PMI Tagged 'Bear of the Day'

Zacks Equity Research's Bear of the Day for Sept. 15 is The PMI Group Inc., Walnut Creek, Calif. Zacks said PMI's second-quarter operating loss was "substantially worse than the estimates." While the sale of its Australian and Asian businesses to QBE Insurance Group Ltd. helped to support the mortgage insurer's capital and liquidity position, Zacks said it did not rule out the need for PMI to raise additional capital in the near to medium term. Zacks added that it increased its loss estimates for 2008 to $10.80 per share and for 2009 to $2.30 per share. "The rise in delinquencies and defaults on loan payments may continue for a longer time than expected earlier, leading to increased losses for the mortgage insurers," Chicago-based Zacks said. The research firm can be found online at http://www.zacks.com.