NMI Holdings, Inc. (NMIH) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+215.7%

$137.07

vs $43.42 price

Levered DCF

$143.29

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

2.85

Grey zone

Rating

A+

Overall 5 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	8.14×	8.15×	7.59×	6.06×	8.09×	10.3×	13.06×	10.75×
P/B	1.22×	1.32×	1.27×	1.1×	1.19×	1.29×	2.41×	1.65×
P/S	4.49×	4.51×	4.22×	3.38×	3.85×	4.05×	6.06×	4.24×
EV / EBITDA	6.56×	6.43×	6.02×	5.05×	6.45×	8.08×	9.87×	8.08×
Gross margin	91.8%	95.0%	96.0%	100.5%	96.9%	85.8%	96.0%	97.9%
Operating margin	70.8%	71.2%	71.3%	71.9%	61.1%	50.0%	58.5%	49.7%
Net margin	55.1%	55.3%	55.6%	55.8%	47.6%	39.3%	46.5%	39.4%
Current ratio	1.9×	3.48×	38.14×	16.9×	5.65×	0×	0×	0×
Debt / equity	0.16×	0.19×	0.21×	0.25×	0.25×	0.29×	0.16×	0.21×
Interest coverage	17.55×	12.56×	12.81×	11.73×	9.33×	8.94×	17.93×	9.08×
Dividend yield	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%
Payout ratio	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	15.0%	16.2%	16.7%	18.2%	14.8%	12.5%	18.5%	15.4%
Return on invested capital	11.7%	10.8%	11.0%	11.7%	11.4%	7.9%	12.6%	9.9%
Return on assets	10.1%	10.7%	11.0%	11.6%	9.4%	7.9%	12.6%	9.9%
Free cash flow yield	13.0%	13.2%	13.6%	17.1%	16.8%	13.6%	8.8%	11.9%
Earnings yield	12.3%	12.3%	13.2%	16.5%	12.4%	9.7%	7.7%	9.3%
Enterprise value	$3.5B	$3.3B	$2.7B	$2.1B	$2.2B	$2B	$2.3B	$1.3B
Net debt / EBITDA	0.69×	0.7×	0.66×	0.84×	0.95×	1.08×	0.45×	0.77×
Cash conversion cycle (days)	79	65	66	64	70	0	0	0