EMPLOYERS HOLDINGS INC (EIG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:EIG - US2922181043 - Common Stock
45.6 USD
-0.19 (-0.41%)
45.6 USD
0 (0%)
Overall EIG gets a fundamental rating of 3 out of 10. We evaluated EIG against 149 industry peers in the Insurance industry. While EIG seems to be doing ok healthwise, there are quite some concerns on its profitability. EIG does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
- In the past year EIG was profitable.
- In the past year EIG had a positive cash flow from operations.
- EIG had positive earnings in each of the past 5 years.
- EIG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 1.77%, EIG is in line with its industry, outperforming 48.32% of the companies in the same industry.
- With a Return On Equity value of 6.01%, EIG is not doing good in the industry: 72.48% of the companies in the same industry are doing better.
- EIG's Return On Invested Capital of 1.81% is in line compared to the rest of the industry. EIG outperforms 45.64% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for EIG is significantly below the industry average of 14.92%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.77% | ||
| ROE | 6.01% | ||
| ROIC | 1.81% |
ROA(3y)2.66%
ROA(5y)2.84%
ROE(3y)9.29%
ROE(5y)9.52%
ROIC(3y)2.84%
ROIC(5y)2.96%
1.3 Margins
- The Profit Margin of EIG (6.91%) is comparable to the rest of the industry.
- EIG's Profit Margin has declined in the last couple of years.
- Looking at the Operating Margin, with a value of 8.59%, EIG is doing worse than 65.10% of the companies in the same industry.
- In the last couple of years the Operating Margin of EIG has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.59% | ||
| PM (TTM) | 6.91% | ||
| GM | N/A |
OM growth 3Y-7.38%
OM growth 5Y-6.44%
PM growth 3Y-7.41%
PM growth 5Y-6.45%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), EIG is destroying value.
- The number of shares outstanding for EIG has been reduced compared to 1 year ago.
- Compared to 5 years ago, EIG has less shares outstanding
- The debt/assets ratio for EIG has been reduced compared to a year ago.
2.2 Solvency
- There is no outstanding debt for EIG. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | N/A |
ROIC/WACC0.2
WACC8.89%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
- The earnings per share for EIG have decreased strongly by -64.82% in the last year.
- EIG shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.11% yearly.
- EIG shows a small growth in Revenue. In the last year, the Revenue has grown by 1.69%.
- EIG shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.05% yearly.
EPS 1Y (TTM)-64.82%
EPS 3Y15.99%
EPS 5Y3.11%
EPS Q2Q%-235.8%
Revenue 1Y (TTM)1.69%
Revenue growth 3Y7.8%
Revenue growth 5Y1.05%
Sales Q2Q%12.29%
3.2 Future
- The Earnings Per Share is expected to decrease by -14.60% on average over the next years. This is quite bad
- The Revenue is expected to grow by 0.00% on average over the next years.
EPS Next Y-78.79%
EPS Next 2Y-24.3%
EPS Next 3Y-14.6%
EPS Next 5YN/A
Revenue Next Year2.19%
Revenue Next 2Y-0.45%
Revenue Next 3Y0%
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 32.57, the valuation of EIG can be described as expensive.
- Based on the Price/Earnings ratio, EIG is valued a bit more expensive than 76.51% of the companies in the same industry.
- When comparing the Price/Earnings ratio of EIG to the average of the S&P500 Index (27.38), we can say EIG is valued inline with the index average.
- The Price/Forward Earnings ratio is 21.33, which indicates a rather expensive current valuation of EIG.
- 73.15% of the companies in the same industry are cheaper than EIG, based on the Price/Forward Earnings ratio.
- When comparing the Price/Forward Earnings ratio of EIG to the average of the S&P500 Index (24.29), we can say EIG is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.57 | ||
| Fwd PE | 21.33 |
4.2 Price Multiples
- EIG's Enterprise Value to EBITDA is on the same level as the industry average.
- EIG's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. EIG is more expensive than 61.74% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.2 | ||
| EV/EBITDA | 9.36 |
4.3 Compensation for Growth
- A cheap valuation may be justified as EIG's earnings are expected to decrease with -14.60% in the coming years.
PEG (NY)N/A
PEG (5Y)10.46
EPS Next 2Y-24.3%
EPS Next 3Y-14.6%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 2.80%, EIG has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 2.53, EIG pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.84, EIG pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.8% |
5.2 History
- The dividend of EIG is nicely growing with an annual growth rate of 6.16%!
- EIG has been paying a dividend for at least 10 years, so it has a reliable track record.
- EIG has decreased its dividend recently.
Dividend Growth(5Y)6.16%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- 48.48% of the earnings are spent on dividend by EIG. This is a bit on the high side, but may be sustainable.
DP48.48%
EPS Next 2Y-24.3%
EPS Next 3Y-14.6%
45.6
-0.19 (-0.41%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)10-30 2025-10-30/amc
Earnings (Next)02-18 2026-02-18/amc
Inst Owners86.2%
Inst Owner Change-0.29%
Ins Owners1.05%
Ins Owner Change0.74%
Market Cap1.03B
Revenue(TTM)904.80M
Net Income(TTM)62.50M
Analysts74.29
Price Target45.39 (-0.46%)
Short Float %2.96%
Short Ratio2.53
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.8% |
Yearly Dividend1.21
Dividend Growth(5Y)6.16%
DP48.48%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-167.29%
Min EPS beat(2)-282.74%
Max EPS beat(2)-51.85%
EPS beat(4)2
Avg EPS beat(4)-78.49%
Min EPS beat(4)-282.74%
Max EPS beat(4)15.7%
EPS beat(8)5
Avg EPS beat(8)-36.01%
EPS beat(12)8
Avg EPS beat(12)-18.34%
EPS beat(16)11
Avg EPS beat(16)-9.57%
Revenue beat(2)2
Avg Revenue beat(2)10.84%
Min Revenue beat(2)9.39%
Max Revenue beat(2)12.29%
Revenue beat(4)2
Avg Revenue beat(4)2.67%
Min Revenue beat(4)-7.94%
Max Revenue beat(4)12.29%
Revenue beat(8)4
Avg Revenue beat(8)0.71%
Revenue beat(12)6
Avg Revenue beat(12)0.91%
Revenue beat(16)8
Avg Revenue beat(16)0.59%
PT rev (1m)0%
PT rev (3m)-3.26%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-20.2%
EPS NY rev (1m)0%
EPS NY rev (3m)-70.06%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.36%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.57 | ||
| Fwd PE | 21.33 | ||
| P/S | 1.13 | ||
| P/FCF | 19.2 | ||
| P/OCF | 17.95 | ||
| P/B | 0.99 | ||
| P/tB | 1.04 | ||
| EV/EBITDA | 9.36 |
EPS(TTM)1.4
EY3.07%
EPS(NY)2.14
Fwd EY4.69%
FCF(TTM)2.38
FCFY5.21%
OCF(TTM)2.54
OCFY5.57%
SpS40.25
BVpS46.23
TBVpS44.01
PEG (NY)N/A
PEG (5Y)10.46
Graham Number38.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.77% | ||
| ROE | 6.01% | ||
| ROCE | 2.26% | ||
| ROIC | 1.81% | ||
| ROICexc | 1.9% | ||
| ROICexgc | 2.26% | ||
| OM | 8.59% | ||
| PM (TTM) | 6.91% | ||
| GM | N/A | ||
| FCFM | 5.9% |
ROA(3y)2.66%
ROA(5y)2.84%
ROE(3y)9.29%
ROE(5y)9.52%
ROIC(3y)2.84%
ROIC(5y)2.96%
ROICexc(3y)2.97%
ROICexc(5y)3.08%
ROICexgc(3y)3.58%
ROICexgc(5y)3.74%
ROCE(3y)3.54%
ROCE(5y)3.7%
ROICexgc growth 3Y1.31%
ROICexgc growth 5Y-4.1%
ROICexc growth 3Y2.18%
ROICexc growth 5Y-3.47%
OM growth 3Y-7.38%
OM growth 5Y-6.44%
PM growth 3Y-7.41%
PM growth 5Y-6.45%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.26
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 26.43% | ||
| Cap/Sales | 0.41% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 62.27% | ||
| Profit Quality | 85.44% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score5
WACC8.89%
ROIC/WACC0.2
Cap/Depr(3y)17.19%
Cap/Depr(5y)20.04%
Cap/Sales(3y)0.39%
Cap/Sales(5y)0.49%
Profit Quality(3y)100.36%
Profit Quality(5y)66.06%
High Growth Momentum
Growth
EPS 1Y (TTM)-64.82%
EPS 3Y15.99%
EPS 5Y3.11%
EPS Q2Q%-235.8%
EPS Next Y-78.79%
EPS Next 2Y-24.3%
EPS Next 3Y-14.6%
EPS Next 5YN/A
Revenue 1Y (TTM)1.69%
Revenue growth 3Y7.8%
Revenue growth 5Y1.05%
Sales Q2Q%12.29%
Revenue Next Year2.19%
Revenue Next 2Y-0.45%
Revenue Next 3Y0%
Revenue Next 5YN/A
EBIT growth 1Y-54.48%
EBIT growth 3Y-0.16%
EBIT growth 5Y-5.46%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y2.3%
FCF growth 3Y114.94%
FCF growth 5Y-8.42%
OCF growth 1Y5.55%
OCF growth 3Y91.97%
OCF growth 5Y-9.1%
EMPLOYERS HOLDINGS INC / EIG FAQ
Can you provide the ChartMill fundamental rating for EMPLOYERS HOLDINGS INC?
ChartMill assigns a fundamental rating of 3 / 10 to EIG.
Can you provide the valuation status for EMPLOYERS HOLDINGS INC?
ChartMill assigns a valuation rating of 1 / 10 to EMPLOYERS HOLDINGS INC (EIG). This can be considered as Overvalued.
What is the profitability of EIG stock?
EMPLOYERS HOLDINGS INC (EIG) has a profitability rating of 3 / 10.
What is the financial health of EMPLOYERS HOLDINGS INC (EIG) stock?
The financial health rating of EMPLOYERS HOLDINGS INC (EIG) is 5 / 10.
Is the dividend of EMPLOYERS HOLDINGS INC sustainable?
The dividend rating of EMPLOYERS HOLDINGS INC (EIG) is 5 / 10 and the dividend payout ratio is 48.48%.