MGIC Investment Corp. may have misrepresented its financial condition to investors by failing to timely and properly disclose the risk MGIC faced in connection with subprime mortgages.

This is a securities class action lawsuit against MGIC Investment Corp. and certain officers and directors.

This class action lawsuit alleges that during the Class Period, defendants made false and materially misleading statements and concealed material adverse information regarding MGIC's business, including in particular about C-BASS, the Company's underwriting and exposure to subprime mortgages and delinquencies. Additionally, MGIC did not properly record loss reserves.

As a result , MGIC's financial results violated GAAP and were materially misstated, and Plaintiff and the other members of the Class purchased MGIC common stock during the Class Period at inflated prices. Based on defendants' false and misleading statements, MGIC stock reached a Class Period high of $70.09 per share during February 2007. Defendants' false statements and misrepresentations of material facts were slowly revealed to the market over a period of months through successive partial disclosures of the actual state of MGIC. Upon full disclosure of defendants' prior false statements and material non-disclosures, the price of MGIC stock dropped to $12.61 on February 13, 2008, down 82% from the Class Period high.