NMI (NASDAQ:NMIH) Posts Earnings Results, Beats Expectations By $0.06 EPS

NMI (NASDAQ:NMIH) released its quarterly earnings results on Thursday. The financial services provider reported $1.28 earnings per share for the quarter, beating analysts’ consensus estimates of $1.22 by $0.06, FiscalAI reports. The company had revenue of $183.48 million for the quarter, compared to analysts’ expectations of $153.99 million. NMI had a return on equity of 15.36% and a net margin of 53.82%.The business’s revenue for the quarter was up 5.9% compared to the same quarter last year. During the same quarter in the previous year, the company posted $1.28 earnings per share.

Here are the key takeaways from NMI’s conference call:

• National MI reported a strong quarter with record Q1 results — total revenue of $183.5 million, adjusted net income of $99.4 million (EPS $1.28) and a 15.2% adjusted ROE, generating $12.3 billion of NIW and finishing with a record $222.3 billion of primary insurance in force.
• The company continued shareholder returns, repurchasing $27.7 million of stock (716,000 shares) in Q1 and retaining approximately $198 million of buyback capacity.
• Credit normalization trends continued — defaults increased to 8,044 (1.17% default rate) and Q1 claims expense rose to $20.7 million (vs. $4.5M in Q1 2025), with higher loss severity and modestly higher average reserves per default driven by larger loan sizes and later vintages.
• Management stated a cautious but constructive outlook, emphasizing disciplined pricing, risk selection and reinsurance decisions (noting profit commissions have trended lower) while highlighting continued confidence in long‑term growth opportunities.

NMI Price Performance

NMI stock traded down $1.50 during mid-day trading on Friday, hitting $37.21. The company’s stock had a trading volume of 1,335,732 shares, compared to its average volume of 414,958. The company has a quick ratio of 0.57, a current ratio of 0.57 and a debt-to-equity ratio of 0.16. The stock has a market capitalization of $2.83 billion, a P/E ratio of 7.58, a P/E/G ratio of 1.11 and a beta of 0.59. NMI has a twelve month low of $34.84 and a twelve month high of $43.20. The stock’s fifty day moving average price is $38.65 and its two-hundred day moving average price is $38.58.

Insiders Place Their Bets

In other NMI news, Chairman Bradley M. Shuster sold 55,000 shares of NMI stock in a transaction that occurred on Wednesday, February 18th. The shares were sold at an average price of $39.63, for a total value of $2,179,650.00. Following the transaction, the chairman owned 415,411 shares in the company, valued at approximately $16,462,737.93. The trade was a 11.69% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, EVP Norman Peter Fitzgerald sold 22,500 shares of NMI stock in a transaction that occurred on Tuesday, February 17th. The stock was sold at an average price of $39.94, for a total transaction of $898,650.00. Following the transaction, the executive vice president owned 32,445 shares in the company, valued at approximately $1,295,853.30. The trade was a 40.95% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 189,412 shares of company stock worth $7,357,746. 2.44% of the stock is owned by insiders.

Hedge Funds Weigh In On NMI

Several institutional investors and hedge funds have recently added to or reduced their stakes in NMIH. Bank of America Corp DE lifted its position in NMI by 95.3% during the 3rd quarter. Bank of America Corp DE now owns 1,014,557 shares of the financial services provider’s stock worth $38,898,000 after acquiring an additional 495,144 shares during the last quarter. BNP Paribas Financial Markets lifted its position in NMI by 184.3% during the 2nd quarter. BNP Paribas Financial Markets now owns 427,397 shares of the financial services provider’s stock worth $18,032,000 after acquiring an additional 277,065 shares during the last quarter. Ameriprise Financial Inc. lifted its position in NMI by 85.7% during the 3rd quarter. Ameriprise Financial Inc. now owns 600,139 shares of the financial services provider’s stock worth $23,009,000 after acquiring an additional 276,897 shares during the last quarter. Jane Street Group LLC lifted its position in NMI by 1,312.9% during the 1st quarter. Jane Street Group LLC now owns 224,152 shares of the financial services provider’s stock worth $8,081,000 after acquiring an additional 208,287 shares during the last quarter. Finally, AQR Capital Management LLC lifted its position in NMI by 30.4% during the 4th quarter. AQR Capital Management LLC now owns 733,478 shares of the financial services provider’s stock worth $29,919,000 after acquiring an additional 171,203 shares during the last quarter. 94.12% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Ratings Changes

NMIH has been the topic of a number of recent analyst reports. UBS Group set a $43.00 price target on NMI in a report on Monday, January 12th. Barclays dropped their target price on NMI from $44.00 to $43.00 and set an “equal weight” rating on the stock in a report on Monday, April 6th. JPMorgan Chase & Co. dropped their target price on NMI from $44.00 to $43.00 and set an “overweight” rating on the stock in a report on Thursday, April 9th. Weiss Ratings reissued a “buy (b)” rating on shares of NMI in a report on Thursday, January 22nd. Finally, Keefe, Bruyette & Woods boosted their target price on NMI from $48.00 to $50.00 and gave the stock an “outperform” rating in a report on Friday, April 10th. Four equities research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus target price of $43.20.

Key Stories Impacting NMI

Here are the key news stories impacting NMI this week:

• Positive Sentiment: Q1 headline beat — NMI reported EPS of $1.28 vs. the Zacks consensus $1.22 and revenue of about $183.5M (up ~5.9% Y/Y), signaling continued profitability and top-line growth. NMI Holdings (NMIH) Tops Q1 Earnings and Revenue Estimates
• Positive Sentiment: Core scale metric improved — primary insurance in force rose to $222.3 billion year-over-year, supporting future fee and premium income growth. NMI Holdings Q1 Earnings, Revenues Top, Insurance in Force Rises Y/Y
• Positive Sentiment: Net income and adjusted net income were solid — reported net income of $99.3M ($1.28/sh) and adjusted results roughly in line, showing stable underlying earnings power. NMI Holdings, Inc. Reports First Quarter 2026 Financial Results
• Neutral Sentiment: Previews and call materials provide context but no major guidance change — analyst previews and the earnings-call transcript give detail on metrics and trends without altering the upside beat story materially. Investors will parse the call for forward commentary. NMI Holdings, Inc. (NMIH) Q1 2026 Earnings Call Transcript
• Negative Sentiment: Persistency slipped and claims surged — while revenues and EPS beat, Zacks and other summaries flagged weaker policyholder persistency and higher claims activity in the quarter, which can pressure future earnings and margins and likely explains the negative investor reaction. NMI Holdings Q1 Earnings, Revenues Top, Insurance in Force Rises Y/Y

About NMI

NMI Holdings, Inc (NASDAQ: NMIH) is a publicly traded mortgage insurance company that provides private mortgage insurance to lenders across the United States and Canada. Through its principal subsidiary, National Mortgage Insurance Corporation, NMI underwrites and issues policies that protect originators and investors against losses arising from borrower default on residential mortgage loans. By mitigating credit risk on higher‐loan‐to‐value mortgages, the company supports homebuyers’ access to financing and contributes to overall market liquidity.

Beyond its core mortgage insurance products, NMI offers credit risk‐sharing and reinsurance solutions designed to help clients optimize capital utilization and manage portfolio exposure.