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ACTEnact Holdings, Inc.
$45.50$6.4B
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  4. Financial Ratios

Enact Holdings, Inc. (ACT) Financial Ratios

Latest Ratios: P/E Ratio 10.1x · EV/EBITDA 7.2x · ROE 13.0%. (2018–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

ACT Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018
Market Cap$6.4B$5.9B$5.1B$4.7B$3.9B$3.4B———
Enterprise Value$6.6B$6.1B$5.3B$4.8B$4.2B$3.7B———
P/E Ratio →10.078.777.417.035.606.15———
P/S Ratio5.224.814.244.053.603.01———
P/B Ratio1.271.111.021.010.960.82———
P/FCF8.878.177.437.406.94————
P/OCF8.878.177.437.407.035.88———

P/E links to full P/E history page with 30-year chart

ACT EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018
EV / Revenue—4.944.384.193.833.32———
EV / EBITDA7.256.695.665.354.424.98———
EV / EBIT7.676.695.665.354.424.98———
EV / FCF—8.397.677.647.40————

ACT Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018
Gross Margin91.1%91.1%78.2%78.3%86.7%66.8%44.3%73.4%100.0%
Operating Margin69.8%69.8%73.1%73.8%82.0%62.1%42.7%73.4%73.0%
Net Profit Margin54.8%54.8%57.2%57.7%64.3%48.8%33.5%69.2%57.5%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018
ROE13.0%13.0%14.3%15.2%17.2%13.7%9.6%19.1%14.8%
ROA10.0%10.0%10.8%11.1%12.1%9.4%7.2%15.7%11.8%
ROIC12.1%12.1%13.2%14.0%15.3%12.0%9.5%16.8%14.8%
ROCE13.0%13.0%14.1%14.7%16.0%12.6%9.9%18.3%16.7%

ACT Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018
Debt / Equity0.140.140.150.170.190.190.200.01—
Debt / EBITDA0.820.820.820.850.811.041.580.07—
Net Debt / Equity—0.030.030.030.060.090.08-0.14-0.05
Net Debt / EBITDA0.180.180.170.170.270.470.66-0.75—
Debt / FCF—0.220.230.240.45—0.46-1.66-0.31
Interest Coverage18.1918.1918.1617.4218.3714.6326.89——

ACT Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018
Current Ratio6.866.865.504.312.691.901.391.630.47
Quick Ratio6.866.865.504.312.691.901.391.630.47
Cash Ratio6.366.365.064.022.491.731.261.530.38
Asset Turnover—0.180.180.190.190.190.190.210.21
Inventory Turnover—————————
Days Sales Outstanding—————————

ACT Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018
Dividend Yield1.8%2.0%2.2%4.6%6.4%5.9%———
Payout Ratio17.9%17.9%16.2%32.0%35.6%36.6%118.1%36.9%10.3%

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018
Earnings Yield9.9%11.4%13.5%14.2%17.9%16.3%———
FCF Yield11.3%12.2%13.5%13.5%14.4%————
Buyback Yield6.0%6.5%4.8%1.9%0.0%0.0%———
Total Shareholder Yield7.7%8.5%7.0%6.4%6.4%5.9%———
Shares Outstanding—$149M$158M$162M$163M$163M$163M$163M$163M

Key Metrics

Growth RegimeStable
ProfitabilityStrong
Balance SheetFortress
Cash FlowRobust
Top Statement Risk

Housing market cyclicality

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q1)

Valuation Reflects Persistent Complexity Discount

As reported in recent financial statements, Enact Holdings trades at a P/B of 1.26, which appears to incorporate a persistent discount relative to peers like NMI Holdings, potentially reflecting investor caution regarding the company's majority ownership structure and its historical ties to Genworth Financial.

The current valuation multiple suggests that the market may be discounting the company's underwriting quality due to the technical overhang of its parent company's stake. Investors should monitor whether this discount narrows as the company continues to demonstrate independent capital allocation discipline and consistent dividend growth.

Underwriting Discipline Drives Consistent Profitability

Based on the provided quarterly data, Enact Holdings maintained a combined ratio that fluctuated between 21.4% and 32.6% over the last ten quarters, signaling that the firm continues to generate significant underwriting profit even during periods of elevated loss activity within the broader mortgage insurance sector.

The low combined ratio indicates that the company's risk-based pricing engine is effectively capturing the credit risk of its portfolio. This performance suggests that the firm's underwriting remains highly resilient, provided that the current benign credit environment and home price appreciation trends continue to support low claim severity.

Conservative Leverage Supports Capital Flexibility

According to the company's reported financial data, Enact Holdings maintains a very low debt-to-equity ratio of 0.14, which underscores a fortress balance sheet that provides the firm with significant capacity to navigate potential housing market downturns while maintaining its current capital return programs.

This conservative leverage profile appears to be a strategic choice to ensure PMIERs compliance and regulatory stability. The firm's ability to maintain such low debt levels while simultaneously returning capital to shareholders suggests a high degree of confidence in the underlying cash-generative capacity of its insurance-in-force portfolio.

Misapplication of P/E in Insurance

As evidenced by the volatility in quarterly net income, the P/E ratio is frequently misapplied to Enact Holdings because it fails to account for the non-cash reserve adjustments that can significantly distort earnings, making P/B a more reliable anchor for assessing the company's true valuation.

Investors should prioritize the combined ratio and book value growth over P/E, as the latter is highly sensitive to management's periodic reserve releases. Relying on P/E may obscure the underlying underwriting profitability and the long-term value of the insurance-in-force, which is better captured by the company's capital base.

Download Financial Ratios Data

Includes 30+ ratios · 8 years · Updated daily

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ACT — Frequently Asked Questions

Quick answers to the most common questions about buying ACT stock.

What is Enact Holdings, Inc.'s P/E ratio?

Enact Holdings, Inc.'s current P/E ratio is 10.1x. The historical average is 7.0x. This places it at the 100th percentile of its historical range.

What is Enact Holdings, Inc.'s EV/EBITDA?

Enact Holdings, Inc.'s current EV/EBITDA is 7.2x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 5.4x.

What is Enact Holdings, Inc.'s ROE?

Enact Holdings, Inc.'s return on equity (ROE) is 13.0%. The historical average is 14.6%.

Is ACT stock overvalued?

Based on historical data, Enact Holdings, Inc. is trading at a P/E of 10.1x. This is at the 100th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What is Enact Holdings, Inc.'s dividend yield?

Enact Holdings, Inc.'s current dividend yield is 1.78% with a payout ratio of 17.9%.

What are Enact Holdings, Inc.'s profit margins?

Enact Holdings, Inc. has 91.1% gross margin and 69.8% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.

How much debt does Enact Holdings, Inc. have?

Enact Holdings, Inc.'s Debt/EBITDA ratio is 0.8x, indicating low leverage. A ratio below 2x is generally considered financially healthy.