WallStSmart

Essent Group Ltd (ESNT)vsMGIC Investment Corp (MTG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Essent Group Ltd generates 11% more annual revenue ($1.32B vs $1.20B). MTG leads profitability with a 59.2% profit margin vs 51.4%. MTG appears more attractively valued with a PEG of 0.40. ESNT earns a higher WallStSmart Score of 73/100 (B).

ESNT

Strong Buy

73

out of 100

Grade: B

Growth: 6.0Profit: 8.0Value: 7.7Quality: 6.5
Piotroski: 2/9Altman Z: 4.50

MTG

Strong Buy

67

out of 100

Grade: B-

Growth: 4.0Profit: 8.5Value: 8.3Quality: 7.3
Piotroski: 2/9

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ESNT6 strengths · Avg: 10.0/10
P/E RatioValuation
9.6x10/10

Attractively priced relative to earnings

Price/BookValuation
1.1x10/10

Reasonable price relative to book value

Profit MarginProfitability
51.4%10/10

Keeps 51 of every $100 in revenue as profit

Operating MarginProfitability
65.7%10/10

Strong operational efficiency at 65.7%

Debt/EquityHealth
0.0910/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.5010/10

Safe zone — low bankruptcy risk

MTG6 strengths · Avg: 9.8/10
PEG RatioValuation
0.4010/10

Growing faster than its price suggests

P/E RatioValuation
9.6x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Profit MarginProfitability
59.2%10/10

Keeps 59 of every $100 in revenue as profit

Operating MarginProfitability
80.8%10/10

Strong operational efficiency at 80.8%

Debt/EquityHealth
0.139/10

Conservative balance sheet, low leverage

Areas to Watch

ESNT1 concerns · Avg: 3.0/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

MTG2 concerns · Avg: 2.5/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Revenue GrowthGrowth
-2.9%2/10

Revenue declined 2.9%

Comparative Analysis Report

WallStSmart Research

Bull Case : ESNT

The strongest argument for ESNT centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 51.4% and operating margin at 65.7%. Revenue growth of 13.6% demonstrates continued momentum.

Bull Case : MTG

The strongest argument for MTG centers on PEG Ratio, P/E Ratio, Price/Book. Profitability is solid with margins at 59.2% and operating margin at 80.8%. PEG of 0.40 suggests the stock is reasonably priced for its growth.

Bear Case : ESNT

The primary concerns for ESNT are Piotroski F-Score.

Bear Case : MTG

The primary concerns for MTG are Piotroski F-Score, Revenue Growth.

Key Dynamics to Monitor

ESNT profiles as a mature stock while MTG is a declining play — different risk/reward profiles.

ESNT carries more volatility with a beta of 0.76 — expect wider price swings.

ESNT is growing revenue faster at 13.6% — sustainability is the question.

ESNT generates stronger free cash flow (196M), providing more financial flexibility.

Bottom Line

ESNT scores higher overall (73/100 vs 67/100), backed by strong 51.4% margins and 13.6% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Essent Group Ltd

FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA

Essent Group Ltd., provides private mortgage insurance and reinsurance for mortgages secured by residential properties located in the United States. The company is headquartered in Hamilton, Bermuda.

MGIC Investment Corp

FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA

MGIC Investment Corporation offers private mortgage insurance, other mortgage credit risk management solutions, and ancillary services to lenders and government-sponsored entities in the United States, Puerto Rico, and Guam. The company is headquartered in Milwaukee, Wisconsin.

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