WallStSmart

Essent Group Ltd (ESNT)vsMGIC Investment Corp (MTG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Essent Group Ltd generates 6% more annual revenue ($1.28B vs $1.20B). MTG leads profitability with a 59.6% profit margin vs 53.6%. MTG appears more attractively valued with a PEG of 0.40. ESNT earns a higher WallStSmart Score of 73/100 (B).

ESNT

Strong Buy

73

out of 100

Grade: B

Growth: 6.0Profit: 8.0Value: 7.7Quality: 8.5
Piotroski: 2/9Altman Z: 4.50

MTG

Buy

65

out of 100

Grade: C+

Growth: 3.3Profit: 8.5Value: 8.3Quality: 7.3
Piotroski: 2/9

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ESNT6 strengths · Avg: 10.0/10
P/E RatioValuation
8.3x10/10

Attractively priced relative to earnings

Price/BookValuation
0.9x10/10

Reasonable price relative to book value

Profit MarginProfitability
53.6%10/10

Keeps 54 of every $100 in revenue as profit

Operating MarginProfitability
63.7%10/10

Strong operational efficiency at 63.7%

Debt/EquityHealth
0.0910/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.5010/10

Safe zone — low bankruptcy risk

MTG6 strengths · Avg: 9.8/10
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
59.6%10/10

Keeps 60 of every $100 in revenue as profit

Operating MarginProfitability
72.6%10/10

Strong operational efficiency at 72.6%

Debt/EquityHealth
0.139/10

Conservative balance sheet, low leverage

Areas to Watch

ESNT1 concerns · Avg: 3.0/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

MTG3 concerns · Avg: 3.0/10
EPS GrowthGrowth
1.3%4/10

1.3% earnings growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Revenue GrowthGrowth
-3.0%2/10

Revenue declined 3.0%

Comparative Analysis Report

WallStSmart Research

Bull Case : ESNT

The strongest argument for ESNT centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 53.6% and operating margin at 63.7%. PEG of 0.84 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 59.6% and operating margin at 72.6%. PEG of 0.40 suggests the stock is reasonably priced for its growth.

Bear Case : ESNT

The primary concerns for ESNT are Piotroski F-Score.

Bear Case : MTG

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

Key Dynamics to Monitor

ESNT profiles as a mature stock while MTG is a declining play — different risk/reward profiles.

ESNT carries more volatility with a beta of 0.78 — expect wider price swings.

ESNT is growing revenue faster at 5.8% — sustainability is the question.

ESNT generates stronger free cash flow (191M), providing more financial flexibility.

Bottom Line

ESNT scores higher overall (73/100 vs 65/100), backed by strong 53.6% 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.

Essent Group Ltd

FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA

Essent Group Ltd., provides private mortgage insurance and reinsurance for mortgages secured by residential properties located in the United States. 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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