WallStSmart

Assured Guaranty Ltd (AGO)vsMGIC Investment Corp (MTG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

MGIC Investment Corp generates 46% more annual revenue ($1.21B vs $832.00M). MTG leads profitability with a 60.8% profit margin vs 60.5%. AGO appears more attractively valued with a PEG of 0.33. AGO earns a higher WallStSmart Score of 67/100 (B-).

AGO

Strong Buy

67

out of 100

Grade: B-

Growth: 4.0Profit: 6.5Value: 10.0Quality: 5.0

MTG

Buy

65

out of 100

Grade: C+

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

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AGOUndervalued (+82.0%)

Margin of Safety

+82.0%

Fair Value

$480.17

Current Price

$81.48

$398.69 discount

UndervaluedFair: $480.17Overvalued
MTGUndervalued (+33.2%)

Margin of Safety

+33.2%

Fair Value

$40.95

Current Price

$26.01

$14.94 discount

UndervaluedFair: $40.95Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AGO4 strengths · Avg: 10.0/10
PEG RatioValuation
0.3310/10

Growing faster than its price suggests

P/E RatioValuation
7.9x10/10

Attractively priced relative to earnings

Price/BookValuation
0.6x10/10

Reasonable price relative to book value

Profit MarginProfitability
60.5%10/10

Keeps 61 of every $100 in revenue as profit

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%

Areas to Watch

AGO1 concerns · Avg: 2.0/10
Revenue GrowthGrowth
-37.4%2/10

Revenue declined 37.4%

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%

Comparative Analysis Report

WallStSmart Research

Bull Case : AGO

The strongest argument for AGO centers on PEG Ratio, P/E Ratio, Price/Book. Profitability is solid with margins at 60.5% and operating margin at 12.1%. PEG of 0.33 suggests the stock is reasonably priced for its growth.

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.

Bear Case : AGO

The primary concerns for AGO are Revenue Growth.

Bear Case : MTG

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

Key Dynamics to Monitor

AGO carries more volatility with a beta of 0.93 — expect wider price swings.

MTG is growing revenue faster at -0.9% — sustainability is the question.

MTG generates stronger free cash flow (230M), providing more financial flexibility.

Monitor INSURANCE - SPECIALTY industry trends, competitive dynamics, and regulatory changes.

Bottom Line

AGO scores higher overall (67/100 vs 65/100), backed by strong 60.5% 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.

Assured Guaranty Ltd

FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA

Assured Guaranty Ltd., provides credit protection products to the public finance, infrastructure and structured finance markets in the United States and internationally. 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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