EMPLOYERS HOLDINGS INC (EIG) Fundamental Analysis & Valuation

NYSE:EIG • US2922181043

Current stock price

40.75 USD
+0.1 (+0.25%)
Last:

This EIG fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

2

1. EIG Profitability Analysis

1.1 Basic Checks

  • EIG had positive earnings in the past year.
  • EIG had a positive operating cash flow in the past year.
  • In the past 5 years EIG has always been profitable.
  • EIG had a positive operating cash flow in each of the past 5 years.
EIG Yearly Net Income VS EBIT VS OCF VS FCFEIG Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50M 100M 150M

1.2 Ratios

  • EIG has a Return On Assets of 0.31%. This is in the lower half of the industry: EIG underperforms 75.68% of its industry peers.
  • EIG has a worse Return On Equity (1.13%) than 82.43% of its industry peers.
  • EIG's Return On Invested Capital of 0.35% is on the low side compared to the rest of the industry. EIG is outperformed by 72.97% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for EIG is significantly below the industry average of 9.34%.
Industry RankSector Rank
ROA 0.31%
ROE 1.13%
ROIC 0.35%
ROA(3y)2.33%
ROA(5y)2.29%
ROE(3y)7.96%
ROE(5y)7.77%
ROIC(3y)2.68%
ROIC(5y)2.57%
EIG Yearly ROA, ROE, ROICEIG Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2 4 6 8 10

1.3 Margins

  • The Profit Margin of EIG (1.26%) is worse than 82.43% of its industry peers.
  • In the last couple of years the Profit Margin of EIG has declined.
  • EIG's Operating Margin of 1.60% is on the low side compared to the rest of the industry. EIG is outperformed by 85.14% of its industry peers.
  • In the last couple of years the Operating Margin of EIG has declined.
Industry RankSector Rank
OM 1.6%
PM (TTM) 1.26%
GM N/A
OM growth 3Y-42.45%
OM growth 5Y-40.26%
PM growth 3Y-42.98%
PM growth 5Y-40.48%
GM growth 3YN/A
GM growth 5YN/A
EIG Yearly Profit, Operating, Gross MarginsEIG Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15 20

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4

2. EIG Health Analysis

2.1 Basic Checks

  • EIG has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
  • Compared to 1 year ago, EIG has less shares outstanding
  • Compared to 5 years ago, EIG has less shares outstanding
  • The debt/assets ratio for EIG is higher compared to a year ago.
EIG Yearly Shares OutstandingEIG Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10M 20M 30M
EIG Yearly Total Debt VS Total AssetsEIG Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B

2.2 Solvency

  • The Debt to FCF ratio of EIG is 0.82, which is an excellent value as it means it would take EIG, only 0.82 years of fcf income to pay off all of its debts.
  • EIG's Debt to FCF ratio of 0.82 is fine compared to the rest of the industry. EIG outperforms 70.95% of its industry peers.
  • EIG has a Debt/Equity ratio of 0.04. This is a healthy value indicating a solid balance between debt and equity.
  • Looking at the Debt to Equity ratio, with a value of 0.04, EIG belongs to the top of the industry, outperforming 85.14% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.04
Debt/FCF 0.82
Altman-Z N/A
ROIC/WACC0.04
WACC8.83%
EIG Yearly LT Debt VS Equity VS FCFEIG Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B

2.3 Liquidity

Industry RankSector Rank
Current Ratio N/A
Quick Ratio N/A
EIG Yearly Current Assets VS Current LiabilitesEIG Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M 80M 100M

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

3

3. EIG Growth Analysis

3.1 Past

  • EIG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -75.60%.
  • EIG shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -21.94% yearly.
  • The Revenue has decreased by -2.50% in the past year.
  • EIG shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.84% yearly.
EPS 1Y (TTM)-75.6%
EPS 3Y-32.28%
EPS 5Y-21.94%
EPS Q2Q%-42.61%
Revenue 1Y (TTM)-2.5%
Revenue growth 3Y6.37%
Revenue growth 5Y3.84%
Sales Q2Q%-21.28%

3.2 Future

  • The Earnings Per Share is expected to grow by 69.92% on average over the next years. This is a very strong growth
  • The Revenue is expected to decrease by -2.78% on average over the next years.
EPS Next Y138.63%
EPS Next 2Y69.92%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-7.12%
Revenue Next 2Y-2.78%
Revenue Next 3YN/A
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 accelerating.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
EIG Yearly Revenue VS EstimatesEIG Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 200M 400M 600M 800M
EIG Yearly EPS VS EstimatesEIG Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 1 2 3 4

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2

4. EIG Valuation Analysis

4.1 Price/Earnings Ratio

  • EIG is valuated quite expensively with a Price/Earnings ratio of 44.78.
  • Based on the Price/Earnings ratio, EIG is valued more expensive than 81.76% of the companies in the same industry.
  • The average S&P500 Price/Earnings ratio is at 25.23. EIG is valued rather expensively when compared to this.
  • EIG is valuated rather expensively with a Price/Forward Earnings ratio of 18.77.
  • Based on the Price/Forward Earnings ratio, EIG is valued a bit more expensive than the industry average as 73.65% of the companies are valued more cheaply.
  • EIG is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.51, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 44.78
Fwd PE 18.77
EIG Price Earnings VS Forward Price EarningsEIG Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, EIG is valued a bit more expensive than the industry average as 70.95% of the companies are valued more cheaply.
  • 67.57% of the companies in the same industry are cheaper than EIG, based on the Price/Free Cash Flow ratio.
Industry RankSector Rank
P/FCF 18.68
EV/EBITDA 26.15
EIG Per share dataEIG EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30 40

4.3 Compensation for Growth

  • EIG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • A more expensive valuation may be justified as EIG's earnings are expected to grow with 69.92% in the coming years.
PEG (NY)0.32
PEG (5Y)N/A
EPS Next 2Y69.92%
EPS Next 3YN/A

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

5

5. EIG Dividend Analysis

5.1 Amount

  • EIG has a Yearly Dividend Yield of 3.29%. Purely for dividend investing, there may be better candidates out there.
  • Compared to an average industry Dividend Yield of 2.84, EIG pays a bit more dividend than its industry peers.
  • EIG's Dividend Yield is rather good when compared to the S&P500 average which is at 1.90.
Industry RankSector Rank
Dividend Yield 3.29%

5.2 History

  • The dividend of EIG has a limited annual growth rate of 5.34%.
  • EIG has been paying a dividend for at least 10 years, so it has a reliable track record.
  • The dividend of EIG decreased recently.
Dividend Growth(5Y)5.34%
Div Incr Years1
Div Non Decr Years1
EIG Yearly Dividends per shareEIG Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 1 2 3

5.3 Sustainability

  • EIG pays out 276.85% of its income as dividend. This is not a sustainable payout ratio.
  • EIG's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP276.85%
EPS Next 2Y69.92%
EPS Next 3YN/A
EIG Yearly Income VS Free CF VS DividendEIG Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50M 100M 150M
EIG Dividend Payout.EIG Dividend Payout, showing the Payout Ratio.EIG Dividend Payout.PayoutRetained Earnings

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EIG Fundamentals: All Metrics, Ratios and Statistics

EMPLOYERS HOLDINGS INC

NYSE:EIG (3/27/2026, 1:01:06 PM)

40.75

+0.1 (+0.25%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)02-19
Earnings (Next)04-29
Inst Owners88.12%
Inst Owner Change-11.65%
Ins Owners1.34%
Ins Owner Change4.08%
Market Cap793.81M
Revenue(TTM)858.70M
Net Income(TTM)10.80M
Analysts74.29
Price Target45.39 (11.39%)
Short Float %5.24%
Short Ratio3.45
Dividend
Industry RankSector Rank
Dividend Yield 3.29%
Yearly Dividend1.33
Dividend Growth(5Y)5.34%
DP276.85%
Div Incr Years1
Div Non Decr Years1
Ex-Date03-04
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-125.89%
Min EPS beat(2)-282.74%
Max EPS beat(2)30.96%
EPS beat(4)2
Avg EPS beat(4)-71.98%
Min EPS beat(4)-282.74%
Max EPS beat(4)30.96%
EPS beat(8)5
Avg EPS beat(8)-35.74%
EPS beat(12)8
Avg EPS beat(12)-19.75%
EPS beat(16)11
Avg EPS beat(16)-11.48%
Revenue beat(2)1
Avg Revenue beat(2)-6.32%
Min Revenue beat(2)-22.02%
Max Revenue beat(2)9.39%
Revenue beat(4)2
Avg Revenue beat(4)-2.07%
Min Revenue beat(4)-22.02%
Max Revenue beat(4)12.29%
Revenue beat(8)3
Avg Revenue beat(8)-2.51%
Revenue beat(12)5
Avg Revenue beat(12)-1.88%
Revenue beat(16)7
Avg Revenue beat(16)-2.12%
PT rev (1m)-9.18%
PT rev (3m)0%
EPS NQ rev (1m)7.42%
EPS NQ rev (3m)7.42%
EPS NY rev (1m)2.26%
EPS NY rev (3m)1.59%
Revenue NQ rev (1m)-2.5%
Revenue NQ rev (3m)-2.5%
Revenue NY rev (1m)-4.22%
Revenue NY rev (3m)-4.22%
Valuation
Industry RankSector Rank
PE 44.78
Fwd PE 18.77
P/S 0.92
P/FCF 18.68
P/OCF 17.76
P/B 0.83
P/tB 0.88
EV/EBITDA 26.15
EPS(TTM)0.91
EY2.23%
EPS(NY)2.17
Fwd EY5.33%
FCF(TTM)2.18
FCFY5.35%
OCF(TTM)2.29
OCFY5.63%
SpS44.08
BVpS49.06
TBVpS46.5
PEG (NY)0.32
PEG (5Y)N/A
Graham Number31.69
Profitability
Industry RankSector Rank
ROA 0.31%
ROE 1.13%
ROCE 0.41%
ROIC 0.35%
ROICexc 0.37%
ROICexgc 0.44%
OM 1.6%
PM (TTM) 1.26%
GM N/A
FCFM 4.95%
ROA(3y)2.33%
ROA(5y)2.29%
ROE(3y)7.96%
ROE(5y)7.77%
ROIC(3y)2.68%
ROIC(5y)2.57%
ROICexc(3y)2.8%
ROICexc(5y)2.66%
ROICexgc(3y)3.37%
ROICexgc(5y)3.22%
ROCE(3y)3.13%
ROCE(5y)3.01%
ROICexgc growth 3Y-37.13%
ROICexgc growth 5Y-36.65%
ROICexc growth 3Y-36.7%
ROICexc growth 5Y-36.18%
OM growth 3Y-42.45%
OM growth 5Y-40.26%
PM growth 3Y-42.98%
PM growth 5Y-40.48%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.25
Health
Industry RankSector Rank
Debt/Equity 0.04
Debt/FCF 0.82
Debt/EBITDA 1.41
Cap/Depr 19.64%
Cap/Sales 0.26%
Interest Coverage 27.4
Cash Conversion 179.52%
Profit Quality 393.52%
Current Ratio N/A
Quick Ratio N/A
Altman-Z N/A
F-Score5
WACC8.83%
ROIC/WACC0.04
Cap/Depr(3y)19.74%
Cap/Depr(5y)17.57%
Cap/Sales(3y)0.36%
Cap/Sales(5y)0.39%
Profit Quality(3y)164.59%
Profit Quality(5y)140.13%
High Growth Momentum
Growth
EPS 1Y (TTM)-75.6%
EPS 3Y-32.28%
EPS 5Y-21.94%
EPS Q2Q%-42.61%
EPS Next Y138.63%
EPS Next 2Y69.92%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-2.5%
Revenue growth 3Y6.37%
Revenue growth 5Y3.84%
Sales Q2Q%-21.28%
Revenue Next Year-7.12%
Revenue Next 2Y-2.78%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-90.65%
EBIT growth 3Y-38.79%
EBIT growth 5Y-37.97%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-40.56%
FCF growth 3Y-24.1%
FCF growth 5Y8.86%
OCF growth 1Y-41.49%
OCF growth 3Y-23.49%
OCF growth 5Y6.07%

EMPLOYERS HOLDINGS INC / EIG Fundamental Analysis 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 2 / 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 2 / 10.


What is the financial health of EMPLOYERS HOLDINGS INC (EIG) stock?

The financial health rating of EMPLOYERS HOLDINGS INC (EIG) is 4 / 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 276.85%.