Employers Holdings Inc (EIG)vsMGIC Investment Corp (MTG)
EIG
Employers Holdings Inc
$40.06
-0.15%
FINANCIAL SERVICES · Cap: $761.55M
MTG
MGIC Investment Corp
$26.01
+0.50%
FINANCIAL SERVICES · Cap: $5.61B
Smart Verdict
WallStSmart Research — data-driven comparison
MGIC Investment Corp generates 41% more annual revenue ($1.21B vs $858.70M). MTG leads profitability with a 60.8% profit margin vs 1.3%. MTG appears more attractively valued with a PEG of 0.40. MTG earns a higher WallStSmart Score of 65/100 (C+).
EIG
Hold47
out of 100
Grade: D+
MTG
Buy65
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-1274.1%
Fair Value
$3.13
Current Price
$40.06
$36.93 premium
Margin of Safety
+33.2%
Fair Value
$40.95
Current Price
$26.01
$14.94 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Conservative balance sheet, low leverage
Growing faster than its price suggests
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 61 of every $100 in revenue as profit
Strong operational efficiency at 74.2%
Areas to Watch
Smaller company, higher risk/reward
ROE of 1.1% — below average capital efficiency
1.3% margin — thin
Premium valuation, high expectations priced in
3.9% earnings growth
Weak financial health signals
Revenue declined 0.9%
Comparative Analysis Report
WallStSmart ResearchBull Case : EIG
The strongest argument for EIG centers on Price/Book, Debt/Equity. PEG of 1.32 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 : EIG
The primary concerns for EIG are Market Cap, Return on Equity, Profit Margin. A P/E of 85.0x leaves little room for execution misses. Thin 1.3% margins leave little buffer for downturns.
Bear Case : MTG
The primary concerns for MTG are EPS Growth, Piotroski F-Score, Revenue Growth.
Key Dynamics to Monitor
EIG profiles as a value stock while MTG is a declining play — different risk/reward profiles.
MTG carries more volatility with a beta of 0.80 — 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.
Bottom Line
MTG scores higher overall (65/100 vs 47/100), backed by strong 60.8% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Employers Holdings Inc
FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA
Employers Holdings, Inc. operates in the commercial property and casualty insurance industry primarily in the United States. The company is headquartered in Reno, Nevada.
Visit Website →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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