Coming courtesy of

Steve Stemlach, an analyst at Friedman Billings Ramsey Group, cut his ratings on PMI Group, MGIC Investment and Radian Group to market perform from a previous outperform perform rating. He cited valuation concerns and “expectations for a longer-than-expected downturn in the credit cycle and a more severe level of losses owing to diminishing loss-mitigation opportunities.” Shares of the group fell 1% to 2%. “The recent spate of mortgage originators backing away from various affordability products will also put a negative bias on credit costs in the near term, although the longer-term implications are positive for the industry,” the analyst wrote.

Personally, I’m actually pretty bullish on mortgage insurers — so long as your horizon is out two to three years.

Most Popular Articles

Fannie Mae, Freddie Mac watchdog prepping for "massive IPO"

The watchdog for Fannie Mae and Freddie Mac is interviewing Wall Street firms to handle a public offering that would dwarf any IPO in history, Fox says.

Dec 09, 2019 By

Latest Articles

Capital City Bank acquiring majority interest in BrandMortgage

BrandMortgage, a mortgage lender that operates in the Southeast, will soon have a new majority owner and a new name after the company agreed to sell majority interest to Capital City Bank.

Dec 12, 2019 By
3d rendering of a row of luxury townhouses along a street

Log In

Forgot Password?

Don't have an account? Please