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Genworth Mortgage Insurance Australia Ltd (HLI) AI Stock Analysis

AU:HLI

Genworth Mortgage Insurance Australia Ltd

(ASX:HLI)

Select Model
Rating:72Outperform
Price Target:AUD 6.00â–²(10.70% Upside)
Action:reiterated
Date:08/06/26

The score is driven primarily by solid financial quality (strong profitability and low leverage) and very attractive valuation (low P/E and high dividend yield). These positives are tempered by contracting revenue and uneven cash-flow performance, alongside weak-to-mixed near-term technical momentum.

Positive Factors
Low and improving leverageDebt reduction from roughly A$200m through 2024 to about A$8.5m in 2025 materially lowers financial obligations and improves resilience. With debt-to-equity remaining modest and sizable equity, HLI has greater capacity to absorb claims volatility and fund operations without heavy reliance on borrowing.
Negative Factors
Multi-year revenue contractionSeveral years of shrinking revenue, culminating in a sharp 2025 decline, indicate pressure on premium generation and the scale of HLI’s insured portfolio. If this trend persists, it can reduce operating leverage, constrain earnings growth and make strong historical margins harder to sustain.

Genworth Mortgage Insurance Australia Ltd (HLI) vs. iShares MSCI Australia ETF (EWA)

-10%0%10%20%30%40%AU:HLI+28.62%EWA+13.51%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
AUD 1.47B
Dividend Yield
31.18%
Average Volume (3M)
897.63K
Price to Earnings (P/E)
7.0
Beta (1Y)
0.43
Revenue Growth
-8.31%
EPS Growth
-19.83%
Country
Australia
Employees
170
Sector
Financial
Sector Strength
68
Industry
Insurance - Specialty

Genworth Mortgage Insurance Australia Ltd Business Overview & Revenue Model

Company Description

Helia Group Limited, together with its subsidiaries, engages in the loan mortgage insurance business primarily in Australia. It offers Lenders Mortgage Insurance (LMI), which provides protection to lenders, helping them facilitate property purchases...

How the Company Makes Money

HLI makes money primarily by underwriting lenders mortgage insurance (LMI) policies for Australian home loans. Its core revenue stream is premium income paid by lenders (often recovered from borrowers) in exchange for coverage that protects the lende...

Genworth Mortgage Insurance Australia Ltd Financial Statement Overview

Summary

Strong and consistent profitability post-2020 and a conservatively positioned balance sheet support the score. Offsetting this, revenue has been contracting for multiple years (with a sharp decline in 2025) and cash flows have been volatile, including negative operating/free cash flow in 2023 and weaker free cash flow in 2025.

Income Statement

73Positive

Balance Sheet

82Very Positive

Cash Flow

62Positive
Financial statement breakdown
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue454.10M471.20M517.68M538.29M579.69M372.09M
Gross Profit421.60M471.20M517.68M511.71M466.24M372.09M
EBITDA302.80M362.20M418.81M421.37M303.02M290.26M
Net Income211.20M244.90M231.54M275.06M186.77M192.82M
Balance Sheet
Total Assets2.26B2.54B2.93B3.20B3.46B3.91B
Cash, Cash Equivalents and Short-Term Investments81.90M45.70M112.38M57.05M23.84M76.72M
Total Debt4.20M8.50M196.52M197.29M191.06M195.89M
Total Liabilities1.37B1.52B1.85B2.06B2.26B2.36B
Stockholders Equity892.50M1.02B1.08B1.14B1.21B1.56B
Cash Flow
Free Cash Flow46.90M108.40M134.33M-18.27M75.51M344.67M
Operating Cash Flow46.90M108.40M134.43M-18.03M76.11M344.67M
Investing Cash Flow303.70M324.00M213.84M397.10M199.89M-344.26M
Financing Cash Flow-536.50M-499.10M-292.93M-345.90M-328.96M-27.69M

Genworth Mortgage Insurance Australia Ltd Technical Analysis

Technical Analysis SentimentPositive
Last Price5.42

Price Trends

50DMA5.24Positive
100DMA5.11Positive
200DMA4.87Positive

Market Momentum

MACD0.04Negative
RSI58.56Neutral
STOCH69.35Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:HLI, the sentiment is Positive. The current price of 5.42 is above the 20-day moving average (MA) of 5.25, above the 50-day MA of 5.24, and above the 200-day MA of 4.87, indicating a bullish trend. The MACD of 0.04 indicates Negative momentum. The RSI at 58.56 is Neutral, neither overbought nor oversold. The STOCH value of 69.35 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:HLI.

Genworth Mortgage Insurance Australia Ltd Peers Comparison

Overall Rating

UnderperformOutperform
Sector (68)

Financial Indicators

AU:HLI against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
AU:HLIAU:HLI72OutperformAUD 1.47B7.0422.10%31.18%-8.31%-19.83%
AU:PPMAU:PPM71OutperformAUD 784.17M7.2712.29%8.60%-0.65%8.02%
AU:QBEAU:QBE68NeutralAUD 39.12B12.7018.63%4.24%3.37%6.40%
Sector *68Neutral$18.00B11.429.92%3.81%9.73%1.22%
AU:SUNAU:SUN67NeutralAUD 20.83B20.4710.06%3.37%-2.94%-31.48%
AU:IAGAU:IAG62NeutralAUD 20.59B20.4614.06%3.64%9.36%-24.51%
AU:LFGAU:LFG56NeutralAUD 1.02B7.1712.12%14.61%-3.49%7.16%

* Financial Sector Average

Performance Comparison

-20%0%20%40%AU:HLIAU:IAGAU:QBEAU:SUNAU:PPMAU:LFGDec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
AU:HLI and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
AU:HLIGenworth Mortgage Insurance Australia Ltd5.421.1928.13%
AU:IAGInsurance Australia Group Limited8.801.3217.66%
AU:QBEQBE Insurance Group Limited26.187.5640.59%
AU:SUNSuncorp Group Limited19.651.116.02%
AU:PPMPepper Money Ltd1.75-0.47-21.18%
AU:LFGLiberty Financial Group Ltd3.37-0.04-1.32%

Genworth Mortgage Insurance Australia Ltd Corporate Events

Helia Group Cuts Share Count with On‑Market Buy‑Back

Oct 25, 2026

Helia Group Limited has cancelled 1,022,001 ordinary fully paid shares as part of an on‑market buy‑back, reducing its issued capital on the ASX. The move signals ongoing capital management by the mortgage insurer and may marginally improv...

Helia Group Updates Market on Daily Progress of Share Buy‑Back Program

Oct 22, 2026

Helia Group Limited has updated the market on its ongoing on‑market share buy‑back program for its ordinary fully paid shares. The company reported that it has repurchased a cumulative total of 2,285,883 shares prior to the latest trading...

Helia Group Continues On-Market Share Buy-Back Program

Oct 21, 2026

Helia Group Limited, trading on the ASX under the code HLI, is a financial services firm whose ordinary fully paid shares form the basis of its listed equity capital. The company employs share buy-backs as part of its capital management, a tool commo...

Helia Continues On-Market Share Buy-Back Program

Oct 20, 2026

Helia Group Limited has updated the market on the progress of its on-market share buy-back program, confirming that it is repurchasing fully paid ordinary shares under the existing authorization. The company reports that a total of 2,182,559 shares h...

Helia appoints new director and details incentive‑linked shareholding

Oct 19, 2026

Helia Group Limited has appointed Mark Aleksander Senkevics as a director effective 19 October 2026, and has lodged an initial director’s interest notice with the ASX. The filing confirms that Senkevics holds no Helia shares directly but partic...

Helia Group Continues On-Market Share Buy-Back Program

Oct 19, 2026

Helia Group Limited, a major Australian mortgage insurance provider listed on the ASX under ticker HLI, offers credit risk protection on residential home loans to banks and other lenders. Its operations are tightly linked to the performance of the ho...

Helia Continues On-Market Share Buy-Back With Daily ASX Updates

Oct 11, 2026

Helia Group Limited has provided an updated notification to the ASX regarding its ongoing on-market share buy-back program, covering ordinary fully paid shares under the code HLI. The latest daily disclosure shows that a total of 1,885,212 shares had...

Helia Continues On-Market Share Buy-Back With Daily ASX Update

Oct 8, 2026

Helia Group Limited has updated the market on its ongoing on-market share buy-back program involving its ordinary fully paid shares traded under the ASX code HLI. The latest daily notification reports that the company has repurchased a cumulative tot...

Helia Continues On-Market Buy-Back to Tighten Capital Base

Oct 7, 2026

Helia Group Limited, trading on the ASX as HLI, is a financial services provider specialising in mortgage insurance and risk solutions for Australian lenders, supporting banks and mortgage originators in managing housing credit exposure.The company h...

Helia Group Updates Market on Progress of On-Market Share Buy-Back

Oct 6, 2026

Helia Group Limited has provided an updated notification to the ASX on its ongoing on-market share buy-back program for ordinary fully paid shares under code HLI. The latest update, dated 7 October 2026, records cumulative repurchases of 1,652,652 sh...

Helia Reduces Capital Through Share Buy-Back and Lapse of Rights

Oct 4, 2026

Helia Group Limited has cancelled 66,976 ordinary fully paid shares following an on-market buy-back, slightly reducing its number of shares on issue and reflecting ongoing active capital management. The company also reported the lapse of 114,501 shar...

Helia Continues On-Market Share Buy-Back With Latest Daily Update

Oct 4, 2026

Helia Group Limited has confirmed it is conducting an on-market buy-back of its ordinary fully paid shares as part of an ongoing capital management program. The company reported that a cumulative 1,578,652 shares had been repurchased prior to the lat...

Helia Group Updates Market on Progress of Daily Share Buy-Back Program

Oct 1, 2026

Helia Group Limited has provided an updated notification to the ASX regarding its ongoing on-market share buy-back program for its ordinary fully paid shares. The update, dated 2 October 2026, reports that a total of 1,505,244 shares had been repurch...

Helia Group Continues Active On-Market Share Buy-Back Program

Sep 30, 2026

Helia Group Limited, traded on the ASX under ticker HLI, is a financial services provider connected to the Australian mortgage insurance market, issuing ordinary fully paid shares to investors. The group uses capital management tools such as on-marke...

Helia Group Continues On-Market Share Buy-Back Program

Sep 29, 2026

Helia Group Limited has reported a daily update on its ongoing on-market share buy-back of ordinary fully paid shares, disclosing that it had repurchased a cumulative 1,263,882 securities before the latest trading day. The company bought back a furth...

Helia Group Updates ASX on Progress of On-Market Share Buy-Back

Sep 28, 2026

Helia Group Limited has provided an updated notification to the ASX on its ongoing on-market share buy-back program for ordinary fully paid shares under the code HLI. The latest daily buy-back report dated 29 September 2026 notes that 36,646 shares w...

Helia Updates Market on Progress of On-Market Share Buy-Back

Sep 21, 2026

Helia Group Limited has issued an updated notification to the ASX regarding its ongoing on-market share buy-back program for ordinary fully paid shares under the code HLI. The latest daily buy-back notice dated 22 September 2026 reports that a total...

Helia Cancels 1.2 Million Shares Under On‑Market Buy‑Back

Sep 20, 2026

Helia Group Limited has cancelled 1,196,906 ordinary fully paid shares under its on‑market buy‑back program, as disclosed in an Appendix 3H notification to the ASX dated 21 September 2026. The reduction in issued capital reflects ongoing...

Helia Group Ramps Up On-Market Share Buy-Back

Sep 14, 2026

Helia Group Limited has reported an update to its on-market share buy-back program, disclosing that it repurchased 39,181 ordinary fully paid shares on the previous trading day. This brings the total number of shares bought back under the current pro...

Helia Group Continues On-Market Share Buy-Back Program

Sep 13, 2026

Helia Group Limited has issued an update on its on-market share buy-back program, confirming ongoing repurchases of its ordinary fully paid shares listed under the ASX code HLI. The latest notification, dated 14 September 2026, reports that the compa...

Helia Group Updates ASX on Progress of On-Market Share Buy-Back

Sep 10, 2026

Helia Group Limited has provided an updated notification to the ASX regarding its ongoing on-market share buy-back program for ordinary fully paid shares under the code HLI. The company reported that a total of 998,825 securities had been repurchased...

Helia Group Continues On-Market Share Buy-Back Program

Sep 10, 2026

Helia Group Limited has provided an updated notification to the ASX regarding its ongoing on-market share buy-back program involving its ordinary fully paid shares. The company reported that a total of 906,386 shares had been repurchased before the p...

Helia Group Continues On-Market Share Buy-Back Program

Sep 8, 2026

Helia Group Limited, traded on the ASX with the ticker HLI, is a financial services company whose ordinary fully paid shares form the basis of its current capital management plans. The group is using the equity market to actively manage its share bas...

Helia Continues On‑Market Buy‑Back, Expands Capital Management Drive

Sep 7, 2026

Helia Group Limited has updated the market on its ongoing on‑market share buy‑back program, reporting that a total of 786,096 ordinary fully paid shares had been repurchased before the previous trading day, with a further 66,352 shares bo...

Helia Updates Market on Progress of Daily Share Buy-Back

Sep 6, 2026

Helia Group Limited has provided an updated notification to the ASX regarding its ongoing on-market share buy-back program for its ordinary fully paid shares. The update confirms that a total of 720,544 shares had been repurchased before the previous...

Helia Continues On-Market Share Buy-Back With Daily ASX Updates

Sep 3, 2026

Helia Group Limited has reported an update to its on-market share buy-back, confirming that a total of 610,478 ordinary fully paid shares had been repurchased prior to the latest trading day, with a further 110,066 shares bought back on the previous...

Helia Group Continues On-Market Share Buy-Back Program

Sep 2, 2026

Helia Group Limited has issued an updated notification to the ASX confirming ongoing on-market buy-backs of its ordinary fully paid shares under a program first announced on 11 August 2026. The latest daily disclosure reports that a total of 472,894...

Helia Director Andrew Moore Doubles Indirect Shareholding via On‑Market Trades

Sep 1, 2026

Helia Group Limited has disclosed a change in director Andrew Geoffrey Moore’s indirect shareholding, with the Moore Family Super Fund acquiring an additional 10,000 ordinary shares via on-market trades on 27 and 28 August 2026. Following these...

Helia Continues On-Market Share Buy-Back Program

Aug 31, 2026

Helia Group Limited has provided an updated notification to the ASX on its ongoing on-market share buy-back program for ordinary fully paid shares. The latest daily buy-back report, dated 1 September 2026, confirms that the company repurchased 159,58...

Helia Group Updates Market on Progress of On-Market Share Buy-Back

Aug 31, 2026

Helia Group Limited, listed on the ASX as HLI, is a financial services provider linked to the Australian mortgage insurance market. Its ordinary fully paid shares are the primary listed securities through which investors gain exposure to the company....

Helia Group Continues Daily On‑Market Share Buy‑Back

Aug 27, 2026

Helia Group Limited has continued its on‑market share buy‑back program, reporting a daily update to the ASX for its ordinary fully paid shares. The latest notification shows the company had bought back 84,144 securities before the previou...

Helia Group Updates ASX on Progress of On-Market Share Buy-Back

Aug 27, 2026

Helia Group Limited has issued an updated notification to the ASX outlining the progress of its on-market share buy-back program for ordinary fully paid shares under the code HLI. The latest daily buy-back update, dated 27 August 2026, confirms that...

Helia Director Restructures Trust Holdings With No Change in Share Interest

Aug 25, 2026

Helia Group Limited has disclosed a change in director Leona Murphy’s indirect interests, noting an off-market transfer of 11,070 ordinary shares between trusts associated with her personal superannuation arrangements. The transaction, dated 18...

Helia Group Launches On‑Market Share Buy‑Back Program

Aug 10, 2026

Helia Group Limited has notified the market that it will commence an on‑market buy‑back of its ordinary fully paid shares listed on the ASX under the code HLI. The Appendix 3C filing confirms this new buy‑back program as of 11 Augus...

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Aug 06, 2026