Big changes are happening at NMI Holdings, Inc. (NASDAQ:NMIH), which makes the stock worth watching today. The company is among the top gainers of the stock market today, skyrocketing 3.14% or (1 points) to $33 from its previous close of $32. Does this growth mean it the best stock to buy right now? The shares seem to have an active trading volume day with a reported 530210 contracts so far this session. NMIH shares had a relatively better volume day versus average trading capacity of 396 thousand shares, but with a 66.49 million float and a 9.38% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for NMIH stock indicates that the average analyst price target is $33.91 per share. This means the stock has a potential increase of 2.76% from where the NMIH share price has been trading recently which is between $30.1758 and $33.54. There are some brokerage firms that offer lower targets than the average, with one of them, even setting their price target at $30. Flipping the other side of the coin, an analyst who is fully bullish set a price target as high as $38.
During the recent trading session for NMI Holdings, Inc. (NASDAQ:NMIH), the company witnessed their stock rise $3.87 over a week and surge $6.17 from the price 20 days ago. When compared to their established 52-week high of $33.54, the high they recorded in their recent session happens to be lower. Their established 52-week high was attained by the company on 07/11/19. The recent low of $15.62 stood for a -1.61% since 12/26/18, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 1.24 is also allocated to the stock. Since the beta is greater than one, it implies that the stock is more volatile than the market, a data that traders are keeping close attention to. At the moment, the median target price for NMIH is set at $36, a figure which is above the recent 1-year high the stock witnessed.
Looking at the current readings for NMI Holdings, Inc., the two-week RSI stands at 77.21. This figure suggests that NMIH stock, for now, is oversold, meaning that the shares are not stable in terms of price movement. The stochastic readings, on the other hand, based on the current NMIH readings is similarly very revealing as it has a stochastic reading of 71.53% at this stage. This figure means that NMIH share price today is being oversold.
Technical chart claims that NMI Holdings, Inc. (NMIH) would settle between $33.63/share to $35.27/share level. However, if the stock price goes below the $30.27 mark, then the market for NMI Holdings, Inc. becomes much weaker. If that happens, the stock price might even plunge as low as $28.54 for its downside target. The stock is currently in the green zone of MACD, with the indicator reading 1.4. Traders are always alerted for the move of a stock above or below the zero line due to the fact that the reading is an indicator of the position of the short-term average relative to the long-term average. If the MACD is above the zero line, then the short-term average relative is above that of the long-term average, thus implying an upward momentum. Vice versa is the case if the MACD is below the zero line.
Analysts at B. Riley FBR raised their recommendation on shares of NMIH from Neutral to Buy in their opinion released on October 15. Credit Suisse, analysts launched coverage of NMI Holdings, Inc. (NASDAQ:NMIH) stock with a Neutral recommendation, according to their flash note issued to investors on October 10. Analysts at Compass Point are sticking to their Buy stance. However, on May 02, they lifted price target for these shares to $33 from $30.50.
NMIH equity has an average rating of 2, with the figure leaning towards a bullish end. 12 analysts who tracked the company were contacted by Reuters. Amongst them, 1 rated the stock as a hold while the remaining 11 were split even though not equally. Some analysts rate the stock as a buy or a strong buy while no rated it as a sell. 11 analysts rated NMI Holdings, Inc. (NASDAQ:NMIH) as a buy or a strong buy while not a single analyst advised that investors should desist from purchasing the stock or sell them if they already own the company’s stock.
Moving on, NMIH stock price is currently trading at 10.46X forward 12-month Consensus EPS estimates, and its P/E ratio is 14 while for the average stock in the same group, the multiple is 17.8. NMI Holdings, Inc. current P/B ratio of 2.5 means it is trading at a premium against its industry’s 1.5.
NMI Holdings, Inc. (NMIH)’s current-quarter revenues are projected to climb by nearly 39.3% to hit $96.45 million, based on current consensus estimate. The firm’s full-year revenues are expected to expand by over 38.2% from $251200 to a noteworthy $347230. At the other end of the current quarter income statement, NMI Holdings, Inc. is expected to see its adjusted earnings surge by roughly 50% to hit $0.69 per share. For the fiscal year, NMIH’s earnings are projected to climb by roughly 51.8% to hit $2.52 per share.