NIB share price up 22% in 12 months, but could face short-term weakness. Here’s what investors should know

NIB Holdings Ltd (ASX: NHF) has been a solid performer for investors over the past year. The private health insurer’s shares are up around 22% over the last 12 months, pointing to steady confidence in the business.

However, the share price has lost some momentum recently. Over the past month, NIB shares have slipped almost 4% and are currently trading around $6.69, suggesting some investors are taking profits after the recent run.

Let’s take a closer look at what’s driving the recent pullback.

A strong year, but momentum has cooled

Over the past year, NIB’s share price has climbed from the mid $5 range to around current levels. That puts it comfortably ahead of the broader S&P/ASX 200 Index (ASX: XJO), helped by steady earnings and reliable dividends.

That said, the shares have struggled to push higher recently. The price peaked late last year at $8.26 before pulling back, and it is now trading closer to the lower end of its recent range.

The relative strength index (RSI) shows the stock was previously in overbought territory, meaning it had risen too quickly. When that happens, a pullback is common as some investors lock in profits and momentum cools.

What the chart is saying

NIB shares are currently sitting near the middle-to-lower end of their Bollinger Bands, which often signals reduced momentum.

There appears to be support around $6.60 to $6.65, where buyers have stepped in before. On the upside, resistance sits near $6.90 to $7.00, a level the stock has struggled to break through in recent months.

Strong dividend profile is still a highlight

One reason investors continue to hold NIB is income. The company offers a dividend yield of about 4.3%, which is fully franked.

NIB has a long history of paying steady dividends, and payouts have been well supported by earnings.

What’s next on the financial calendar?

Investors should also keep an eye on several key dates in 2026:

• 23 February – FY26 half-year results

• 5 March – Interim dividend ex-dividend date

• 8 April – Interim dividend payment

• 24 August – FY26 full-year results

• 3 September – Final dividend ex-dividend date

• 7 October – Final dividend payment

• 11 November – Annual general meeting (AGM)

These events could move the share price, especially the upcoming February results.

Foolish takeaway

NIB looks like a steady, reliable business rather than a high-growth stock. The shares have done well over the past year, but short-term momentum has eased.

For long-term investors chasing income and stability, NIB still makes sense. For short-term traders, patience may be needed until momentum improves again.

The post NIB share price up 22% in 12 months, but could face short-term weakness. Here’s what investors should know appeared first on The Motley Fool Australia.

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