MTG Valuation

MGIC Investment Corp

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28.500

+0.5(1.786%)1D

Overview
Forecast
Valuation
Earnings

MTG Relative Valuation

MTG's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, MTG is overvalued; if below, it's undervalued.

Historical Valuation

MGIC Investment Corp (MTG) is now in the Fair zone, suggesting that its current forward PE ratio of 9.36 is considered Fairly compared with the five-year average of 7.52. The fair price of MGIC Investment Corp (MTG) is between 26.02 to 31.56 according to relative valuation methord.

Relative Value

Fair Zone

26.02-31.56

Current Price：28.00

Fair

9.36

Trailing

Forward

0.00

EV/EBITDA

MGIC Investment Corp. (MTG) has a current EV/EBITDA of 0.00. The 5-year average EV/EBITDA is 0.00. The thresholds are as follows: Strongly Undervalued below 0.00, Undervalued between 0.00 and 0.00, Fairly Valued between 0.00 and 0.00, Overvalued between 0.00 and 0.00, and Strongly Overvalued above 0.00. The current Forward EV/EBITDA of 0.00 falls within the Strongly Undervalued range.

0.00

EV/EBIT

MGIC Investment Corp. (MTG) has a current EV/EBIT of 0.00. The 5-year average EV/EBIT is 4.20. The thresholds are as follows: Strongly Undervalued below -2.05, Undervalued between -2.05 and 1.07, Fairly Valued between 7.32 and 1.07, Overvalued between 7.32 and 10.45, and Strongly Overvalued above 10.45. The current Forward EV/EBIT of 0.00 falls within the Undervalued range.

5.18

MGIC Investment Corp. (MTG) has a current PS of 5.18. The 5-year average PS is 4.13. The thresholds are as follows: Strongly Undervalued below 2.81, Undervalued between 2.81 and 3.47, Fairly Valued between 4.78 and 3.47, Overvalued between 4.78 and 5.44, and Strongly Overvalued above 5.44. The current Forward PS of 5.18 falls within the Overvalued range.

0.00

P/OCF

MGIC Investment Corp. (MTG) has a current P/OCF of 0.00. The 5-year average P/OCF is 0.00. The thresholds are as follows: Strongly Undervalued below 0.00, Undervalued between 0.00 and 0.00, Fairly Valued between 0.00 and 0.00, Overvalued between 0.00 and 0.00, and Strongly Overvalued above 0.00. The current Forward P/OCF of 0.00 falls within the Strongly Undervalued range.

0.00

P/FCF

MGIC Investment Corp. (MTG) has a current P/FCF of 0.00. The 5-year average P/FCF is 0.00. The thresholds are as follows: Strongly Undervalued below 0.00, Undervalued between 0.00 and 0.00, Fairly Valued between 0.00 and 0.00, Overvalued between 0.00 and 0.00, and Strongly Overvalued above 0.00. The current Forward P/FCF of 0.00 falls within the Strongly Undervalued range.

MGIC Investment Corp (MTG) has a current Price-to-Book (P/B) ratio of 1.27. Compared to its 3-year average P/B ratio of 1.07 , the current P/B ratio is approximately 18.81% higher. Relative to its 5-year average P/B ratio of 1.02, the current P/B ratio is about 24.23% higher. MGIC Investment Corp (MTG) has a Forward Free Cash Flow (FCF) yield of approximately 11.99%. Compared to its 3-year average FCF yield of 13.18%, the current FCF yield is approximately -8.99% lower. Relative to its 5-year average FCF yield of 14.27% , the current FCF yield is about -15.96% lower.

1.27

P/B

Median3y

1.07

Median5y

1.02

11.94

FCF Yield

Median3y

13.18

Median5y

14.27

Performance Decomposition

Market capitalization of MTG increased by 9.95% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 7.93 to 9.18.

The secondary factor is the Revenue Growth, contributed -0.34%to the performance.

Overall, the performance of MTG in the past 1 year is driven by P/E Change. Which is more unsustainable.

-0.34%

305.28M → 304.25M

Revenue Growth

-5.43%

66.90 → 63.27

Margin Expansion

15.72%

7.93 → 9.18

P/E Change

9.95%