Employers Holdings, Inc. (EIG) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+92.4%

$90.26

vs $46.91 price

Levered DCF

$38.62

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

2.22

Grey zone

Rating

B-

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	95.93×	10.81×	8.79×	24.51×	9.81×	8.03×	8.54×	9.76×
P/B	1.08×	1.2×	1.02×	1.26×	0.96×	0.79×	1.15×	1.36×
P/S	1.21×	1.46×	1.22×	1.66×	1.66×	1.35×	1.6×	1.72×
EV / EBITDA	38.63×	8.11×	5.15×	20.02×	7.18×	5.39×	5.92×	7.33×
Gross margin	32.2%	36.7%	40.6%	31.8%	44.3%	46.4%	45.7%	41.2%
Operating margin	1.4%	16.7%	17.4%	7.8%	20.9%	20.8%	23.2%	21.2%
Net margin	1.3%	13.5%	13.9%	6.8%	17.0%	16.8%	18.8%	17.7%
Current ratio	0.82×	1.24×	1.18×	1.28×	1.29×	0×	0×	27.02×
Debt / equity	0.04×	0×	0.01×	0.21×	0.01×	0.03×	0.02×	0.02×
Interest coverage	24×	1,467×	25.59×	15.94×	294×	369.25×	323×	113×
Dividend yield	2.9%	2.4%	2.9%	7.6%	2.5%	3.2%	2.1%	1.9%
Payout ratio	276.9%	25.5%	25.1%	186.6%	24.3%	25.5%	18.0%	18.9%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	1.1%	11.1%	11.6%	5.1%	9.8%	9.9%	13.5%	13.9%
Return on invested capital	1.0%	10.3%	3.2%	4.0%	9.1%	0.0%	0.0%	3.8%
Return on assets	0.3%	3.3%	3.3%	1.3%	3.2%	3.1%	3.9%	3.6%
Free cash flow yield	4.1%	5.6%	4.5%	8.2%	0.6%	2.9%	8.2%	12.3%
Earnings yield	1.0%	9.2%	11.4%	4.1%	10.2%	12.4%	11.7%	10.2%
Enterprise value	$915.4M	$1.2B	$818.4M	$1.3B	$1.1B	$842.4M	$1.2B	$1.3B
Net debt / EBITDA	-5.1×	-0.43×	-1.39×	1.65×	-0.38×	-0.77×	-0.67×	-0.46×
Cash conversion cycle (days)	308	318	328	383	363	363	342	-534