NMI HoldingsNMIH +2.68%82 Interest Coverage is 18.58 as of Mar. 2026, which is 61% above its 10-year median of 11.53. GuruFocus rates NMIH with a GF Score™ of 82/100 and a GF Value™ of $39.78 (Fairly Valued). The stock has 3 warning signs investors should review. Among 353 Insurance companies, NMI Holdings ranks better than 51.84% on this metric.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's
EBIT
by its Interest Expense. NMI Holdings's
EBIT
for the
three
months ended in Mar. 2026 was $132.1 Mil. NMI Holdings's Interest Expense for the
three
months ended in Mar. 2026 was $-7.1 Mil.
NMI Holdings's interest coverage for the quarter that ended in Mar. 2026 was 18.58.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for NMI Holdings's Interest Coverage or its related term are showing as below:
NMIH'
s Interest Coverage Range Over the Past 10 Years
Min: 1.77 Med: 11.53 Max: 18.93
Current: 18.32
NMIH's Interest Coverage is ranked better than 51.84% of 353
companies
in the Insurance industry
Industry Median: 16.26
vs NMIH: 18.32
Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.
Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .
NMI Holdings Interest Coverage Related Terms
NMI Holdings Interest Coverage Historical Data
* Premium members only.
The historical data trend for NMI Holdings's Interest Coverage can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.
NMIH vs AGO, RDN, RYAN: Interest Coverage Comparison
For the Insurance - Specialty subindustry, NMI Holdings's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
NMI Holdings Interest Coverage vs Insurance Industry
For the Insurance industry and Financial Services sector, NMI Holdings's Interest Coverage distribution charts can be found below:
* The bar in red indicates where NMI Holdings's Interest Coverage falls into.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
NMI Holdings (NMIH) has a Interest Coverage of 18.58 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on NMI Holdings and its competitors. This is 61% above median its historical median of 11.53. Over the past decade, NMI Holdings' Interest Coverage has ranged from 1.77 to 18.93. According to the industry distribution chart, NMI Holdings ranks #170 out of 353 companies in the Insurance industry, placing it in the top 48.2%.
Is NMI Holdings' Interest Coverage too high?
NMI Holdings' current Interest Coverage of 18.58 is 61% above median its 10-year median of 11.53. Over the past 10 years, this metric has ranged from a low of 1.77 to a high of 18.93. The Insurance industry median Interest Coverage is 16.26. NMI Holdings' value of 18.58 is 14.3% above this industry median. Based on the distribution chart, NMI Holdings ranks #170 out of 353 companies in the Insurance industry, which is above the industry midpoint. Overall, NMI Holdings has a GF Score™ of 82/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does NMI Holdings' Interest Coverage compare to AGO and RDN?
According to the Insurance industry distribution chart, NMI Holdings ranks #170 out of 353 companies for Interest Coverage. This puts NMI Holdings in the upper half of its industry. The industry median Interest Coverage is 16.26. NMI Holdings' value of 18.58 is 14.3% above this benchmark. Historically, NMI Holdings' own Interest Coverage has ranged from 1.77 to 18.93 over the past decade. While the company's 10-year median is 11.53 vs. the industry median of 16.26, NMI Holdings has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for an Insurance company?
The median Interest Coverage among Insurance companies is 16.26, based on 353 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. NMI Holdings's current Interest Coverage of 18.58 is 14.3% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on NMI Holdings and its competitors. For the Insurance industry, the median Interest Coverage is 16.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. NMI Holdings's current Interest Coverage is 18.58, which is 61% above median its own 10-year median of 11.53. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is NMI Holdings stock overvalued right now?
Based on GuruFocus' analysis, NMI Holdings (NMIH) is currently considered Fairly Valued. The stock's GF Value™ is $39.78, compared to a current price of $40.62 — trading 2.1% above its estimated fair value. The current Interest Coverage is 18.58, which is 61% above median its 10-year median of 11.53 and 14.3% above the Insurance industry median of 16.26. NMI Holdings' overall GF Score™ is 82/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For NMI Holdings (NMIH), the current Interest Coverage is 18.58 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is NMI Holdings (NMIH) Overvalued in 2026?
Based on GuruFocus' analysis, NMI Holdings stock appears to be overvalued.
The current stock price of $40.62 is trading 2.1% above its estimated GF Value™ of $39.78.
GuruFocus considers NMI Holdings to be Fairly Valued.
Key valuation signals for NMIH:
Interest Coverage: 18.58 (61% above median its 10-year median of 11.53)
GF Value™: $39.78 vs. price of $40.62 (2.1% above fair value)
Industry Position: 14.3% above the Insurance median (#170 of 353)
No single metric tells the full story. See the NMIH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
NMI Holdings Inc through its subsidiaries provides private mortgage guaranty insurance. The company offers mortgage insurance, reinsurance on loans, and outsourced loan review services to mortgage loan originators. It serves national and regional mortgage banks, money center banks, credit unions, community banks, builder-owned mortgage lenders, Internet-sourced lenders, and other non-bank lenders. It protects lenders and investors from default-related losses on a portion of the unpaid principal balance of a covered mortgage.
82GF Score
Get the complete analysis for NMIH
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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