NMI (NASDAQ:NMIH) Stock Price Down 6% – Time to Sell?

Shares of NMI Holdings Inc (NASDAQ:NMIH) were down 6% during trading on Wednesday. The company traded as low as $38.52 and last traded at $38.2730. Approximately 356,569 shares traded hands during mid-day trading, a decline of 31% from the average session volume of 516,059 shares. The stock had previously closed at $40.73.

Wall Street Analyst Weigh In

Several research firms have recently weighed in on NMIH. Truist Financial lifted their price target on shares of NMI from $49.00 to $51.00 and gave the company a “buy” rating in a research note on Friday, July 31st. JPMorgan Chase & Co. raised their price objective on NMI from $48.00 to $50.00 and gave the stock an “overweight” rating in a report on Friday, July 31st. Weiss Ratings reaffirmed a “buy (b)” rating on shares of NMI in a research report on Wednesday, September 9th. Keefe, Bruyette & Woods reaffirmed a “market perform” rating and set a $47.00 target price on shares of NMI in a research report on Monday, August 3rd. Finally, Royal Bank Of Canada reiterated an “outperform” rating and issued a $53.00 target price on shares of NMI in a report on Tuesday, August 4th. Five equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company’s stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $49.14.

NMI Stock Down 6.0%

The company has a current ratio of 0.65, a quick ratio of 0.65 and a debt-to-equity ratio of 0.15. The firm has a market cap of $2.88 billion, a PE ratio of 7.56, a P/E/G ratio of 1.10 and a beta of 0.53. The business’s 50-day simple moving average is $43.97 and its 200 day simple moving average is $40.51.

NMI (NASDAQ:NMIH) last announced its quarterly earnings results on Thursday, July 30th. The financial services provider reported $1.38 earnings per share for the quarter, topping the consensus estimate of $1.28 by $0.10. NMI had a net margin of 54.10% and a return on equity of 15.13%. The firm had revenue of $187.89 million during the quarter, compared to analysts’ expectations of $156.26 million. During the same quarter in the prior year, the company earned $1.22 EPS. The company’s revenue was up 8.1% compared to the same quarter last year. As a group, equities research analysts expect that NMI Holdings Inc will post 5.25 earnings per share for the current year.

Insider Buying and Selling

In other news, EVP Robert Smith sold 12,000 shares of NMI stock in a transaction on Monday, August 3rd. The stock was sold at an average price of $44.65, for a total value of $535,800.00. Following the transaction, the executive vice president directly owned 96,381 shares in the company, valued at approximately $4,303,411.65. This trade represents a 11.07% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, CEO Adam Pollitzer sold 172,706 shares of NMI stock in a transaction on Friday, September 4th. The shares were sold at an average price of $44.85, for a total value of $7,745,864.10. Following the completion of the transaction, the chief executive officer owned 270,267 shares in the company, valued at $12,121,474.95. This represents a 38.99% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 196,368 shares of company stock valued at $8,800,740 over the last 90 days. Corporate insiders own 2.44% of the company’s stock.

Institutional Investors Weigh In On NMI

A number of hedge funds have recently made changes to their positions in NMIH. WINTON GROUP Ltd lifted its position in shares of NMI by 96.0% during the second quarter. WINTON GROUP Ltd now owns 24,747 shares of the financial services provider’s stock valued at $1,017,000 after buying an additional 12,120 shares during the last quarter. Integrated Wealth Concepts LLC bought a new position in shares of NMI during the 2nd quarter worth approximately $122,000. NewEdge Advisors LLC raised its stake in shares of NMI by 7.5% during the 2nd quarter. NewEdge Advisors LLC now owns 18,050 shares of the financial services provider’s stock worth $742,000 after acquiring an additional 1,252 shares in the last quarter. Allworth Financial LP lifted its position in NMI by 44.3% during the second quarter. Allworth Financial LP now owns 2,184 shares of the financial services provider’s stock valued at $90,000 after acquiring an additional 670 shares during the last quarter. Finally, Nykredit A S purchased a new stake in NMI during the second quarter valued at approximately $31,000. 94.12% of the stock is currently owned by hedge funds and other institutional investors.

NMI Company Profile

NMI Holdings, Inc (NASDAQ: NMIH) is the parent company of National MI, a provider of private mortgage insurance in the United States. Through its insurance subsidiaries, the company offers mortgage insurance to lenders and other mortgage market participants, helping protect against losses when borrowers default on residential home loans.

National MI’s products support conventional residential mortgages, including borrower-paid and lender-paid mortgage insurance arrangements. Its coverage is generally used when a homebuyer makes a down payment of less than 20%, enabling lenders to extend mortgage credit while reducing their exposure to potential default-related losses.