WallStSmart

MGIC Investment Corp (MTG)vsRadian Group Inc (RDN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

MGIC Investment Corp generates 1% more annual revenue ($1.21B vs $1.20B). MTG leads profitability with a 60.8% profit margin vs 48.7%. MTG appears more attractively valued with a PEG of 0.40. RDN earns a higher WallStSmart Score of 76/100 (B+).

MTG

Buy

65

out of 100

Grade: C+

Growth: 5.3Profit: 8.5Value: 10.0Quality: 4.8
Piotroski: 2/9

RDN

Strong Buy

76

out of 100

Grade: B+

Growth: 4.7Profit: 8.0Value: 10.0Quality: 4.8
Piotroski: 3/9Altman Z: 2.82
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MTGUndervalued (+33.2%)

Margin of Safety

+33.2%

Fair Value

$40.95

Current Price

$26.01

$14.94 discount

UndervaluedFair: $40.95Overvalued
RDNUndervalued (+74.3%)

Margin of Safety

+74.3%

Fair Value

$133.10

Current Price

$32.97

$100.13 discount

UndervaluedFair: $133.10Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MTG5 strengths · Avg: 10.0/10
PEG RatioValuation
0.4010/10

Growing faster than its price suggests

P/E RatioValuation
8.2x10/10

Attractively priced relative to earnings

Price/BookValuation
1.1x10/10

Reasonable price relative to book value

Profit MarginProfitability
60.8%10/10

Keeps 61 of every $100 in revenue as profit

Operating MarginProfitability
74.2%10/10

Strong operational efficiency at 74.2%

RDN5 strengths · Avg: 9.6/10
P/E RatioValuation
7.5x10/10

Attractively priced relative to earnings

Price/BookValuation
0.9x10/10

Reasonable price relative to book value

Profit MarginProfitability
48.7%10/10

Keeps 49 of every $100 in revenue as profit

Operating MarginProfitability
76.7%10/10

Strong operational efficiency at 76.7%

PEG RatioValuation
0.768/10

Growing faster than its price suggests

Areas to Watch

MTG3 concerns · Avg: 3.0/10
EPS GrowthGrowth
3.9%4/10

3.9% earnings growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Revenue GrowthGrowth
-0.9%2/10

Revenue declined 0.9%

RDN2 concerns · Avg: 3.5/10
Revenue GrowthGrowth
2.7%4/10

2.7% revenue growth

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : MTG

The strongest argument for MTG centers on PEG Ratio, P/E Ratio, Price/Book. Profitability is solid with margins at 60.8% and operating margin at 74.2%. PEG of 0.40 suggests the stock is reasonably priced for its growth.

Bull Case : RDN

The strongest argument for RDN centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 48.7% and operating margin at 76.7%. PEG of 0.76 suggests the stock is reasonably priced for its growth.

Bear Case : MTG

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

Bear Case : RDN

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

Key Dynamics to Monitor

MTG profiles as a declining stock while RDN is a value play — different risk/reward profiles.

MTG carries more volatility with a beta of 0.80 — expect wider price swings.

RDN is growing revenue faster at 2.7% — sustainability is the question.

RDN generates stronger free cash flow (406M), providing more financial flexibility.

Bottom Line

RDN scores higher overall (76/100 vs 65/100), backed by strong 48.7% margins. MTG offers better value entry with a 33.2% margin of safety. Both earn "Strong Buy" and "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.

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.

Radian Group Inc

FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA

Radian Group Inc. is engaged in the mortgage and real estate services business in the United States. The company is headquartered in Philadelphia, Pennsylvania.

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