Can NMIH's Q4 2024 EPS performance indicate future stability?

**NMI Holdings' (NMIH) Q4 2024 EPS performance suggests a positive outlook for future stability.** Here's an analysis to support this conclusion: 1. **Consistent Growth**: NMIH has demonstrated consistent growth in its net premiums earned and net investment income. The company reported $46.0 billion in new insurance written (NIW) for 2024, an increase from $40.5 billion in 2023. This indicates a strong market presence and the ability to generate revenue. 2. **Increased Investment Income**: The company's net investment income rose to $85.3 million in 2024 from $67.5 million in 2023. This increase reflects a more robust investment portfolio and the potential for higher returns on investments. 3. **Stable Claims and Expenses**: Although insurance claims and claim expenses increased to $31.5 million in 2024 from $22.6 million in 2023, the company's ability to manage these expenses suggests a stable claim environment. The increase was attributed to a rise in the number of newly defaulted loans and changes in reserve estimates, which are factors that can be managed with proper underwriting and risk assessment. 4. **Positive Market Outlook**: Analysts have a positive outlook on NMIH, with a "Hold" consensus rating and expectations of the company performing in line with market averages over the next 12 months. This suggests that the company's performance is expected to remain stable and consistent with industry norms. 5. **Financial Strength**: NMIH's focus on financial strength and profitability is a positive indicator for future stability. The company's ability to maintain a strong market position and generate profits is a sign of sound financial management. In conclusion, NMIH's Q4 2024 EPS performance, coupled with the company's consistent growth, increased investment income, stable claims and expenses, positive market outlook, and strong financial focus, indicate a strong likelihood of future stability. Investors can expect the company to continue performing well in the near term, supported by its solid financial foundation and growth prospects.