Hamilton Lane vs MGIC Investment

This page compares Hamilton Lane Inc-CLASS A and MGIC Investment Corp., examining their business models, financial performance, and market context. It presents neutral, accessible analysis to help readers understand how each company operates, earns money, and positions itself in the investment landscape. Educational content, not financial advice.

Comparison Snapshot

Key Financial Metrics

HLNE

Metric

MTG

$8.33B

Market Cap

$5.89B

9.11%

Potential Profit

2.27%

Buy

Analyst Rating

Hold

Investment Analysis

Hamilton Lane

HLNE

Pros

Hamilton Lane benefits from strong growth in fee-related earnings, projected at a 27% compound annual growth rate from 2025 to 2027.
The firm holds a leading position in wealth management and secondary markets within alternative asset management, with over 30% of fee-related revenues from wealth management.
Hamilton Lane maintains a high gross profit margin of over 60%, reflecting efficient operations and pricing power.

Considerations

The stock has underperformed year-to-date, with a total return of -15% and a one-year decline of over 34%.
Hamilton Lane's share price is sensitive to broader market volatility, as indicated by a beta above 1.2.
Recent analyst upgrades have been accompanied by downward revisions to price targets, suggesting some caution among market observers.

MGIC Investment

MTG

Pros

MGIC Investment maintains a strong balance sheet with robust capital reserves, supporting its ability to withstand housing market downturns.
The company benefits from a leading position in the US private mortgage insurance sector, with a significant market share.
MGIC has demonstrated consistent profitability, driven by disciplined underwriting and a favourable claims environment.

Considerations

MGIC's earnings are highly sensitive to changes in US housing market conditions and interest rates.
The company faces regulatory risks and potential changes in government-backed mortgage insurance policies.
MGIC's growth prospects are limited by market saturation and competition from other mortgage insurers.

About The Companies

Hamilton Lane (HLNE)

Hamilton Lane is a global investment firm that specialises in private markets. It acts as a gateway for institutional clients and private wealth investors, offering them access to asset classes that aren't typically available on public stock exchanges. These include private equity, private credit, real estate, and infrastructure. The company constructs investment solutions using a mix of strategies, such as investing directly in funds, co-investing alongside other managers, or acquiring secondary stakes. Hamilton Lane also provides a suite of related services, from advisory and data analytics to reporting and portfolio management. For investors, it represents a way to potentially gain exposure to the less-liquid but opportunity-rich world of private investments, although it's important to remember that all investments carry risk and returns are not guaranteed.

MGIC Investment (MTG)

MGIC Investment Corp. (MTG) is a leading US private mortgage insurer that helps lenders manage credit risk on mortgage loans. The company earns premiums from mortgage insurance policies and invests premium proceeds, while paying claims when insured borrowers default. Its financial performance is tied closely to the US housing market, borrower credit profiles, unemployment and interest-rate trends. MGIC’s capital levels, underwriting standards and loss reserves are key indicators investors watch, as are regulatory developments affecting mortgage lending. The business can be cyclical: stronger home prices and employment generally reduce claims, while downturns can increase losses. This summary is for general educational purposes only and is not personal financial advice. Mortgage-insurance stocks can be volatile and suitability depends on an investor’s objectives, time horizon and risk tolerance; consult a qualified adviser before making investment decisions.

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Trusted & Regulated

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6% Interest on Cash

Earn 6% AER on uninvested cash with daily interest payments.

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Comparison Snapshot

Investment Analysis

Hamilton Lane

Pros

Considerations

MGIC Investment

Pros

Considerations

About The Companies

Which Baskets Do They Appear In?

Which Baskets Do They Appear In?

Buy HLNE or MTG in Nemo

Zero Commission

Trusted & Regulated

6% Interest on Cash

Discover More Comparisons

Hamilton Lane vs MarketAxess

Hamilton Lane vs Blackstone Secured Lending

Hamilton Lane vs Synovus

Frequently asked questions

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How should I interpret fee-related earnings mentioned for Hamilton Lane?

What does a high gross profit margin imply for Hamilton Lane?

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What risks should an investor watch for with MGIC’s earnings profile?

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Comparison Snapshot

About The Companies