MTG Stock Analysis: MGIC Investment | NYSE
Insurance - Specialty | NYSE, USA | Market Cap: 6.357m USD | 12M Return: 14.7% | US5528481030 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 45.9M
EPS Trend: 97.4%
Qual. Beats: 1
Rev. Trend: 77.0%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
Seasonality 11.6 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
MGIC Investment Corporation (NYSE: MTG), founded in 1957 and headquartered in Milwaukee, Wisconsin, is a U.S.-based provider of private mortgage insurance and related credit risk management services. Through its subsidiaries, the company offers primary mortgage default protection covering unpaid principal, delinquent interest, and foreclosure-related expenses, alongside contract underwriting and reinsurance services.
The company primarily serves residential mortgage loan originators, including commercial banks, savings institutions, credit unions, mortgage brokers, and mortgage bankers, operating across the United States, the District of Columbia, Puerto Rico, and Guam. As a mid-cap stock listed since 1991, MGIC operates in the Commercial & Residential Mortgage Finance sub-industry, where private mortgage insurers play a counter-cyclical role by absorbing credit risk from lenders, typically on loans with lower down payments.
- Persistency drives insurance in-force growth above expectations
- Mortgage delinquencies stabilize, easing claim loss pressure
- Buyback program expands as capital surplus grows
| Net Income: 707.9m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.11 > 0.02 and ΔFCF/TA -0.99 > 1.0 |
| NWC/Revenue: 498.7% < 20% (prev 469.1%; Δ 29.60% < -1%) |
| CFO/TA 0.11 > 3% & CFO 708.0m > Net Income 707.9m |
| Net Debt (-5.01b) to EBITDA (904.7m): -5.54 < 3 |
| Current Ratio: 37.66 > 1.5 & < 3 |
| Outstanding Shares: last quarter (210.9m) vs 12m ago -11.36% < -2% |
| Gross Margin: 92.41% > 18% (prev 98.87%; Δ -6.46% > 0.5%) |
| Asset Turnover: 18.30% > 50% (prev 18.63%; Δ -0.33% > 0%) |
| Interest Coverage Ratio: 26.12 > 6 (EBIT TTM 901.1m / Interest Expense TTM 34.5m) |
| A: 0.91 (Total Current Assets 6.13b - Total Current Liabilities 162.6m) / Total Assets 6.53b |
| B: 0.49 (Retained Earnings 3.17b / Total Assets 6.53b) |
| C: 0.14 (EBIT TTM 901.1m / Avg Total Assets 6.53b) |
| D: 3.31 (Book Value of Equity 5.01b / Total Liabilities 1.51b) |
| Altman-Z'' = 11.98 = AAA |
| DSRI: 0.41 (Receivables 69.7m/172.2m, Revenue 1.20b/1.22b) |
| GMI: 1.07 (GM 98.87% / 92.41%) |
| AQI: 1.57 (AQ_t 0.06 / AQ_t-1 0.04) |
| SGI: 0.98 (Revenue 1.20b / 1.22b) |
| TATA: -0.00 (NI 707.9m - CFO 708.0m) / TA 6.53b) |
| Beneish M = -3.12 (Cap -4..+1) = AA |
As of September 05, 2026, the stock is trading at USD 31.47 with a total of 1,075,760 shares traded. Over the past week, the price has changed by +1.25%, over one month by +3.48%, over three months by +27.29% and over the past year by +14.72%.
Current recommended Stop Loss: 30.70 (which is 2.4% or 1.5 ATR below the current price).
MGIC Investment has received a consensus analysts rating of 3.00. Therefore, it is recommended to hold MTG.
- StrongBuy: 0
- Buy: 1
- Hold: 4
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 31 | -1.5% |
P/E Trailing = 9.7147
P/E Forward = 9.8328
P/S = 5.3167
P/B = 1.2717
P/EG = 0.396
Revenue TTM = 1.20b USD
EBIT TTM = 901.1m USD
EBITDA TTM = 904.7m USD
Long Term Debt = 646.9m USD (from longTermDebt, last quarter)
Short Term Debt = unknown (none)
Debt = 646.9m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -5.01b USD (calculated: Debt 646.9m - CCE 5.66b)
Enterprise Value = 1.34b USD (6.36b + Debt 646.9m - CCE 5.66b)
Interest Coverage Ratio = 26.12 (Ebit TTM 901.1m / Interest Expense TTM 34.5m)
EV/FCF = 1.83x (Enterprise Value 1.34b / FCF TTM 733.7m)
FCF Yield = 54.61% (FCF TTM 733.7m / Enterprise Value 1.34b)
FCF Margin = 61.37% (FCF TTM 733.7m / Revenue TTM 1.20b)
Net Margin = 59.20% (Net Income TTM 707.9m / Revenue TTM 1.20b)
Gross Margin = 92.41% ((Revenue TTM 1.20b - Cost of Revenue TTM 90.7m) / Revenue TTM)
Gross Margin QoQ = none% (prev 88.40%)
Tobins Q-Ratio = 0.21 (Enterprise Value 1.34b / Total Assets 6.53b)
Interest Expense / Debt = 5.33% (Interest Expense 34.5m / Debt 646.9m)
Taxrate = 19.97% (176.7m / 884.5m)
NOPAT = 721.1m (EBIT 901.1m * (1 - 19.97%))
Current Ratio = 20.90 (Total Current Assets 6.13b / Total Current Liabilities 293.1m)
Debt / Equity = 0.13 (Debt 646.9m / totalStockholderEquity, last quarter 5.01b)
Debt / EBITDA = -5.54 (Net Debt -5.01b / EBITDA 904.7m)
Debt / FCF = -6.83 (Net Debt -5.01b / FCF TTM 733.7m)
Total Stockholder Equity = 5.09b (last 4 quarters mean from totalStockholderEquity)
RoA = 10.83% (Net Income 707.9m / Total Assets 6.53b)
RoE = 13.90% (Net Income TTM 707.9m / Total Stockholder Equity 5.09b)
RoCE = 15.70% (EBIT 901.1m / Capital Employed (Equity 5.09b + L.T.Debt 646.9m))
RoIC = 11.44% (NOPAT 721.1m / Invested Capital 6.30b)
WACC = 6.61% (E(6.36b)/V(7.00b) * Re(6.85%) + D(646.9m)/V(7.00b) * Rd(5.33%) * (1-Tc(0.20)))
Discount Rate = 6.85% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -99.89 | Cagr: -10.84%
[DCF] Terminal Value 74.23% ; FCFF base≈760.3m ; Y1≈710.2m ; Y5≈651.1m
[DCF] Fair Price = 74.61 (EV 10.3b - Net Debt -5.01b = Equity 15.3b / Shares 205.1m; r=8.35% [WACC [floored]]; 5y FCF grow -8.30% → 2.50% )
EPS Correlation: 97.44 | EPS CAGR: 10.12% | SUE: 2.84 | # QB: 1
Revenue Correlation: 77.04 | Revenue CAGR: 1.68% | SUE: -0.48 | # QB: 0
EPS current Quarter (2026-09-30): EPS=0.80 | Chg30d=+4.45% | Revisions=+57% | Analysts=5
EPS current Year (2026-12-31): EPS=3.25 | Chg30d=+6.15% | Revisions=+57% | GrowthEPS=+3.6% | GrowthRev=-1.8%
EPS next Year (2027-12-31): EPS=3.43 | Chg30d=+3.82% | Revisions=+40% | GrowthEPS=+5.4% | GrowthRev=+1.7%
[Analyst] Revisions Ratio: +77% (up=10, down=0)