EMPLOYERS HOLDINGS INC (EIG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:EIG - US2922181043 - Common Stock
44.89 USD
+0.94 (+2.14%)
44.89 USD
0 (0%)
Taking everything into account, EIG scores 3 out of 10 in our fundamental rating. EIG was compared to 146 industry peers in the Insurance industry. While EIG seems to be doing ok healthwise, there are quite some concerns on its profitability. EIG is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- EIG had positive earnings in the past year.
- In the past year EIG had a positive cash flow from operations.
- Each year in the past 5 years EIG has been profitable.
- Each year in the past 5 years EIG had a positive operating cash flow.
1.2 Ratios
- With a Return On Assets value of 1.77%, EIG perfoms like the industry average, outperforming 47.95% of the companies in the same industry.
- EIG has a worse Return On Equity (6.01%) than 73.29% of its industry peers.
- EIG's Return On Invested Capital of 1.81% is in line compared to the rest of the industry. EIG outperforms 46.58% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for EIG is significantly below the industry average of 15.11%.
| 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
- EIG has a Profit Margin of 6.91%. This is comparable to the rest of the industry: EIG outperforms 43.15% of its industry peers.
- EIG's Profit Margin has declined in the last couple of years.
- EIG has a worse Operating Margin (8.59%) than 64.38% of its industry peers.
- 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.
- Compared to 1 year ago, EIG has less shares outstanding
- Compared to 5 years ago, EIG has less shares outstanding
- EIG has a better debt/assets ratio than last year.
2.2 Solvency
- EIG has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | N/A |
ROIC/WACC0.21
WACC8.83%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
- EIG shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -64.82%.
- Measured over the past 5 years, EIG shows a small growth in Earnings Per Share. The EPS has been growing by 3.11% on average per year.
- 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
- EIG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.00% yearly.
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
- With a Price/Earnings ratio of 32.06, EIG can be considered very expensive at the moment.
- Based on the Price/Earnings ratio, EIG is valued a bit more expensive than 76.03% of the companies in the same industry.
- EIG is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.33, which is the current average of the S&P500 Index.
- EIG is valuated rather expensively with a Price/Forward Earnings ratio of 21.00.
- EIG's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. EIG is more expensive than 72.60% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 24.12. EIG is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.06 | ||
| Fwd PE | 21 |
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 60.96% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.9 | ||
| EV/EBITDA | 8.96 |
4.3 Compensation for Growth
- EIG's earnings are expected to decrease with -14.60% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)10.3
EPS Next 2Y-24.3%
EPS Next 3Y-14.6%
5. Dividend
5.1 Amount
- EIG has a Yearly Dividend Yield of 2.89%.
- EIG's Dividend Yield is a higher than the industry average which is at 2.42.
- EIG's Dividend Yield is rather good when compared to the S&P500 average which is at 1.91.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.89% |
5.2 History
- On average, the dividend of EIG grows each year by 6.16%, which is quite nice.
- EIG has paid a dividend for at least 10 years, which is a reliable track record.
- The dividend of EIG decreased 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%
44.89
+0.94 (+2.14%)
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-0.18%
Ins Owners1.05%
Ins Owner Change0.74%
Market Cap1.01B
Revenue(TTM)904.80M
Net Income(TTM)62.50M
Analysts74.29
Price Target45.39 (1.11%)
Short Float %2.96%
Short Ratio2.53
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.89% |
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 | 32.06 | ||
| Fwd PE | 21 | ||
| P/S | 1.12 | ||
| P/FCF | 18.9 | ||
| P/OCF | 17.67 | ||
| P/B | 0.97 | ||
| P/tB | 1.02 | ||
| EV/EBITDA | 8.96 |
EPS(TTM)1.4
EY3.12%
EPS(NY)2.14
Fwd EY4.76%
FCF(TTM)2.38
FCFY5.29%
OCF(TTM)2.54
OCFY5.66%
SpS40.25
BVpS46.23
TBVpS44.01
PEG (NY)N/A
PEG (5Y)10.3
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
WACC8.83%
ROIC/WACC0.21
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%.