NMI HOLDINGS INC (NMIH) Stock Fundamental Analysis
USA - NASDAQ:NMIH - US6292093050 - Common Stock
36.83 USD
+0.21 (+0.57%)
36.83 USD
0 (0%)
Overall NMIH gets a fundamental rating of 5 out of 10. We evaluated NMIH against 99 industry peers in the Financial Services industry. NMIH has an excellent profitability rating, but there are some minor concerns on its financial health. NMIH scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
NMIH had positive earnings in the past year.
In the past year NMIH had a positive cash flow from operations.
NMIH had positive earnings in each of the past 5 years.
NMIH had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
NMIH has a better Return On Assets (10.22%) than 91.92% of its industry peers.
With a decent Return On Equity value of 15.14%, NMIH is doing good in the industry, outperforming 76.77% of the companies in the same industry.
With an excellent Return On Invested Capital value of 11.10%, NMIH belongs to the best of the industry, outperforming 87.88% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for NMIH is above the industry average of 8.15%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.22% | ||
| ROE | 15.14% | ||
| ROIC | 11.1% |
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
With an excellent Profit Margin value of 55.02%, NMIH belongs to the best of the industry, outperforming 93.94% of the companies in the same industry.
In the last couple of years the Profit Margin of NMIH has grown nicely.
With an excellent Operating Margin value of 74.83%, NMIH belongs to the best 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 | 74.83% | ||
| PM (TTM) | 55.02% | ||
| 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so NMIH is still creating some value.
Compared to 1 year ago, NMIH has less shares outstanding
Compared to 5 years ago, NMIH has more shares outstanding
Compared to 1 year ago, NMIH has an improved debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of NMIH is 1.08, which is an excellent value as it means it would take NMIH, only 1.08 years of fcf income to pay off all of its debts.
NMIH's Debt to FCF ratio of 1.08 is amongst the best of the industry. NMIH outperforms 80.81% 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 69.70% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.17 | ||
| Debt/FCF | 1.08 | ||
| Altman-Z | N/A |
ROIC/WACC1.39
WACC8.01%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
NMIH shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.66%.
NMIH shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.51% yearly.
The Revenue has grown by 8.86% in the past year. This is quite good.
The Revenue has been growing by 11.44% on average over the past years. This is quite good.
EPS 1Y (TTM)7.66%
EPS 3Y18.13%
EPS 5Y11.51%
EPS Q2Q%5.22%
Revenue 1Y (TTM)8.86%
Revenue growth 3Y10.3%
Revenue growth 5Y11.44%
Sales Q2Q%5.57%
3.2 Future
NMIH is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.18% yearly.
NMIH is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.87% yearly.
EPS Next Y11.03%
EPS Next 2Y7.48%
EPS Next 3Y7.18%
EPS Next 5YN/A
Revenue Next Year2.94%
Revenue Next 2Y4.04%
Revenue Next 3Y3.87%
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.
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
The Price/Earnings ratio is 7.71, which indicates a rather cheap valuation of NMIH.
Based on the Price/Earnings ratio, NMIH is valued a bit cheaper than 76.77% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.51, NMIH is valued rather cheaply.
A Price/Forward Earnings ratio of 7.08 indicates a rather cheap valuation of NMIH.
Based on the Price/Forward Earnings ratio, NMIH is valued a bit cheaper than the industry average as 72.73% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of NMIH to the average of the S&P500 Index (34.98), we can say NMIH is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.71 | ||
| Fwd PE | 7.08 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NMIH is valued cheaper than 88.89% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, NMIH is valued cheaply inside the industry as 82.83% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.39 | ||
| EV/EBITDA | 5.9 |
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)0.7
PEG (5Y)0.67
EPS Next 2Y7.48%
EPS Next 3Y7.18%
5. Dividend
5.1 Amount
NMIH does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
36.83
+0.21 (+0.57%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners98.95%
Inst Owner Change-0.64%
Ins Owners1.94%
Ins Owner Change-1.18%
Market Cap2.86B
Revenue(TTM)692.21M
Net Income(TTM)380.88M
Analysts80
Price Target45.46 (23.43%)
Short Float %2.13%
Short Ratio4.05
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)0
Avg EPS beat(2)-1.1%
Min EPS beat(2)-1.55%
Max EPS beat(2)-0.64%
EPS beat(4)1
Avg EPS beat(4)1.28%
Min EPS beat(4)-6.75%
Max EPS beat(4)14.08%
EPS beat(8)4
Avg EPS beat(8)3.43%
EPS beat(12)8
Avg EPS beat(12)3.96%
EPS beat(16)12
Avg EPS beat(16)4.45%
Revenue beat(2)0
Avg Revenue beat(2)-1.34%
Min Revenue beat(2)-1.47%
Max Revenue beat(2)-1.21%
Revenue beat(4)0
Avg Revenue beat(4)-3.12%
Min Revenue beat(4)-6.39%
Max Revenue beat(4)-1.21%
Revenue beat(8)0
Avg Revenue beat(8)-3.06%
Revenue beat(12)1
Avg Revenue beat(12)-2.51%
Revenue beat(16)5
Avg Revenue beat(16)-0.5%
PT rev (1m)0.92%
PT rev (3m)0.92%
EPS NQ rev (1m)-0.84%
EPS NQ rev (3m)-0.08%
EPS NY rev (1m)-0.07%
EPS NY rev (3m)-0.21%
Revenue NQ rev (1m)0.12%
Revenue NQ rev (3m)0.12%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.71 | ||
| Fwd PE | 7.08 | ||
| P/S | 4.13 | ||
| P/FCF | 7.39 | ||
| P/OCF | 7.26 | ||
| P/B | 1.14 | ||
| P/tB | 1.14 | ||
| EV/EBITDA | 5.9 |
EPS(TTM)4.78
EY12.98%
EPS(NY)5.2
Fwd EY14.12%
FCF(TTM)4.99
FCFY13.54%
OCF(TTM)5.07
OCFY13.77%
SpS8.92
BVpS32.42
TBVpS32.37
PEG (NY)0.7
PEG (5Y)0.67
Graham Number59.05
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.22% | ||
| ROE | 15.14% | ||
| ROCE | 14.25% | ||
| ROIC | 11.1% | ||
| ROICexc | 11.51% | ||
| ROICexgc | 13.03% | ||
| OM | 74.83% | ||
| PM (TTM) | 55.02% | ||
| GM | N/A | ||
| FCFM | 55.89% |
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%
ROICexgc growth 3Y5.83%
ROICexgc 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 | 1.08 | ||
| Debt/EBITDA | 0.79 | ||
| Cap/Depr | 56.63% | ||
| Cap/Sales | 0.94% | ||
| Interest Coverage | 11.39 | ||
| Cash Conversion | 74.29% | ||
| Profit Quality | 101.57% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score6
WACC8.01%
ROIC/WACC1.39
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)7.66%
EPS 3Y18.13%
EPS 5Y11.51%
EPS Q2Q%5.22%
EPS Next Y11.03%
EPS Next 2Y7.48%
EPS Next 3Y7.18%
EPS Next 5YN/A
Revenue 1Y (TTM)8.86%
Revenue growth 3Y10.3%
Revenue growth 5Y11.44%
Sales Q2Q%5.57%
Revenue Next Year2.94%
Revenue Next 2Y4.04%
Revenue Next 3Y3.87%
Revenue Next 5YN/A
EBIT growth 1Y4.52%
EBIT growth 3Y15.11%
EBIT growth 5Y16.08%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y15.93%
FCF growth 3Y7.25%
FCF growth 5Y14.3%
OCF growth 1Y14.22%
OCF growth 3Y6.52%
OCF growth 5Y13.58%
NMI HOLDINGS INC / NMIH FAQ
What is the fundamental rating for NMIH stock?
ChartMill assigns a fundamental rating of 5 / 10 to NMIH.
What is the valuation status for NMIH stock?
ChartMill assigns a valuation rating of 8 / 10 to NMI HOLDINGS INC (NMIH). This can be considered as Undervalued.
How profitable is NMI HOLDINGS INC (NMIH) stock?
NMI HOLDINGS INC (NMIH) has a profitability rating of 7 / 10.
What is the valuation of NMI HOLDINGS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for NMI HOLDINGS INC (NMIH) is 7.71 and the Price/Book (PB) ratio is 1.14.
What is the financial health of NMI HOLDINGS INC (NMIH) stock?
The financial health rating of NMI HOLDINGS INC (NMIH) is 4 / 10.