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Investing.com - Roth/MKM has raised its price target on MBIA Inc. (NYSE:MBI) to $7.00 from $5.00 while maintaining a Neutral rating on the stock. The insurance company, currently trading at $6.52 with a market capitalization of $323 million, has shown remarkable strength with a 24% gain in the past week. According to InvestingPro analysis, the stock’s RSI indicates overbought conditions.
The price target increase represents a multiple of approximately 0.5 times MBIA’s trailing adjusted book value, according to Roth/MKM.
MBIA reported a second-quarter 2025 adjusted net loss of $0.17 per share, which missed the consensus estimate of a $0.15 loss and Roth/MKM’s estimate of a $0.08 loss.
The research firm attributed the variance from its estimate primarily to additional loss reserves related to Puerto Rico electric power bonds (PREPA) that were higher than modeled.
Despite the price target increase, Roth/MKM maintained its Neutral rating on the insurance company’s stock.
In other recent news, MBIA Inc. reported a consolidated GAAP net loss of $62 million, or $1.28 per share, for the first quarter of 2025. This marks an improvement from the $86 million loss reported in the same period last year. The company’s adjusted net loss was $8 million, or $0.16 per share, aligning with the revenue forecast of $6 million. Despite missing earnings expectations, there is optimism surrounding MBIA’s efforts to resolve its exposure to the Puerto Rican energy sector. These developments are noteworthy for investors monitoring the company’s financial health. Additionally, there have been no recent analyst upgrades or downgrades reported for MBIA Inc. Investors will likely be watching for further updates on the company’s strategy and performance in the coming quarters.
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