NMI Holdings Inc (NMIH)vsRoyal Bank of Canada (RY)
NMIH
NMI Holdings Inc
$43.89
-0.68%
FINANCIAL SERVICES · Cap: $3.34B
RY
Royal Bank of Canada
$205.90
-0.04%
FINANCIAL SERVICES · Cap: $291.55B
Smart Verdict
WallStSmart Research — data-driven comparison
Royal Bank of Canada generates 9089% more annual revenue ($67.15B vs $730.78M). NMIH leads profitability with a 54.1% profit margin vs 33.9%. NMIH appears more attractively valued with a PEG of 1.66. NMIH earns a higher WallStSmart Score of 71/100 (B).
NMIH
Strong Buy71
out of 100
Grade: B
RY
Buy63
out of 100
Grade: C+
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 54 of every $100 in revenue as profit
Strong operational efficiency at 76.7%
Conservative balance sheet, low leverage
Mega-cap, among the largest globally
Keeps 34 of every $100 in revenue as profit
Strong operational efficiency at 46.4%
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
Weak financial health signals
Expensive relative to growth rate
Negative free cash flow — burning cash
Distress zone — elevated risk
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : NMIH
The strongest argument for NMIH centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 54.1% and operating margin at 76.7%.
Bull Case : RY
The strongest argument for RY centers on Market Cap, Profit Margin, Operating Margin. Profitability is solid with margins at 33.9% and operating margin at 46.4%.
Bear Case : NMIH
The primary concerns for NMIH are PEG Ratio, Piotroski F-Score.
Bear Case : RY
The primary concerns for RY are PEG Ratio, Free Cash Flow, Altman Z-Score. Debt-to-equity of 2.88 is elevated, increasing financial risk.
Key Dynamics to Monitor
RY carries more volatility with a beta of 0.92 — expect wider price swings.
RY is growing revenue faster at 8.9% — sustainability is the question.
NMIH generates stronger free cash flow (140M), providing more financial flexibility.
Monitor INSURANCE - SPECIALTY industry trends, competitive dynamics, and regulatory changes.
Bottom Line
NMIH scores higher overall (71/100 vs 63/100), backed by strong 54.1% margins. 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.
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.
Royal Bank of Canada
FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA
Royal Bank of Canada is a globally diversified financial services company. The company is headquartered in Toronto, Canada.
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