MGIC Investment Corp. (MTG)

[tommiegun54]

LAST YEAR MGIC REPORTED FOURTH QUARTER FINANCIAL RESULTS ON FEB 4, 2020

This year, they are reporting fourth quarter financial results on February 23, 2020.

By waiting, MGIC can digest the impact of the FHFA decision on the bankruptcy moratorium, which is currently scheduled to expire on January 31, 2021.

MGIC and RADIAN'S INSURANCE PORTFOLIO is largely composed of loans issussed by Fannie Mae and Freddie Mac, although they both have made great strides in diversifying their portfolio since "The Great Recession" of 2008.

As of December 31, 2020 MGIC has 57,710 loans that are delinquent. 62% of the delinquencies are in forbearance programs as far back as March 2020. Therefore, that combined with the foreclosure moratorium could have significant impact on whether those loans end up in foreclosure.

It's difficult to quantity the amount of "loan loss reserve and lae" required until they know what's going on with the foreclosure moratorium and, it's subsequent impact on Q4 2020 PROFIT OR LOSS.

It is prudent to wait and see if the FHFA extends the moratorium on foreclosures and if so, how long they will extend the moratorium.

The FHFA'S delay in announcing a decision on the foreclosure moratorium may have something to do with the new Biden administration, taking office next week.