MTG revenues vs RDN revenues... why does everyone favor RDN?
With all of this talk about RDN writing SO MUCH NIW, MTG is still clearly making quite a bit more money off of its mortgage insurance business.
Net premiums earned last quarter for RDN was $179 million, and MTG regularly books quarter premiums earned in the $250 million range.
How is this possible? Am I missing something?
It is so obvious S. Ibrahim at RDN knows he's in trouble, so he goes after the quick cash grab insurance (single premium) and stops paying claims to get a net profit for a quarter, just so the stock price goes up, so he can raise the capital he needed a few quarters ago. It's really pretty shady.
I just personally feel more comfortable with Curt Culver. RDN's conference calls always seem like smoke and mirrors and like management is hiding something. They also seem to get testy with the analysts. MTG's calls are more like, "Yeah, it is what it is, but we're getting the top quality insurance we should be getting, we're not undercutting, we're taking the hard honest steps now for our future, and we're fairly certain we'll be okay."