MGIC INVESTMENT CORP (MTG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:MTG - US5528481030 - Common Stock
26.38 USD
+0.18 (+0.69%)
Taking everything into account, MTG scores 6 out of 10 in our fundamental rating. MTG was compared to 98 industry peers in the Financial Services industry. MTG scores excellent on profitability, but there are some minor concerns on its financial health. MTG is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
- MTG had positive earnings in the past year.
- MTG had a positive operating cash flow in the past year.
- Each year in the past 5 years MTG has been profitable.
- MTG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- The Return On Assets of MTG (11.38%) is better than 92.86% of its industry peers.
- The Return On Equity of MTG (14.57%) is better than 75.51% of its industry peers.
- MTG's Return On Invested Capital of 11.99% is amongst the best of the industry. MTG outperforms 88.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.38% | ||
| ROE | 14.57% | ||
| ROIC | 11.99% |
ROA(3y)12.16%
ROA(5y)10.24%
ROE(3y)15.82%
ROE(5y)14%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- The Profit Margin of MTG (61.96%) is better than 95.92% of its industry peers.
- In the last couple of years the Profit Margin of MTG has grown nicely.
- Looking at the Operating Margin, with a value of 81.07%, MTG belongs to the top of the industry, outperforming 96.94% of the companies in the same industry.
- In the last couple of years the Operating Margin of MTG has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 81.07% | ||
| PM (TTM) | 61.96% | ||
| 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
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), MTG is creating some value.
- Compared to 1 year ago, MTG has less shares outstanding
- MTG has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for MTG has remained at the same level compared to a year ago.
2.2 Solvency
- MTG has a debt to FCF ratio of 0.80. This is a very positive value and a sign of high solvency as it would only need 0.80 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 0.80, MTG belongs to the top of the industry, outperforming 82.65% of the companies in the same industry.
- MTG has a Debt/Equity ratio of 0.12. This is a healthy value indicating a solid balance between debt and equity.
- MTG has a Debt to Equity ratio of 0.12. This is in the better half of the industry: MTG outperforms 73.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 0.8 | ||
| Altman-Z | N/A |
ROIC/WACC1.44
WACC8.33%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
- MTG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.09%, which is quite good.
- Measured over the past years, MTG shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.48% on average per year.
- The Revenue has been growing slightly by 2.20% 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)9.09%
EPS 3Y14.47%
EPS 5Y9.48%
EPS Q2Q%7.79%
Revenue 1Y (TTM)2.2%
Revenue growth 3Y0.62%
Revenue growth 5Y-0.1%
Sales Q2Q%-0.7%
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 6.42% on average per year.
- The Revenue is expected to grow by 2.37% on average over the next years.
EPS Next Y9.36%
EPS Next 2Y5.09%
EPS Next 3Y6.42%
EPS Next 5YN/A
Revenue Next Year0.98%
Revenue Next 2Y2.02%
Revenue Next 3Y2.37%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 8.46, 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 74.49% of the companies listed in the same industry.
- When comparing the Price/Earnings ratio of MTG to the average of the S&P500 Index (27.54), we can say MTG is valued rather cheaply.
- The Price/Forward Earnings ratio is 8.21, which indicates a very decent valuation of MTG.
- MTG's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. MTG is cheaper than 67.35% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of MTG to the average of the S&P500 Index (24.31), we can say MTG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.46 | ||
| Fwd PE | 8.21 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, MTG is valued cheaply inside the industry as 87.76% of the companies are valued more expensively.
- 86.73% of the companies in the same industry are more expensive than MTG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.35 | ||
| EV/EBITDA | 6.26 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- MTG has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.9
PEG (5Y)0.89
EPS Next 2Y5.09%
EPS Next 3Y6.42%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 2.06%, MTG has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 2.49, MTG pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.92, MTG has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.06% |
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
5.3 Sustainability
- MTG pays out 17.51% of its income as dividend. This is a sustainable payout ratio.
- MTG's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP17.51%
EPS Next 2Y5.09%
EPS Next 3Y6.42%
NYSE:MTG (1/16/2026, 12:39:59 PM)
26.38
+0.18 (+0.69%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)10-29 2025-10-29/amc
Earnings (Next)02-02 2026-02-02/amc
Inst Owners101.46%
Inst Owner Change0.02%
Ins Owners1.62%
Ins Owner Change-8.83%
Market Cap5.90B
Revenue(TTM)1.22B
Net Income(TTM)753.74M
Analysts50
Price Target28.39 (7.62%)
Short Float %2.85%
Short Ratio3.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.06% |
Yearly Dividend0.5
Dividend Growth(5Y)33.24%
DP17.51%
Div Incr Years5
Div Non Decr Years5
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.35%
Min EPS beat(2)10.16%
Max EPS beat(2)12.54%
EPS beat(4)4
Avg EPS beat(4)9.48%
Min EPS beat(4)6.93%
Max EPS beat(4)12.54%
EPS beat(8)8
Avg EPS beat(8)12.05%
EPS beat(12)12
Avg EPS beat(12)13.66%
EPS beat(16)16
Avg EPS beat(16)21.76%
Revenue beat(2)0
Avg Revenue beat(2)-1.87%
Min Revenue beat(2)-2.18%
Max Revenue beat(2)-1.56%
Revenue beat(4)0
Avg Revenue beat(4)-1.56%
Min Revenue beat(4)-2.18%
Max Revenue beat(4)-0.82%
Revenue beat(8)1
Avg Revenue beat(8)-1.7%
Revenue beat(12)1
Avg Revenue beat(12)-1.81%
Revenue beat(16)1
Avg Revenue beat(16)-1.63%
PT rev (1m)0.6%
PT rev (3m)1.83%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.97%
EPS NY rev (1m)0%
EPS NY rev (3m)3.31%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.74%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.48%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.46 | ||
| Fwd PE | 8.21 | ||
| P/S | 4.85 | ||
| P/FCF | 7.35 | ||
| P/OCF | 7.34 | ||
| P/B | 1.14 | ||
| P/tB | 1.14 | ||
| EV/EBITDA | 6.26 |
EPS(TTM)3.12
EY11.83%
EPS(NY)3.21
Fwd EY12.18%
FCF(TTM)3.59
FCFY13.61%
OCF(TTM)3.6
OCFY13.63%
SpS5.44
BVpS23.12
TBVpS23.12
PEG (NY)0.9
PEG (5Y)0.89
Graham Number40.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.38% | ||
| ROE | 14.57% | ||
| ROCE | 15.2% | ||
| ROIC | 11.99% | ||
| ROICexc | 12.51% | ||
| ROICexgc | 13.17% | ||
| OM | 81.07% | ||
| PM (TTM) | 61.96% | ||
| GM | N/A | ||
| FCFM | 66.05% |
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
ROICexgc growth 3YN/A
ROICexgc 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-Score5
Asset Turnover0.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 0.8 | ||
| Debt/EBITDA | 0.65 | ||
| Cap/Depr | 9.23% | ||
| Cap/Sales | 0.08% | ||
| Interest Coverage | 28.92 | ||
| Cash Conversion | 80.74% | ||
| Profit Quality | 106.6% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score5
WACC8.33%
ROIC/WACC1.44
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)9.09%
EPS 3Y14.47%
EPS 5Y9.48%
EPS Q2Q%7.79%
EPS Next Y9.36%
EPS Next 2Y5.09%
EPS Next 3Y6.42%
EPS Next 5YN/A
Revenue 1Y (TTM)2.2%
Revenue growth 3Y0.62%
Revenue growth 5Y-0.1%
Sales Q2Q%-0.7%
Revenue Next Year0.98%
Revenue Next 2Y2.02%
Revenue Next 3Y2.37%
Revenue Next 5YN/A
EBIT growth 1Y-1.33%
EBIT growth 3Y3.34%
EBIT growth 5Y2.2%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y16.36%
FCF growth 3Y1.5%
FCF growth 5Y3.69%
OCF growth 1Y16.1%
OCF growth 3Y1.36%
OCF growth 5Y3.53%
MGIC INVESTMENT CORP / MTG FAQ
Can you provide the ChartMill fundamental rating for MGIC INVESTMENT CORP?
ChartMill assigns a fundamental rating of 6 / 10 to MTG.
Can you provide the valuation status for MGIC INVESTMENT CORP?
ChartMill assigns a valuation rating of 8 / 10 to MGIC INVESTMENT CORP (MTG). This can be considered as Undervalued.
Can you provide the profitability details for MGIC INVESTMENT CORP?
MGIC INVESTMENT CORP (MTG) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for MTG stock?
The Price/Earnings (PE) ratio for MGIC INVESTMENT CORP (MTG) is 8.46 and the Price/Book (PB) ratio is 1.14.
Can you provide the financial health for MTG stock?
The financial health rating of MGIC INVESTMENT CORP (MTG) is 4 / 10.