Zacks Research Has Pessimistic Outlook of NMI Q1 Earnings

NMI Holdings, Inc. (NASDAQ:NMIH) – Stock analysts at Zacks Research cut their Q1 2025 earnings estimates for shares of NMI in a report released on Monday, February 24th. Zacks Research analyst R. Department now forecasts that the financial services provider will post earnings of $1.10 per share for the quarter, down from their previous forecast of $1.13. The consensus estimate for NMI’s current full-year earnings is $4.62 per share. Zacks Research also issued estimates for NMI’s Q2 2025 earnings at $1.14 EPS, Q3 2025 earnings at $1.16 EPS, Q4 2025 earnings at $1.17 EPS, FY2025 earnings at $4.57 EPS, Q1 2026 earnings at $1.23 EPS, Q2 2026 earnings at $1.25 EPS and FY2027 earnings at $5.28 EPS.

NMI (NASDAQ:NMIH) last announced its quarterly earnings results on Wednesday, February 12th. The financial services provider reported $1.07 earnings per share for the quarter, missing analysts’ consensus estimates of $1.14 by ($0.07). NMI had a return on equity of 17.33% and a net margin of 55.32%.

A number of other research firms have also recently commented on NMIH. UBS Group reduced their price objective on shares of NMI from $42.00 to $41.00 and set a “neutral” rating for the company in a research report on Wednesday, February 19th. JPMorgan Chase & Co. reduced their target price on shares of NMI from $46.00 to $41.00 and set an “overweight” rating for the company in a report on Monday, December 9th. Royal Bank of Canada lowered their price target on shares of NMI from $48.00 to $47.00 and set an “outperform” rating on the stock in a report on Thursday, November 7th. Barclays downgraded shares of NMI from an “overweight” rating to an “equal weight” rating and cut their price objective for the stock from $48.00 to $41.00 in a research report on Monday, January 6th. Finally, Keefe, Bruyette & Woods raised NMI from a “market perform” rating to an “outperform” rating and set a $43.00 target price on the stock in a research report on Monday. Three investment analysts have rated the stock with a hold rating and five have given a buy rating to the company. According to MarketBeat.com, NMI has an average rating of “Moderate Buy” and an average target price of $42.29.

NMI Stock Performance

Shares of NASDAQ NMIH opened at $35.96 on Wednesday. NMI has a 12 month low of $29.05 and a 12 month high of $42.49. The stock has a 50 day moving average of $36.85 and a 200-day moving average of $38.59. The company has a current ratio of 0.60, a quick ratio of 0.83 and a debt-to-equity ratio of 0.19. The company has a market capitalization of $2.82 billion, a P/E ratio of 8.12, a P/E/G ratio of 1.41 and a beta of 1.12.

Insider Activity at NMI

In related news, EVP Norman Peter Fitzgerald sold 20,000 shares of NMI stock in a transaction that occurred on Monday, February 24th. The shares were sold at an average price of $35.88, for a total value of $717,600.00. Following the transaction, the executive vice president now directly owns 37,470 shares of the company’s stock, valued at $1,344,423.60. This trade represents a 34.80 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, EVP Mohammad Nawaz Yousaf sold 1,083 shares of the business’s stock in a transaction that occurred on Friday, February 21st. The shares were sold at an average price of $35.44, for a total transaction of $38,381.52. Following the transaction, the executive vice president now owns 49,218 shares of the company’s stock, valued at approximately $1,744,285.92. This represents a 2.15 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 2.70% of the stock is owned by insiders.

Institutional Trading of NMI

Several large investors have recently bought and sold shares of the business. Principal Securities Inc. raised its stake in NMI by 66.5% during the fourth quarter. Principal Securities Inc. now owns 716 shares of the financial services provider’s stock worth $26,000 after acquiring an additional 286 shares in the last quarter. Smartleaf Asset Management LLC grew its holdings in shares of NMI by 288.4% during the 4th quarter. Smartleaf Asset Management LLC now owns 1,868 shares of the financial services provider’s stock valued at $69,000 after purchasing an additional 1,387 shares during the last quarter. Covestor Ltd increased its position in NMI by 601.1% during the 4th quarter. Covestor Ltd now owns 1,893 shares of the financial services provider’s stock worth $70,000 after purchasing an additional 1,623 shares in the last quarter. Sterling Capital Management LLC lifted its stake in NMI by 786.1% in the 4th quarter. Sterling Capital Management LLC now owns 2,295 shares of the financial services provider’s stock valued at $84,000 after purchasing an additional 2,036 shares during the last quarter. Finally, KBC Group NV boosted its position in NMI by 38.3% in the fourth quarter. KBC Group NV now owns 3,221 shares of the financial services provider’s stock valued at $118,000 after buying an additional 892 shares in the last quarter. 94.12% of the stock is owned by institutional investors and hedge funds.

About NMI

NMI Holdings, Inc provides private mortgage guaranty insurance services in the United States. The company offers mortgage insurance services, such as primary and pool insurance; and outsourced loan review services to mortgage loan originators. It serves national and regional mortgage banks, money center banks, credit unions, community banks, builder-owned mortgage lenders, internet-sourced lenders, and other non-bank lenders.