EMPLOYERS HOLDINGS INC (EIG)
US2922181043 - Common Stock
EIG gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 141 industry peers in the Insurance industry. EIG has only an average score on both its financial health and profitability. EIG has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year EIG was profitable.
EIG had a positive operating cash flow in the past year.
EIG had positive earnings in each of the past 5 years.
Each year in the past 5 years EIG had a positive operating cash flow.
1.2 Ratios
The Return On Assets of EIG (3.45%) is better than 72.14% of its industry peers.
EIG has a Return On Equity of 12.05%. This is comparable to the rest of the industry: EIG outperforms 58.57% of its industry peers.
EIG has a better Return On Invested Capital (4.00%) than 78.57% of its industry peers.
The Average Return On Invested Capital over the past 3 years for EIG is in line with the industry average of 4.07%.
The last Return On Invested Capital (4.00%) for EIG is above the 3 year average (2.87%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.45% | ||
| ROE | 12.05% | ||
| ROIC | 4% |
ROA(3y)2.59%
ROA(5y)2.95%
ROE(3y)8.87%
ROE(5y)9.99%
ROIC(3y)2.87%
ROIC(5y)3.19%
1.3 Margins
EIG has a better Profit Margin (14.16%) than 76.43% of its industry peers.
EIG's Profit Margin has declined in the last couple of years.
EIG has a better Operating Margin (19.31%) than 76.43% of its industry peers.
EIG's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.31% | ||
| PM (TTM) | 14.16% | ||
| GM | N/A |
OM growth 3Y-2.62%
OM growth 5Y-2.09%
PM growth 3Y-6.24%
PM growth 5Y-4.7%
GM growth 3YN/A
GM growth 5YN/A
2. Health
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.
The number of shares outstanding for EIG has been reduced compared to 1 year ago.
The number of shares outstanding for EIG has been reduced compared to 5 years ago.
Compared to 1 year ago, EIG has an improved debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of EIG is 0.00, which is an excellent value as it means it would take EIG, only 0.00 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.00, EIG belongs to the top of the industry, outperforming 95.71% of the companies in the same industry.
EIG has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of EIG (0.00) is better than 92.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | N/A |
ROIC/WACC0.45
WACC8.91%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 22.50% over the past year.
EIG shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -1.30% yearly.
Looking at the last year, EIG shows a quite strong growth in Revenue. The Revenue has grown by 12.96% in the last year.
EIG shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.23% yearly.
EPS 1Y (TTM)22.5%
EPS 3Y7.03%
EPS 5Y-1.3%
EPS growth Q2Q11.67%
Revenue 1Y (TTM)12.96%
Revenue growth 3Y6.15%
Revenue growth 5Y1.23%
Revenue growth Q2Q8.04%
3.2 Future
EIG is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -1.14% yearly.
The Revenue is expected to grow by 5.29% on average over the next years.
EPS Next Y-1.92%
EPS Next 2Y-1.14%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year5.98%
Revenue Next 2Y5.29%
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 stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 10.90, which indicates a very decent valuation of EIG.
EIG's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of EIG to the average of the S&P500 Index (28.06), we can say EIG is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 11.35, the valuation of EIG can be described as reasonable.
EIG's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 20.72. EIG is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.9 | ||
| Fwd PE | 11.35 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, EIG is valued cheaper than 80.71% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, EIG is valued a bit more expensive than 64.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 25.31 | ||
| EV/EBITDA | 5.22 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-1.14%
EPS Next 3YN/A
5. Dividend
5.1 Amount
EIG has a Yearly Dividend Yield of 2.78%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 4.23, EIG pays a bit more dividend than its industry peers.
EIG's Dividend Yield is comparable with the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.78% |
5.2 History
The dividend of EIG is nicely growing with an annual growth rate of 6.73%!
EIG has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)6.73%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
EIG pays out 24.35% of its income as dividend. This is a sustainable payout ratio.
DP24.35%
EPS Next 2Y-1.14%
EPS Next 3YN/A
EMPLOYERS HOLDINGS INC
NYSE:EIG (5/3/2024, 3:10:02 PM)
After market: 42.71 0 (0%)42.71
-0.49 (-1.13%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.08B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.78% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.9 | ||
| Fwd PE | 11.35 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.45% | ||
| ROE | 12.05% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 19.31% | ||
| PM (TTM) | 14.16% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)22.5%
EPS 3Y7.03%
EPS 5Y
EPS growth Q2Q
EPS Next Y-1.92%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)12.96%
Revenue growth 3Y6.15%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y