WallStSmart

First American Corporation (FAF)vsNMI Holdings Inc (NMIH)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

First American Corporation generates 976% more annual revenue ($7.71B vs $716.67M). NMIH leads profitability with a 53.8% profit margin vs 8.7%. NMIH appears more attractively valued with a PEG of 1.66. NMIH earns a higher WallStSmart Score of 69/100 (B-).

FAF

Strong Buy

68

out of 100

Grade: B-

Growth: 6.7Profit: 6.0Value: 5.7Quality: 6.0
Piotroski: 5/9

NMIH

Strong Buy

69

out of 100

Grade: B-

Growth: 6.0Profit: 9.0Value: 6.3Quality: 5.3
Piotroski: 2/9

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FAF4 strengths · Avg: 9.5/10
P/E RatioValuation
10.1x10/10

Attractively priced relative to earnings

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

EPS GrowthGrowth
70.4%10/10

Earnings expanding 70.4% YoY

Revenue GrowthGrowth
16.2%8/10

16.2% revenue growth

NMIH5 strengths · Avg: 10.0/10
P/E RatioValuation
7.5x10/10

Attractively priced relative to earnings

Price/BookValuation
1.1x10/10

Reasonable price relative to book value

Profit MarginProfitability
53.8%10/10

Keeps 54 of every $100 in revenue as profit

Operating MarginProfitability
72.0%10/10

Strong operational efficiency at 72.0%

Debt/EquityHealth
0.0010/10

Conservative balance sheet, low leverage

Areas to Watch

FAF2 concerns · Avg: 2.0/10
PEG RatioValuation
2.982/10

Expensive relative to growth rate

Free Cash FlowQuality
$-32.70M2/10

Negative free cash flow — burning cash

NMIH3 concerns · Avg: 3.7/10
PEG RatioValuation
1.664/10

Expensive relative to growth rate

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : FAF

The strongest argument for FAF centers on P/E Ratio, Price/Book, EPS Growth. Revenue growth of 16.2% demonstrates continued momentum.

Bull Case : NMIH

The strongest argument for NMIH centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 53.8% and operating margin at 72.0%.

Bear Case : FAF

The primary concerns for FAF are PEG Ratio, Free Cash Flow.

Bear Case : NMIH

The primary concerns for NMIH are PEG Ratio, EPS Growth, Piotroski F-Score.

Key Dynamics to Monitor

FAF profiles as a growth stock while NMIH is a mature play — different risk/reward profiles.

FAF carries more volatility with a beta of 1.26 — expect wider price swings.

FAF is growing revenue faster at 16.2% — sustainability is the question.

NMIH generates stronger free cash flow (115M), providing more financial flexibility.

Bottom Line

NMIH scores higher overall (69/100 vs 68/100), backed by strong 53.8% margins. 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.

First American Corporation

FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA

First American Financial Corporation, provides financial services. The company is headquartered in Santa Ana, California.

NMI Holdings Inc

FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA

NMI Holdings, Inc. provides private home equity insurance services in the United States. The company is headquartered in Emeryville, California.

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