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Enact Holdings, Inc. (ACT) Stock Analysis

Breakout setup

HoldVALUE-TRAP 1/5Moderate Confidence

Financial Services · Insurance - Specialty

Earnings in 5 days (2026-05-05). Expect elevated volatility around the report — consider waiting for post-earnings price action before new entries.

Hold if already holding. Not a fresh buy at $43.43, but acceptable to hold if already in. Reasons: Analyst target reached - limited upside remaining; Near 52-week high (3.2% away).

Enact Holdings is a private mortgage insurer covering low-down-payment residential loans in all 50 states, facilitating secondary market sales to Fannie Mae and Freddie Mac. It generated $51.5B in new insurance written in 2025 serving ~1,600 customers with net income of $674M.... Read more

$43.43+6.9% A.UpsideScore 5.7/10#5 of 10 Insurance - Specialty
Entry $40.80(support + ATR)Stop $39.17Target $43.63(resistance)A.R:R -1.2:1Setup A.R:R 1.7:1
Analyst target$45.80+5.5%5 analysts
$43.63our TP
$43.43price
$45.80mean
$42
$50

Hold if already holding. Not a fresh buy at $43.43, but acceptable to hold if already in. Reasons: Analyst target reached - limited upside remaining; Near 52-week high (3.2% away). Chart setup: Golden cross, above all MAs, RSI 68, MACD bullish. Downgraded from BUY WAIT — price $43.35 has reached target $43.63. No upside to wait for. Score 5.7/10, moderate confidence.

Passes 5/7 gates (positive momentum, clean insider activity, no SEC red flags, news events none recent, semi cycle peak clear). Fails on favorable risk/reward ratio and earnings proximity 5d<=7d. Suitability: moderate.

Val7.8Qual7.8Grw4.2Mom6.4Sent5.3Ins3.0Peer3.9Tech5.2Risk5.85.7OVERALL

Thesis

Rewards
Strong earnings beat streak (4/4)
High-quality business
Attractive valuation
Risks
Analyst target reached - limited upside remaining
Near 52-week high (3.2% away)
Earnings in 5 days (event risk)

Key Metrics

P/E (TTM)9.8
P/E (Fwd)8.7
Mkt Cap$6.2B
EV/EBITDA—
Profit Mgn54.6%
ROE13.0%
Rev Growth3.6%
Beta0.51
Dividend1.90%
Rating analysts9

Quality Signals

Piotroski F8/9

Options Flow

P/C0.50bullish
IV62%elevated
Max Pain$23-48.2% vs spot

Concentration Risks(10-K Item 1A)

  • MEDIUMCustomerlargest customer22%
    10-K Item 1: 'Our largest customer accounted for 22% of total NIW and 12% of our total revenues for the year ended December 31, 2025'
  • LOWGeographicCalifornia12%
    10-K Item 1: 'our largest state concentration was in California, which represented 12% of primary RIF'

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer

Rating Breakdown

1 floor-breaker

Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static

Value Rank
2.0
Growth Rank
4.0
Quality Rank
4.5
GatesA.R:R -1.2=NEGATIVEEARNINGS PROXIMITY 5d<=7dMomentum 6.4>=5.5Insider activity: OKNo SEC red flagsNEWS EVENTS NONE RECENTSEMI CYCLE PEAK CLEARBreakoutSuitability: Moderate
RSI
68 · Neutral
↑ 20D MA↑ 50D MA↑ 200D MAGOLDEN CROSSSupport $40.38Resistance $44.52

Price Targets

$39
$41
$44
A.Upside+0.5%
A.R:R-1.2:1
Setup A.R:R (at entry)1.7:1

Position Sizing

ConvictionHigh conviction
Suggested %0.8%
Max %1.6%
RegimeCautious

Risk Alerts

! Target reached (-8.1% upside)
! Negative risk/reward — downside exceeds upside
! EARNINGS_PROXIMITY:5d<=7d

Earnings

B
B
B
B
4/4 beats
Next Earnings2026-05-05 (5d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is ACT stock a buy right now?

Hold if already holding. Not a fresh buy at $43.43, but acceptable to hold if already in. Reasons: Analyst target reached - limited upside remaining; Near 52-week high (3.2% away). Chart setup: Golden cross, above all MAs, RSI 68, MACD bullish. Downgraded from BUY WAIT — price $43.35 has reached target $43.63. No upside to wait for. Target $43.63 (+0.5%), stop $39.17 (−10.9%), A.R:R -1.2:1. Score 5.7/10, moderate confidence.

What is the ACT stock price target?

Take-profit target: $43.63 (+6.9% upside). Target $43.63 (+0.5%), stop $39.17 (−10.9%), A.R:R -1.2:1. Stop-loss: $39.17.

What are the risks of investing in ACT?

Analyst target reached - limited upside remaining; Near 52-week high (3.2% away); Earnings in 5 days (event risk).

Is ACT overvalued or undervalued?

Enact Holdings, Inc. trades at a P/E of 9.8 (forward 8.7). TrendMatrix value score: 7.8/10. Verdict: Hold.

What do analysts say about ACT?

9 analysts cover ACT with a consensus score of 3.7/5. Average price target: $46.

What does Enact Holdings, Inc. do?Enact Holdings is a private mortgage insurer covering low-down-payment residential loans in all 50 states, facilitating...

Enact Holdings is a private mortgage insurer covering low-down-payment residential loans in all 50 states, facilitating secondary market sales to Fannie Mae and Freddie Mac. It generated $51.5B in new insurance written in 2025 serving ~1,600 customers with net income of $674M. The largest customer accounted for 22% of NIW and 12% of revenues in 2025.

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