minus debt.
Clearly above the class average — a step short of the very top.
Sales are growing strongly for its sector.
The stock has been running stronger than the market lately.
No real weak spot in any of the five subjects — a balanced report card.
The stock trades near its peak today. For long-term holders the ride has paid off so far — though past performance guarantees nothing about the future.
The net profit margin is 55% — still a thick cushion, though costs have been eating into it lately.
Over the last 4 years, sales grew about 10% a year on average.
It met or beat analyst expectations in 7 of the last 8 quarters — consistency is a promise kept.
Our checks did not surface a specific risk to flag here. That is not the same as there being none.
On our five-subject report card, NMIH sits near the top of the class. A high grade doesn’t mean “guaranteed win” — it means “the evidence looks strong for now.”
The takeaway: NMIH is an established business that has proven its profits for years. The real debate here isn’t the price — it’s whether the company can keep up this pace.
The total grade weighs these five subjects against the sector — it isn’t a simple average of the five.
Not covered, because the filings we hold do not carry it: the revenue breakdown.