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MGIC INVESTMENT CORP (MTG) Stock Fundamental Analysis

USA - NYSE:MTG - US5528481030 - Common Stock

28.77 USD
+0.38 (+1.34%)
Last: 9/26/2025, 8:14:05 PM
28.77 USD
0 (0%)
After Hours: 9/26/2025, 8:14:05 PM
Fundamental Rating

5

Taking everything into account, MTG scores 5 out of 10 in our fundamental rating. MTG was compared to 101 industry peers in the Financial Services industry. MTG has an average financial health and profitability rating. MTG is not valued too expensively and it also shows a decent growth rate.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

In the past year MTG was profitable.
In the past year MTG had a positive cash flow from operations.
MTG had positive earnings in each of the past 5 years.
Each year in the past 5 years MTG had a positive operating cash flow.
MTG Yearly Net Income VS EBIT VS OCF VS FCFMTG Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M 1B

1.2 Ratios

The Return On Assets of MTG (11.66%) is better than 94.06% of its industry peers.
MTG has a better Return On Equity (14.79%) than 73.27% of its industry peers.
Industry RankSector Rank
ROA 11.66%
ROE 14.79%
ROIC N/A
ROA(3y)12.16%
ROA(5y)10.24%
ROE(3y)15.82%
ROE(5y)14%
ROIC(3y)N/A
ROIC(5y)N/A
MTG Yearly ROA, ROE, ROICMTG Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30 40 50

1.3 Margins

MTG has a Profit Margin of 62.58%. This is amongst the best in the industry. MTG outperforms 98.02% of its industry peers.
In the last couple of years the Profit Margin of MTG has grown nicely.
With an excellent Operating Margin value of 82.50%, MTG belongs to the best of the industry, outperforming 97.03% of the companies in the same industry.
MTG's Operating Margin has improved in the last couple of years.
Industry RankSector Rank
OM 82.5%
PM (TTM) 62.58%
GM N/A
OM growth 3Y2.71%
OM growth 5Y2.31%
PM growth 3Y5.66%
PM growth 5Y2.62%
GM growth 3YN/A
GM growth 5YN/A
MTG Yearly Profit, Operating, Gross MarginsMTG Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20 40 60 80 100

4

2. Health

2.1 Basic Checks

MTG does not have a ROIC to compare to the WACC, probably because it is not profitable.
MTG has less shares outstanding than it did 1 year ago.
The number of shares outstanding for MTG has been reduced compared to 5 years ago.
Compared to 1 year ago, MTG has about the same debt to assets ratio.
MTG Yearly Shares OutstandingMTG Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M
MTG Yearly Total Debt VS Total AssetsMTG Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B

2.2 Solvency

The Debt to FCF ratio of MTG is 0.84, which is an excellent value as it means it would take MTG, only 0.84 years of fcf income to pay off all of its debts.
MTG has a Debt to FCF ratio of 0.84. This is amongst the best in the industry. MTG outperforms 86.14% of its industry peers.
MTG has a Debt/Equity ratio of 0.13. This is a healthy value indicating a solid balance between debt and equity.
MTG's Debt to Equity ratio of 0.13 is amongst the best of the industry. MTG outperforms 80.20% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.13
Debt/FCF 0.84
Altman-Z N/A
ROIC/WACCN/A
WACC8.41%
MTG Yearly LT Debt VS Equity VS FCFMTG Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B 5B

2.3 Liquidity

Industry RankSector Rank
Current Ratio N/A
Quick Ratio N/A

4

3. Growth

3.1 Past

The Earnings Per Share has grown by an nice 12.09% over the past year.
MTG shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.48% yearly.
The Revenue has been growing slightly by 3.26% in the past year.
MTG shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.10% yearly.
EPS 1Y (TTM)12.09%
EPS 3Y14.47%
EPS 5Y9.48%
EPS Q2Q%6.49%
Revenue 1Y (TTM)3.26%
Revenue growth 3Y0.62%
Revenue growth 5Y-0.1%
Sales Q2Q%-0.34%

3.2 Future

Based on estimates for the next years, MTG will show a small growth in Earnings Per Share. The EPS will grow by 4.89% on average per year.
Based on estimates for the next years, MTG will show a small growth in Revenue. The Revenue will grow by 2.65% on average per year.
EPS Next Y5.05%
EPS Next 2Y3.25%
EPS Next 3Y4.89%
EPS Next 5YN/A
Revenue Next Year1.47%
Revenue Next 2Y2.02%
Revenue Next 3Y2.65%
Revenue Next 5YN/A

3.3 Evolution

When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
MTG Yearly Revenue VS EstimatesMTG Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 200M 400M 600M 800M 1B
MTG Yearly EPS VS EstimatesMTG Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 1 2 3

6

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 9.40, the valuation of MTG can be described as very reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of MTG indicates a somewhat cheap valuation: MTG is cheaper than 78.22% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.32, MTG is valued rather cheaply.
MTG is valuated reasonably with a Price/Forward Earnings ratio of 9.27.
Based on the Price/Forward Earnings ratio, MTG is valued a bit cheaper than the industry average as 63.37% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 22.89. MTG is valued rather cheaply when compared to this.
Industry RankSector Rank
PE 9.4
Fwd PE 9.27
MTG Price Earnings VS Forward Price EarningsMTG Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

MTG's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. MTG is cheaper than 87.13% of the companies in the same industry.
MTG's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. MTG is cheaper than 79.21% of the companies in the same industry.
Industry RankSector Rank
P/FCF 8.6
EV/EBITDA 6.77
MTG Per share dataMTG EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15 20

4.3 Compensation for Growth

The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
MTG has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.86
PEG (5Y)0.99
EPS Next 2Y3.25%
EPS Next 3Y4.89%

6

5. Dividend

5.1 Amount

MTG has a Yearly Dividend Yield of 2.11%. Purely for dividend investing, there may be better candidates out there.
MTG's Dividend Yield is a higher than the industry average which is at 5.03.
MTG's Dividend Yield is comparable with the S&P500 average which is at 2.38.
Industry RankSector Rank
Dividend Yield 2.11%

5.2 History

The dividend of MTG is nicely growing with an annual growth rate of 33.24%!
MTG has been paying a dividend for at least 10 years, so it has a reliable track record.
MTG has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)33.24%
Div Incr Years5
Div Non Decr Years5
MTG Yearly Dividends per shareMTG Yearly Dividends per shareYearly Dividends per share 2019 2020 2021 2022 2023 2024 2025 0.1 0.2 0.3 0.4

5.3 Sustainability

17.21% of the earnings are spent on dividend by MTG. This is a low number and sustainable payout ratio.
The dividend of MTG is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP17.21%
EPS Next 2Y3.25%
EPS Next 3Y4.89%
MTG Yearly Income VS Free CF VS DividendMTG Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M 1B
MTG Dividend Payout.MTG Dividend Payout, showing the Payout Ratio.MTG Dividend Payout.PayoutRetained Earnings

MGIC INVESTMENT CORP

NYSE:MTG (9/26/2025, 8:14:05 PM)

After market: 28.77 0 (0%)

28.77

+0.38 (+1.34%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)07-30 2025-07-30/amc
Earnings (Next)11-03 2025-11-03/amc
Inst Owners100.54%
Inst Owner Change0.86%
Ins Owners1.72%
Ins Owner Change-4.36%
Market Cap6.63B
Analysts51.43
Price Target27.88 (-3.09%)
Short Float %2.39%
Short Ratio2.67
Dividend
Industry RankSector Rank
Dividend Yield 2.11%
Yearly Dividend0.5
Dividend Growth(5Y)33.24%
DP17.21%
Div Incr Years5
Div Non Decr Years5
Ex-Date08-07 2025-08-07 (0.15)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.42%
Min EPS beat(2)8.29%
Max EPS beat(2)12.54%
EPS beat(4)4
Avg EPS beat(4)10.63%
Min EPS beat(4)6.93%
Max EPS beat(4)14.77%
EPS beat(8)8
Avg EPS beat(8)12.35%
EPS beat(12)12
Avg EPS beat(12)17.99%
EPS beat(16)16
Avg EPS beat(16)21.25%
Revenue beat(2)0
Avg Revenue beat(2)-1.19%
Min Revenue beat(2)-1.56%
Max Revenue beat(2)-0.82%
Revenue beat(4)0
Avg Revenue beat(4)-1.21%
Min Revenue beat(4)-1.67%
Max Revenue beat(4)-0.79%
Revenue beat(8)1
Avg Revenue beat(8)-1.54%
Revenue beat(12)1
Avg Revenue beat(12)-1.88%
Revenue beat(16)1
Avg Revenue beat(16)-1.61%
PT rev (1m)0%
PT rev (3m)0.61%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.49%
EPS NY rev (1m)0%
EPS NY rev (3m)3.5%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.11%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.08%
Valuation
Industry RankSector Rank
PE 9.4
Fwd PE 9.27
P/S 5.44
P/FCF 8.6
P/OCF 8.59
P/B 1.29
P/tB 1.29
EV/EBITDA 6.77
EPS(TTM)3.06
EY10.64%
EPS(NY)3.1
Fwd EY10.78%
FCF(TTM)3.34
FCFY11.62%
OCF(TTM)3.35
OCFY11.64%
SpS5.29
BVpS22.36
TBVpS22.36
PEG (NY)1.86
PEG (5Y)0.99
Profitability
Industry RankSector Rank
ROA 11.66%
ROE 14.79%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM 82.5%
PM (TTM) 62.58%
GM N/A
FCFM 63.26%
ROA(3y)12.16%
ROA(5y)10.24%
ROE(3y)15.82%
ROE(5y)14%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y2.71%
OM growth 5Y2.31%
PM growth 3Y5.66%
PM growth 5Y2.62%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover0.19
Health
Industry RankSector Rank
Debt/Equity 0.13
Debt/FCF 0.84
Debt/EBITDA 0.63
Cap/Depr 8.19%
Cap/Sales 0.09%
Interest Coverage 29.48
Cash Conversion 75.82%
Profit Quality 101.08%
Current Ratio N/A
Quick Ratio N/A
Altman-Z N/A
F-Score8
WACC8.41%
ROIC/WACCN/A
Cap/Depr(3y)6.04%
Cap/Depr(5y)6.01%
Cap/Sales(3y)0.18%
Cap/Sales(5y)0.23%
Profit Quality(3y)89.78%
Profit Quality(5y)108.35%
High Growth Momentum
Growth
EPS 1Y (TTM)12.09%
EPS 3Y14.47%
EPS 5Y9.48%
EPS Q2Q%6.49%
EPS Next Y5.05%
EPS Next 2Y3.25%
EPS Next 3Y4.89%
EPS Next 5YN/A
Revenue 1Y (TTM)3.26%
Revenue growth 3Y0.62%
Revenue growth 5Y-0.1%
Sales Q2Q%-0.34%
Revenue Next Year1.47%
Revenue Next 2Y2.02%
Revenue Next 3Y2.65%
Revenue Next 5YN/A
EBIT growth 1Y2.59%
EBIT growth 3Y3.34%
EBIT growth 5Y2.2%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y19.83%
FCF growth 3Y1.5%
FCF growth 5Y3.69%
OCF growth 1Y19.64%
OCF growth 3Y1.36%
OCF growth 5Y3.53%