Revenue growth has decelerated to a 3.0% contraction while the combined ratio has trended upward to 27.8% in 2026Q1, indicating a shift toward historical margin normalization.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Revenue | 1.2B | 1.21B | 1.21B | 1.16B | 1.17B | 1.19B | 1.2B | 1.21B | 1.12B | 1.07B | 1.06B | 1.04B | 942.63M | 1.04B | 1.38B | 1.5B | 1.52B | 1.71B | 1.72B | 1.69B | 1.47B | 1.53B | 1.61B | 1.69B | 1.48B | 1.31B | 1.09B | 996.75M | 971.67M | 868.3M | 745.6M |
| Revenue Growth % | -1.24% | 0.49% | 4.56% | -1.51% | -1.09% | -1.12% | -1.22% | 8.02% | 5.42% | 0.34% | 2.04% | 10.47% | -9.31% | -24.59% | -8.37% | -1.07% | -11% | -0.76% | 1.67% | 15.25% | -3.76% | -5.34% | -4.31% | 13.53% | 12.94% | 20.76% | 9.2% | 2.58% | 11.9% | 16.46% | 20.67% |
| Medical Costs & Claims | 77.35M | 61.91M | -5.9M | -10.04M | -242.2M | 77.18M | 377.15M | 130.58M | 48.49M | 64.82M | 249.8M | 328.58M | 478.99M | 824.05M | 2.01B | 1.68B | 1.56B | 3.41B | 3.83B | 3.89B | 904.49M | 828.95M | 979.78M | 1.07B | 631.38M | 395.31M | 292.78M | 295.34M | 401.38M | 399.56M | 380.83M |
| Medical Cost Ratio % | 6.42% | 5.1% | -0.49% | -0.87% | -20.65% | 6.51% | 31.45% | 10.76% | 4.31% | 6.08% | 23.51% | 31.56% | 50.81% | 79.28% | 146.09% | 111.51% | 102.81% | 199.34% | 222.46% | 229.5% | 61.56% | 54.3% | 60.75% | 63.4% | 42.53% | 30.07% | 26.9% | 29.63% | 41.31% | 46.02% | 51.08% |
| Gross Profit | 1.13B | 1.15B | 1.21B | 1.17B | 1.41B | 1.11B | 821.99M | 1.08B | 1.08B | 1B | 812.68M | 712.7M | 463.65M | 215.39M | -635.3M | -173.16M | -42.73M | -1.7B | -2.11B | -2.19B | 564.68M | 697.58M | 632.91M | 616.91M | 853.18M | 919.15M | 795.7M | 701.41M | 570.28M | 468.74M | 364.77M |
| Gross Margin % | 93.58% | 94.9% | 100.49% | 100.87% | 120.65% | 93.49% | 68.55% | 89.24% | 95.69% | 93.92% | 76.49% | 68.44% | 49.19% | 20.72% | -46.09% | -11.51% | -2.81% | -99.34% | -122.46% | -129.5% | 38.44% | 45.7% | 39.25% | 36.6% | 57.47% | 69.93% | 73.1% | 70.37% | 58.69% | 53.98% | 48.92% |
| Gross Profit Growth % | - | -5.1% | 4.16% | -17.66% | 27.65% | 34.85% | -24.13% | 0.75% | 7.4% | 23.2% | 14.03% | 53.72% | 115.26% | 133.9% | -266.89% | -305.23% | 97.48% | 19.49% | 3.85% | -488.31% | -19.05% | 10.22% | 2.59% | -27.69% | -7.18% | 15.51% | 13.44% | 22.99% | 21.66% | 28.51% | -40.97% |
| Operating Expenses | 218.77M | 223.24M | 244.93M | 262.91M | 324.95M | 306.72M | 262.73M | 235.42M | 231.2M | 216.74M | 297.97M | 225.02M | 208.93M | 261.54M | 293.34M | 311.14M | 316.67M | 67.73M | -1.16B | 41.99M | 39.35M | 41.09M | 41.13M | 41.11M | 36.78M | 30.62M | 28.76M | 20.4M | 15.7M | -393.16M | -377.03M |
| OpEx / Revenue % | 18.16% | 18.39% | 20.28% | 22.76% | 27.71% | 25.87% | 21.91% | 19.39% | 20.57% | 20.33% | 28.04% | 21.61% | 22.16% | 25.16% | 21.28% | 20.68% | 20.83% | 3.96% | -67.42% | 2.48% | 2.68% | 2.69% | 2.55% | 2.44% | 2.48% | 2.33% | 2.64% | 2.05% | 1.62% | -45.28% | -50.57% |
| Depreciation & Amortization | 4.25M | 6.95M | 18.44M | 35.23M | 54.25M | 66.01M | 57.81M | 48.78M | 58.22M | 64.43M | 61.34M | 52.56M | 48.86M | 69.2M | 100.14M | 84.83M | 60.88M | 60.35M | 33.69M | 25.18M | 22.32M | 39.32M | 47.65M | 50.68M | 38.15M | 30.51M | 6.86M | 11.75M | 7.74M | 29.6M | 35.7M |
| Combined Ratio % | 24.58% | 23.49% | 19.79% | 21.89% | 7.06% | 32.38% | 53.36% | 30.15% | 24.89% | 26.41% | 51.56% | 53.17% | 72.98% | 104.44% | 167.37% | 132.19% | 123.64% | 203.31% | 155.05% | 231.98% | 64.24% | 56.99% | 63.31% | 65.84% | 45.01% | 32.4% | 29.54% | 31.68% | 42.92% | 0.74% | 0.51% |
| Operating Income | 908.36M | 928.54M | 968.71M | 902.23M | 1.09B | 801.78M | 559.26M | 847.98M | 844.15M | 784.5M | 514.71M | 487.69M | 254.72M | -46.15M | -928.64M | -484.3M | -359.4M | -1.77B | -947.64M | -2.23B | 525.33M | 656.49M | 591.78M | 575.8M | 816.4M | 888.53M | 766.94M | 681.01M | 554.59M | 861.9M | 741.8M |
| Operating Margin % | 75.42% | 76.51% | 80.21% | 78.11% | 92.94% | 67.62% | 46.64% | 69.85% | 75.11% | 73.59% | 48.44% | 46.83% | 27.02% | -4.44% | -67.37% | -32.19% | -23.64% | -103.31% | -55.05% | -131.98% | 35.76% | 43.01% | 36.69% | 34.16% | 54.99% | 67.6% | 70.46% | 68.32% | 57.08% | 99.26% | 99.49% |
| Operating Income Growth % | - | -4.15% | 7.37% | -17.23% | 35.95% | 43.36% | -34.05% | 0.45% | 7.6% | 52.41% | 5.54% | 91.46% | 651.92% | 95.03% | -91.75% | -34.75% | 79.64% | -86.26% | 57.59% | -525.38% | -19.98% | 10.94% | 2.78% | -29.47% | -8.12% | 15.85% | 12.62% | 22.8% | -35.66% | 16.19% | 20.79% |
| EBITDA | 912.61M | 935.49M | 987.14M | 937.46M | 1.14B | 867.79M | 617.08M | 896.76M | 902.37M | 848.93M | 576.06M | 540.25M | 303.58M | 23.05M | -828.51M | -399.47M | -298.52M | -1.7B | -913.95M | -2.21B | 547.64M | 695.81M | 639.43M | 626.48M | 854.56M | 919.04M | 773.8M | 692.76M | 562.33M | 891.5M | 777.5M |
| EBITDA Margin % | 75.77% | 77.08% | 81.74% | 81.16% | 97.57% | 73.19% | 51.46% | 73.87% | 80.29% | 79.63% | 54.22% | 51.88% | 32.21% | 2.22% | -60.11% | -26.56% | -19.63% | -99.78% | -53.09% | -130.49% | 37.28% | 45.58% | 39.65% | 37.17% | 57.56% | 69.92% | 71.09% | 69.5% | 57.87% | 102.67% | 104.28% |
| Interest Expense | 34.5M | 34.5M | 35.6M | 36.91M | 48.05M | 71.36M | 59.59M | 52.66M | 52.99M | 57.03M | 56.67M | 68.93M | 69.65M | 79.66M | 99.34M | 103.27M | 98.59M | 89.27M | 81.07M | 41.99M | 39.35M | 41.09M | 41.13M | 41.11M | 36.78M | 30.62M | 28.76M | 20.4M | 18.62M | 6.4M | 3.8M |
| Non-Operating Income | -26.7M | -35.6M | -35.6M | -36.91M | -48.05M | -71.36M | -59.59M | -52.66M | -52.99M | -57.03M | -56.67M | -68.93M | -69.65M | -79.66M | -99.34M | -103.27M | -98.59M | -89.27M | -81.07M | -41.99M | -39.35M | -41.09M | -41.13M | -41.11M | -36.78M | -30.62M | -28.76M | -20.4M | -18.62M | 855.5M | 738M |
| Pretax Income | 900.68M | 928.54M | 968.71M | 902.23M | 1.09B | 801.78M | 559.26M | 847.98M | 844.15M | 784.5M | 514.71M | 487.69M | 254.72M | -46.15M | -928.64M | -484.3M | -359.4M | -1.77B | -947.64M | -2.23B | 525.33M | 656.49M | 591.78M | 575.8M | 816.4M | 888.53M | 766.94M | 681.01M | 554.59M | 465.4M | 365M |
| Pretax Margin % | 74.78% | 76.51% | 80.21% | 78.11% | 92.94% | 67.62% | 46.64% | 69.85% | 75.11% | 73.59% | 48.44% | 46.83% | 27.02% | -4.44% | -67.37% | -32.19% | -23.64% | -103.31% | -55.05% | -131.98% | 35.76% | 43.01% | 36.69% | 34.16% | 54.99% | 67.6% | 70.46% | 68.32% | 57.08% | 53.6% | 48.95% |
| Income Tax | 182.49M | 190.19M | 205.72M | 189.28M | 224.69M | 166.79M | 113.17M | 174.21M | 174.05M | 428.74M | 172.2M | -684.31M | 2.77M | 3.7M | -1.56M | 1.59M | 4.33M | -442.78M | -397.8M | -833.98M | -130.1M | 176.93M | 159.35M | 146.03M | 240.97M | -277.59M | -239.15M | 210.81M | 169.12M | 141.6M | 107M |
| Effective Tax Rate % | 20.26% | 20.48% | 21.24% | 20.98% | 20.61% | 20.8% | 20.24% | 20.54% | 20.62% | 54.65% | 33.45% | -140.32% | 1.09% | -8.01% | 0.17% | -0.33% | -1.21% | 25.09% | 41.98% | 37.32% | -24.76% | 26.95% | 26.93% | 25.36% | 29.52% | -31.24% | -31.18% | 30.96% | 30.49% | 30.43% | 29.32% |
| Net Income | 718.19M | 738.35M | 762.99M | 712.95M | 865.35M | 634.98M | 446.09M | 673.76M | 670.1M | 355.76M | 342.52M | 1.17B | 251.95M | -49.85M | -927.08M | -485.89M | -363.74M | -1.32B | -525.36M | -1.67B | 564.74M | 626.87M | 553.19M | 493.88M | 629.19M | 639.14M | 542M | 470.2M | 385.46M | 323.8M | 258M |
| Net Margin % | 59.63% | 60.84% | 63.18% | 61.72% | 73.79% | 53.55% | 37.2% | 55.5% | 59.63% | 33.37% | 32.24% | 112.55% | 26.73% | -4.8% | -67.26% | -32.3% | -23.92% | -77.39% | -30.52% | -98.63% | 38.44% | 41.07% | 34.3% | 29.3% | 42.38% | 48.62% | 49.79% | 47.17% | 39.67% | 37.29% | 34.6% |
| Net Income Growth % | -7.25% | -3.23% | 7.02% | -17.61% | 36.28% | 42.34% | -33.79% | 0.55% | 88.36% | 3.87% | -70.78% | 365.17% | 605.43% | 94.62% | -90.8% | -33.58% | 72.49% | -151.69% | 68.54% | -395.71% | -9.91% | 13.32% | 12.01% | -21.51% | -1.56% | 17.92% | 15.27% | 21.98% | 19.04% | 25.5% | 24.28% |
| EPS (Diluted) | 3.29 | 3.14 | 2.89 | 2.49 | 2.79 | 1.85 | 1.29 | 1.85 | 1.74 | 0.95 | 0.86 | 2.60 | 0.64 | -0.15 | -4.59 | -2.42 | -1.81 | -10.65 | -4.55 | -20.54 | 6.65 | 6.78 | 5.63 | 4.99 | 6.04 | 5.93 | 5.05 | 4.30 | 3.39 | 2.75 | 2.17 |
| EPS Growth % | 4.65% | 8.65% | 16.06% | -10.75% | 50.81% | 43.41% | -30.27% | 6.32% | 83.16% | 10.47% | -66.92% | 306.25% | 526.67% | 96.73% | -89.67% | -33.7% | 83% | -134.07% | 77.85% | -408.87% | -1.92% | 20.43% | 12.83% | -17.38% | 1.85% | 17.43% | 17.44% | 26.84% | 23.27% | 26.73% | 24% |
| EPS (Basic) | - | 3.17 | 2.92 | 2.52 | 2.83 | 1.90 | 1.31 | 1.91 | 1.78 | 0.98 | 1.00 | 3.45 | 0.74 | -0.15 | -4.59 | -2.42 | -1.81 | -10.65 | -4.69 | -20.54 | 6.70 | 6.83 | 5.67 | 5.00 | 6.07 | 6.02 | 5.05 | 4.35 | 3.44 | 2.78 | 2.17 |
| Diluted Shares Outstanding | 218.19M | 225.73M | 264M | 287.15M | 311.23M | 351.31M | 359.29M | 373.92M | 386.08M | 394.77M | 431.99M | 468.06M | 413.55M | 337.76M | 202.03M | 201.17M | 200.45M | 124.21M | 113.96M | 81.29M | 84.95M | 92.46M | 98.25M | 99.02M | 104.21M | 107.8M | 107.33M | 109.35M | 113.71M | 117.75M | 118.89M |
Unemployment-driven credit deterioration
As reported in recent financial filings, MGIC's revenue growth has decelerated to a -3.0% contraction in 2026Q1, reflecting the persistent impact of elevated interest rates on new mortgage origination volumes and the resulting pressure on the company's primary mortgage insurance premium generation engine.
The decline in top-line growth suggests that the company is struggling to offset the lack of new insurance written with its existing portfolio. While high persistency rates have historically provided a floor for revenue, the current trajectory indicates that the lack of new housing market activity is beginning to outweigh the benefits of legacy policy retention.
Based on the provided quarterly data, the combined ratio has trended upward from a low of 14.9% in 2024Q2 to 27.8% in 2026Q1, signaling that the exceptionally favorable underwriting environment of the previous two years is beginning to normalize toward more historical levels.
The shift in the loss ratio from negative territory to 11.6% suggests that the company is no longer benefiting from the same magnitude of reserve releases that previously bolstered operating margins. Investors should monitor whether this trend represents a permanent return to higher loss expectations or merely a temporary fluctuation in credit performance.
According to the income statement data, MGIC utilized significant negative loss provisions in 2024 and early 2025, which artificially suppressed the loss ratio and inflated net income, though these releases have largely dissipated as of the most recent 2026Q1 reporting period.
The transition from negative loss ratios to a positive 11.6% in 2026Q1 implies that the company's ability to rely on prior-year reserve releases to drive earnings growth is likely exhausted. This shift warrants further investigation into whether current loss provisions are sufficient to cover potential credit stress in the existing portfolio.
As evidenced by the company's consistent operating income levels, MGIC maintains a highly efficient cost structure that allows it to sustain strong profitability despite revenue stagnation, supporting a capital allocation strategy that prioritizes share repurchases over aggressive expansion in a challenging housing market.
The company's ability to maintain operating income above $200 million per quarter, even as revenue fluctuates, suggests a disciplined approach to managing fixed costs and regulatory compliance expenses. This operational leverage appears to be a key component of the company's ability to return capital to shareholders while maintaining a robust PMIERs-compliant balance sheet.
Quick answers to the most common questions about buying MTG stock.
For fiscal year 2025, MGIC Investment Corporation (MTG) reported total revenue of $1.21B. This represents a 62.8% increase compared to $745.6M in 1996.
MGIC Investment Corporation (MTG) is profitable, generating $738.3M in net income for the fiscal year ending 2025 with a net profit margin of 60.8%.
MGIC Investment Corporation (MTG) reported an operating income of $928.5M, resulting in an operating profit margin of 76.5%. This margin reflects the operational efficiency of the business before interest and taxes.
MGIC Investment Corporation (MTG) generated $1.15B in gross profit for the year, representing a gross profit margin of 94.9%. This demonstrates the company's core pricing power and production efficiency.