Core Insights - NMI Holdings Inc. (NMIH) shares closed at $37.58, close to its 52-week high of $43.20, indicating strong investor confidence and potential for further price appreciation [1] - The stock is trading above its 50-day and 200-day simple moving averages, suggesting solid upward momentum [1] Financial Performance - NMI Holdings' earnings have grown by 15.7% over the last five years, with a solid surprise history of beating earnings estimates in two of the last four quarters [2] - The company’s shares have gained 2.2% in the past year, underperforming the industry growth of 11% [3] Valuation Metrics - NMI Holdings' shares are trading at a forward price-to-book value of 1.15X, lower than the industry average of 1.46X and the Finance sector's 4.25X [4][8] - The Zacks average price target for NMIH is $43.00 per share, suggesting a potential upside of 15.5% from the last closing price [10] Growth Projections - The Zacks Consensus Estimate for NMI Holdings' 2025 earnings per share indicates a year-over-year increase of 8.89%, with revenues projected at $702.40 million, reflecting a 7.9% improvement [9] - The company is expected to benefit from new business opportunities in the growing mortgage insurance market, with increased production of monthly and single premium policies [7][13] Return on Capital - NMI Holdings has a return on equity (ROE) of 16.08%, significantly higher than the industry average of 8%, indicating efficient use of shareholders' funds [12] - The company has a comprehensive reinsurance program to manage credit volatility and enhance its return profile [15] Strategic Initiatives - NMIH is focused on efficiency and expense management to drive margin expansion, with a new $250 million share repurchase program authorized through December 31, 2027 [16] - The insurer is well-positioned for growth with a favorable growth outlook and affordable share prices, supported by a VGM Score of B [18]

Core Insights - NMI Holdings (NMIH) is a provider of private mortgage insurance to home buyers in the US, with a focus on the dynamics of home prices and household incomes [1] Group 1: Market Conditions - Home prices were rising faster than household incomes, indicating a potential imbalance in the housing market [1] - Mortgage delinquency rates were a concern, reflecting the financial strain on homeowners [1] Group 2: Investment Philosophy - The financial markets are viewed as efficient, with most stocks reflecting their real current value [1] - The best investment opportunities are often found in stocks that are less widely followed or do not accurately reflect market opportunities [1]

Core Viewpoint - NMI Holdings (NMIH) has shown modest performance over the past year with a gain of only 1%, but it is growing more quickly compared to other mortgage insurers, resulting in a smaller legacy portfolio of low-risk policies [1] Company Performance - NMIH's stock performance has been relatively stable, gaining just 1% over the past year [1] - The company is experiencing faster growth compared to its peers in the mortgage insurance sector [1] Portfolio Analysis - NMIH maintains a smaller legacy portfolio of low-risk policies, which may contribute to its growth potential and risk profile [1]

Key Takeaways NMI Holdings' Q3 operating EPS of $1.21 matched estimates, up 5.2% year over year. Revenues grew 7.8% on higher premiums and investment income, beating estimates by 2.3%. Primary insurance in force climbed 5.2%, while persistency slipped and loss ratio worsened. NMI Holdings Inc. (NMIH) reported third-quarter 2025 operating net income per share of $1.21, which matched the Zacks Consensus Estimate. The bottom line increased 5.2% year over year. The quarterly results reflected higher premiums ea ...

NMI Holdings (NMIH) came out with quarterly earnings of $1.21 per share, in line with the Zacks Consensus Estimate . This compares to earnings of $1.15 per share a year ago. These figures are adjusted for non-recurring items. A quarter ago, it was expected that this mortgage insurance company would post earnings of $1.16 per share when it actually produced earnings of $1.22, delivering a surprise of +5.17%.Over the last four quarters, the company has surpassed consensus EPS estimates two times.NMI Holdings, ...

Financial Data and Key Metrics Changes - In Q3 2025, the company achieved record total revenue of $178.7 million, with GAAP net income of $96 million, translating to $1.22 per diluted share and a return on equity of 15.6% [10][12] - The company generated $13 billion of new insurance written (NIW) and ended the period with a record $218.4 billion of primary insurance in force, reflecting a 2% increase from Q2 and a 5% increase compared to Q3 2024 [10][12] - The expense ratio reached a record low of 19.3%, indicating significant operating leverage and efficient cost management [11][12] Business Line Data and Key Metrics Changes - The company reported net premiums earned of $151.3 million in Q3, up from $149.1 million in Q2 and $143.3 million in Q3 2024 [11] - Investment income for the quarter was $26.8 million, compared to $24.9 million in Q2 and $22.5 million in Q3 2024 [11] Market Data and Key Metrics Changes - The company noted a 12-month persistency rate of 83.9% in Q3, slightly down from 84.1% in Q2 [10] - The default rate at quarter end was 1.05%, with 7,093 defaults reported, an increase from 6,709 at the end of Q2 [11] Company Strategy and Development Direction - The company emphasized its commitment to providing low-cost down payment support and maintaining a high-quality insured portfolio, positioning itself to capitalize on long-term trends in the housing market [4][8] - The management highlighted the importance of maintaining a robust balance sheet and disciplined expense management to drive growth and shareholder value [7][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the resilience of the macro environment and housing market, despite potential risks, and noted that the company is well-positioned for continued outperformance [6][8] - The management acknowledged the challenges of new market entrants but emphasized the strength and capacity of the existing players in the private mortgage insurance market [20][22] Other Important Information - The company repurchased $24.6 million of common stock during the quarter, retiring 628,000 shares at an average price of $39.13, with a total repurchase capacity of $256 million remaining [12][13] - Total cash and investments at quarter end were reported at $3.1 billion, with shareholders' equity at $2.5 billion and book value per share at $32.62, reflecting a 4% increase from Q2 and a 16% increase from Q3 2024 [12] Q&A Session Summary Question: Credit performance and new defaults - Management noted that new defaults increased by only 5% year-over-year, indicating a more stable credit environment, and attributed some of the increase to seasonal factors and portfolio seasoning [17][18] Question: Competitive environment and potential new entrants - Management acknowledged awareness of new market entrants but emphasized the challenges of establishing a private mortgage insurance business, suggesting that the current market is well-served by existing players [19][20][22] Question: Consumer strength and housing market observations - Management reported broad economic resilience, with low unemployment and cooling inflation, while noting potential weaknesses in certain housing markets, particularly in Florida and Texas [25][26][28] Question: Reinsurance market dynamics - Management indicated that the reinsurance market remains robust, with favorable pricing achieved, and discussed a preference for traditional reinsurance due to its forward coverage capabilities [29][31] Question: Core yield stability and persistency impacts - Management confirmed that core yield has remained stable at 34 basis points, with expectations for continued stability, while acknowledging potential impacts from refinancing activity [35][36] Question: Proactive strategies for capturing MI on refinanced loans - Management emphasized the importance of maintaining strong relationships with lenders and being present in the market to capture refinancing opportunities, rather than relying on specific strategies [42][43]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 Commission file number 001-36174 NMI Holdings, Inc. (Exact name of registrant as specified in its charter) Delaware 45-4914248 2100 Powell Street Emeryville , CA 94608 (Address of principal executive offices) (Zip Code) (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the q ...

EXHIBIT 99.1 FOR IMMEDIATE RELEASE NMI Holdings, Inc. Reports Third Quarter 2025 Financial Results EMERYVILLE, Calif., Nov. 4, 2025 -- NMI Holdings, Inc. (Nasdaq: NMIH) today reported net income of $96.0 million, or $1.22 per diluted share, for the third quarter ended September 30, 2025, compared to $96.2 million, or $1.21 per diluted share, for the second quarter ended June 30, 2025 and $92.8 million, or $1.15 per diluted share, for the third quarter ended September 30, 2024. Adam Pollitzer, President and ...

Core Insights - NMI Holdings, Inc. reported a net income of $96.0 million, or $1.22 per diluted share, for Q3 2025, showing slight changes compared to Q2 2025 and Q3 2024 [1][4]. Financial Performance - Net premiums earned increased to $151.3 million in Q3 2025 from $149.1 million in Q2 2025 and $143.3 million in Q3 2024, reflecting a 2% quarter-over-quarter (Q/Q) growth and a 6% year-over-year (Y/Y) growth [3][4]. - Total revenue for Q3 2025 was $178.7 million, up from $173.8 million in Q2 2025 and $166.1 million in Q3 2024 [4]. - Adjusted net income was $95.7 million, slightly down from $96.5 million in Q2 2025 but up from $92.8 million in Q3 2024 [4][3]. - The company’s book value per share (excluding net unrealized gains and losses) rose to $33.32, a 4% increase from Q2 2025 and a 16% increase from Q3 2024 [4][3]. Insurance Metrics - Primary insurance-in-force reached $218.4 billion, up 2% Q/Q and 5% Y/Y [3][4]. - New insurance written (NIW) was $13.0 billion, a 4% increase from Q2 2025 and a 6% increase from Q3 2024 [3][4]. - The loss ratio for Q3 2025 was 12.3%, compared to 9.0% in Q2 2025 and 7.2% in Q3 2024, indicating an increase in claims relative to premiums earned [4][3]. - The expense ratio improved to 19.3% from 19.8% in Q2 2025 and 20.3% in Q3 2024 [4][3]. Operational Highlights - The company maintains a robust balance sheet with total shareholders' equity of $2.5 billion at the end of Q3 2025 [4]. - Annualized return on equity for the quarter was 15.6%, down from 16.2% in Q2 2025 and 17.5% in Q3 2024 [4][3]. - The company’s CEO emphasized the importance of their products and services in the current market, highlighting strong operating performance and growth in their insured portfolio [2].

Core Points - NMI Holdings, Inc. will report its third quarter results for the period ending September 30, 2025, after market close on November 4, 2025 [1] - A conference call and live webcast will be held on the same day at 2:00 p.m. Pacific Time / 5:00 p.m. Eastern Time [2] - The webcast will be accessible on the company's website, and a replay along with the earnings press release and supplemental information will also be available [2] Company Overview - NMI Holdings, Inc. is the parent company of National Mortgage Insurance Corporation, a private mortgage insurance company in the U.S. [3] - The company enables low-down-payment borrowers to achieve home ownership while providing protection to lenders and investors against losses from borrower defaults [3]