NYSE
MTG
Last Price
US $28.13
KEY FIGURES
MKT CAP
$5.9B
EPS
TTM
$3.32
PEG
TTM
N/M
P/E
TTM
8.84x
P/S
TTM
4.85x
YIELD
2.16%
GROWTH
Revenue Y/Y
0.24%
(FY vs FY)
EBITDA Y/Y
Cash Flow (DCF)
Fair Value
Market $28.13
82.72%
Default assumptions
EBITDA Multiple
Fair Value
Market $28.13
7.11%
Default assumptions
Valuation
Financial
Performance
Financial stability - Cash flow debt coverage.
MGIC Investment Corporation cash flow to debt ratio of 131.98% indicates that the company generates enough cash to cover a substantial portion of its debt. This level indicates very strong financial health.
Financial stability - Healthy cash flow growth.
MGIC Investment Corporation's free cash flow has increased 17.67% from $723.86M last year to $851.77M, signaling increasing performance
Financial stability - Healthy debt to equity ratio.
MGIC Investment Corporation's debt to equity ratio is 0.13, which means that the company's assets are healthy financed, signaling financial stability. READ MORE: A ratio under 0.60 means the company finances its assets with own equity, signaling financial stability and good management.
Financial risk - Healthy debt to equity ratio development.
MGIC Investment Corporation's debt has increased relative to shareholder equity from 0.12 last year to 0.13 today, signaling weakened financials
Financial stability - Net debt/EBITDA.
MGIC Investment Corporation has a net debt to EBITDA ratio of 0.29x, which is below the 3.00x threshold, indicating healthy leverage and financial stability
Financial stability - ICR.
MGIC Investment Corporation's interest coverage ratio of 26.33 indicates that earnings with good margin can cover interest payments on company debt
Financial risk - Profit margin growth.
MGIC Investment Corporation's profit margin has decreased (-5.62%) in the last year from 63.18% to 59.63%, signaling decreasing performance
Financial stability - Short term assets vs short term liabilities.
MGIC Investment Corporation's short-term assets of $0.00 exceed its short-term liabilities of $0.00
Increasing performance - ROA.
MGIC Investment Corporation's return on assets of 11.19% is higher than the 5.00% threshold, indicating efficient asset utilization
Decreasing performance - Absolute return on equity.
MGIC Investment Corporation's return on equity of 14.00%, is lower than 15.00%, indicating bad performance
Increasing performance - Earnings quality.
MGIC Investment Corporation's operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
MGIC Investment Corporation had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
MGIC Investment Corporation has positive free cash flow, indicating the company generates cash after capital expenditures
Increasing performance - FCF yield.
MGIC Investment Corporation has a free cash flow yield of 14.47%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Decreasing performance - Healthy earnings growth.
MGIC Investment Corporation's yearly earnings has decreased -3.23% since last year from $762.99M to $738.35M, signaling decreasing performance
Increasing performance - Healthy revenue growth.
MGIC Investment Corporation's yearly revenue has increased 0.49% since last year from $1.21G to $1.21G, signaling increasing performance
Increasing performance - ROIC.
ROIC 12.43% (Source: FMP key-metrics). At or above the 10% threshold. Score: 2 of 2. The company is generating returns above the upper end of the typical US weighted-average cost of capital range under this definition of invested capital.
Increasing performance - 3-year revenue CAGR.
MGIC Investment Corporation's 3-year revenue CAGR of 1.15% is positive, indicating growing revenue over the past 3 years
Decreasing performance - Revenue consistency.
MGIC Investment Corporation had revenue growth in only 2.00 out of 5 years, indicating inconsistent revenue performance
Increasing performance - ROE consistency.
MGIC Investment Corporation had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity
Undervalued - DCF valuation.
MGIC Investment Corporation is undervalued relative to its fair value price of 51.40 based on Discounted Cash Flow model
Undervalued - Earnings yield.
MGIC Investment Corporation has an earnings yield of 11.94%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings
Undervalued - EBITDA valuation.
MGIC Investment Corporation is undervalued relative to its fair value price of 30.13 based on EBITDA multiple model
Undervalued - EV/EBITDA.
MGIC Investment Corporation has an EV/EBITDA ratio of 6.71x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Overvalued - PEG ratio value.
MGIC Investment Corporation has a PEG-ratio over 1 which is considered overvalued
Undervalued - P/B ratio.
MGIC Investment Corporation has a price-to-book ratio of 1.19x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value
Undervalued - P/S ratio.
MGIC Investment Corporation has a price-to-sales ratio of 4.89x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue
Profit margin
Current Ratio
Capital Returns
14%
Return on equity
ROIC: 12.43%
Valuation History
8.8X
Price to Earnings
EV/EBITDA: 6.7X
Cash flow
Profit margin
7.49%
(FY vs FY)
Cash flow Y/Y
3.16%
(FY vs FY)
Base valuations use default assumptions. Customize in the Valuator.