Analyzing WMIH (COOP) and The Competition

WMIH (NASDAQ: COOP) is one of 32 public companies in the “Nondepository credit institutions” industry, but how does it weigh in compared to its rivals? We will compare WMIH to similar companies based on the strength of its analyst recommendations, risk, institutional ownership, dividends, valuation, earnings and profitability.

Valuation & Earnings

This table compares WMIH and its rivals revenue, earnings per share (EPS) and valuation.

Gross Revenue Net Income Price/Earnings Ratio
WMIH $7.89 million $25.88 million 127.67
WMIH Competitors $4.39 billion $643.50 million 16.91

WMIH’s rivals have higher revenue and earnings than WMIH. WMIH is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares WMIH and its rivals’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
WMIH 229.44% 18.07% 3.40%
WMIH Competitors 13.40% -56.29% -7.05%

Insider & Institutional Ownership

52.9% of shares of all “Nondepository credit institutions” companies are held by institutional investors. 1.7% of WMIH shares are held by insiders. Comparatively, 18.2% of shares of all “Nondepository credit institutions” companies are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Risk & Volatility

WMIH has a beta of -0.63, meaning that its stock price is 163% less volatile than the S&P 500. Comparatively, WMIH’s rivals have a beta of 1.73, meaning that their average stock price is 73% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for WMIH and its rivals, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
WMIH 1 1 1 0 2.00
WMIH Competitors 202 806 1043 49 2.45

WMIH currently has a consensus target price of $20.00, suggesting a potential upside of 30.55%. As a group, “Nondepository credit institutions” companies have a potential upside of 24.70%. Given WMIH’s higher probable upside, research analysts plainly believe WMIH is more favorable than its rivals.

Summary

WMIH rivals beat WMIH on 8 of the 13 factors compared.

WMIH Company Profile

Mr. Cooper Group Inc. provides servicing, origination, and transaction-based services related principally to single-family residences in the United States. It offers home loan servicers focused on delivering various servicing and lending products, services, and technologies. The company provides technology and data enhanced solutions to homebuyers, home sellers, real estate agents, and mortgage companies. It operates primarily under the Mr. Cooper and Xome brands. The company was formerly known as WMIH Corp. and changed its name to Mr. Cooper Group Inc. in October 2018. Mr. Cooper Group Inc. is based in Coppell, Texas.

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