(NMIH) NMI Holdings - Ratings and Ratios

NMI Holdings, Inc. is a leading provider of private mortgage guaranty insurance in the US, offering primary mortgage insurance to protect lenders against default. The companys services enable lenders to offer more competitive loan terms, expanding access to housing finance. By serving a diverse range of lenders, including national and regional mortgage banks, credit unions, and non-bank lenders, NMI Holdings plays a critical role in the US mortgage ecosystem.

With its headquarters in Emeryville, California, NMI Holdings was incorporated in 2011, capitalizing on the growing demand for private mortgage insurance following the housing market crisis. The companys business model is designed to mitigate risk through rigorous underwriting and loan review processes, including outsourced loan review services to mortgage loan originators. This positions NMI Holdings as a trusted partner for lenders seeking to manage risk and comply with regulatory requirements.

Analyzing the companys , we observe a bullish trend, with the stock price above its 20-day and 50-day moving averages. The Average True Range (ATR) indicates moderate volatility, suggesting a relatively stable trading environment. Meanwhile, the reveals a market capitalization of $3.11 billion, a forward P/E ratio of 8.33, and a Return on Equity (RoE) of 17.02%. These metrics suggest that NMI Holdings is undervalued relative to its earnings and has a strong track record of generating returns for shareholders.

Based on the and , our forecast suggests that NMIH is poised for continued growth, driven by the increasing demand for private mortgage insurance and the companys strong risk management capabilities. With a target price of $45.00, representing a 11.4% upside from current levels, we expect NMIH to outperform the market in the near term. Key risks to this forecast include changes in housing market trends, regulatory developments, and competition from other private mortgage insurers.