NMI HOLDINGS INC (NMIH) Stock Fundamental Analysis
USA - NASDAQ:NMIH - US6292093050 - Common Stock
35.91 USD
-0.37 (-1.02%)
35.91 USD
0 (0%)
Overall NMIH gets a fundamental rating of 6 out of 10. We evaluated NMIH against 99 industry peers in the Financial Services industry. While NMIH has a great profitability rating, there are some minor concerns on its financial health. NMIH is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
NMIH had positive earnings in the past year.
NMIH had a positive operating cash flow in the past year.
Each year in the past 5 years NMIH has been profitable.
NMIH had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 10.52%, NMIH belongs to the top of the industry, outperforming 90.91% of the companies in the same industry.
NMIH's Return On Equity of 15.61% is fine compared to the rest of the industry. NMIH outperforms 76.77% of its industry peers.
NMIH has a Return On Invested Capital of 11.41%. This is amongst the best in the industry. NMIH outperforms 88.89% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NMIH is above the industry average of 7.72%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.52% | ||
| ROE | 15.61% | ||
| ROIC | 11.41% |
ROA(3y)11.12%
ROA(5y)10.14%
ROE(3y)17.04%
ROE(5y)15.68%
ROIC(3y)12.44%
ROIC(5y)11.39%
1.3 Margins
Looking at the Profit Margin, with a value of 55.57%, NMIH belongs to the top of the industry, outperforming 94.95% of the companies in the same industry.
In the last couple of years the Profit Margin of NMIH has grown nicely.
Looking at the Operating Margin, with a value of 75.57%, NMIH belongs to the top of the industry, outperforming 95.96% of the companies in the same industry.
NMIH's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 75.57% | ||
| PM (TTM) | 55.57% | ||
| GM | N/A |
OM growth 3Y4.36%
OM growth 5Y4.16%
PM growth 3Y5.11%
PM growth 5Y4.03%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
NMIH has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for NMIH has been reduced compared to 1 year ago.
Compared to 5 years ago, NMIH has more shares outstanding
The debt/assets ratio for NMIH has been reduced compared to a year ago.
2.2 Solvency
The Debt to FCF ratio of NMIH is 1.07, which is an excellent value as it means it would take NMIH, only 1.07 years of fcf income to pay off all of its debts.
NMIH has a Debt to FCF ratio of 1.07. This is amongst the best in the industry. NMIH outperforms 82.83% of its industry peers.
NMIH has a Debt/Equity ratio of 0.17. This is a healthy value indicating a solid balance between debt and equity.
NMIH's Debt to Equity ratio of 0.17 is fine compared to the rest of the industry. NMIH outperforms 70.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 1.07 | ||
| Altman-Z | N/A |
ROIC/WACC1.44
WACC7.91%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
NMIH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.02%, which is quite good.
Measured over the past years, NMIH shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.51% on average per year.
NMIH shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.98%.
NMIH shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.44% yearly.
EPS 1Y (TTM)10.02%
EPS 3Y18.13%
EPS 5Y11.51%
EPS Q2Q%1.67%
Revenue 1Y (TTM)9.98%
Revenue growth 3Y10.3%
Revenue growth 5Y11.44%
Sales Q2Q%5.59%
3.2 Future
Based on estimates for the next years, NMIH will show a small growth in Earnings Per Share. The EPS will grow by 7.15% on average per year.
The Revenue is expected to grow by 3.85% on average over the next years.
EPS Next Y11.1%
EPS Next 2Y7.54%
EPS Next 3Y7.15%
EPS Next 5YN/A
Revenue Next Year2.94%
Revenue Next 2Y4.04%
Revenue Next 3Y3.85%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
NMIH is valuated cheaply with a Price/Earnings ratio of 7.61.
Based on the Price/Earnings ratio, NMIH is valued cheaper than 84.85% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.53. NMIH is valued rather cheaply when compared to this.
NMIH is valuated cheaply with a Price/Forward Earnings ratio of 6.90.
76.77% of the companies in the same industry are more expensive than NMIH, based on the Price/Forward Earnings ratio.
NMIH is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.04, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.61 | ||
| Fwd PE | 6.9 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NMIH is valued cheaply inside the industry as 87.88% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, NMIH is valued cheaper than 82.83% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.19 | ||
| EV/EBITDA | 5.94 |
4.3 Compensation for Growth
NMIH's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of NMIH may justify a higher PE ratio.
PEG (NY)0.69
PEG (5Y)0.66
EPS Next 2Y7.54%
EPS Next 3Y7.15%
5. Dividend
5.1 Amount
No dividends for NMIH!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
35.91
-0.37 (-1.02%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners98.95%
Inst Owner Change-0.03%
Ins Owners1.94%
Ins Owner Change-4.28%
Market Cap2.79B
Analysts80
Price Target45.05 (25.45%)
Short Float %2.16%
Short Ratio4.24
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)6.72%
Min EPS beat(2)-0.64%
Max EPS beat(2)14.08%
EPS beat(4)1
Avg EPS beat(4)1.49%
Min EPS beat(4)-6.75%
Max EPS beat(4)14.08%
EPS beat(8)5
Avg EPS beat(8)4.46%
EPS beat(12)9
Avg EPS beat(12)4.88%
EPS beat(16)12
Avg EPS beat(16)4.45%
Revenue beat(2)0
Avg Revenue beat(2)-2.32%
Min Revenue beat(2)-3.42%
Max Revenue beat(2)-1.21%
Revenue beat(4)0
Avg Revenue beat(4)-3.79%
Min Revenue beat(4)-6.39%
Max Revenue beat(4)-1.21%
Revenue beat(8)0
Avg Revenue beat(8)-3.2%
Revenue beat(12)2
Avg Revenue beat(12)-2.13%
Revenue beat(16)6
Avg Revenue beat(16)-0.33%
PT rev (1m)0%
PT rev (3m)1.15%
EPS NQ rev (1m)0.56%
EPS NQ rev (3m)0.03%
EPS NY rev (1m)0.33%
EPS NY rev (3m)-0.14%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.73%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.61 | ||
| Fwd PE | 6.9 | ||
| P/S | 4.1 | ||
| P/FCF | 7.19 | ||
| P/OCF | 7.07 | ||
| P/B | 1.15 | ||
| P/tB | 1.15 | ||
| EV/EBITDA | 5.94 |
EPS(TTM)4.72
EY13.14%
EPS(NY)5.2
Fwd EY14.49%
FCF(TTM)5
FCFY13.91%
OCF(TTM)5.08
OCFY14.14%
SpS8.76
BVpS31.2
TBVpS31.15
PEG (NY)0.69
PEG (5Y)0.66
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.52% | ||
| ROE | 15.61% | ||
| ROCE | 14.66% | ||
| ROIC | 11.41% | ||
| ROICexc | 11.69% | ||
| ROICexgc | 13.27% | ||
| OM | 75.57% | ||
| PM (TTM) | 55.57% | ||
| GM | N/A | ||
| FCFM | 57.02% |
ROA(3y)11.12%
ROA(5y)10.14%
ROE(3y)17.04%
ROE(5y)15.68%
ROIC(3y)12.44%
ROIC(5y)11.39%
ROICexc(3y)12.73%
ROICexc(5y)11.75%
ROICexgc(3y)14.21%
ROICexgc(5y)12.86%
ROCE(3y)15.97%
ROCE(5y)14.63%
ROICexcg growth 3Y5.83%
ROICexcg growth 5Y-1.43%
ROICexc growth 3Y3.34%
ROICexc growth 5Y-3.31%
OM growth 3Y4.36%
OM growth 5Y4.16%
PM growth 3Y5.11%
PM growth 5Y4.03%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 1.07 | ||
| Debt/EBITDA | 0.79 | ||
| Cap/Depr | 53.4% | ||
| Cap/Sales | 0.92% | ||
| Interest Coverage | 27.46 | ||
| Cash Conversion | 74.96% | ||
| Profit Quality | 102.6% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score6
WACC7.91%
ROIC/WACC1.44
Cap/Depr(3y)76.04%
Cap/Depr(5y)92.06%
Cap/Sales(3y)1.57%
Cap/Sales(5y)2.01%
Profit Quality(3y)104.75%
Profit Quality(5y)118%
High Growth Momentum
Growth
EPS 1Y (TTM)10.02%
EPS 3Y18.13%
EPS 5Y11.51%
EPS Q2Q%1.67%
EPS Next Y11.1%
EPS Next 2Y7.54%
EPS Next 3Y7.15%
EPS Next 5YN/A
Revenue 1Y (TTM)9.98%
Revenue growth 3Y10.3%
Revenue growth 5Y11.44%
Sales Q2Q%5.59%
Revenue Next Year2.94%
Revenue Next 2Y4.04%
Revenue Next 3Y3.85%
Revenue Next 5YN/A
EBIT growth 1Y5.98%
EBIT growth 3Y15.11%
EBIT growth 5Y16.08%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y20.57%
FCF growth 3Y7.25%
FCF growth 5Y14.3%
OCF growth 1Y18.85%
OCF growth 3Y6.52%
OCF growth 5Y13.58%