Latest Ratios: P/E Ratio 24.1x · EV/EBITDA 14.4x · ROE 26.2%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $11.8B | $15.1B | $21.7B | $17.6B | $11.5B | $8.9B | $12.9B | $9.7B | $7.0B | $7.1B | $6.6B |
| Enterprise Value | $11.5B | $14.8B | $21.5B | $17.5B | $11.5B | $8.8B | $12.9B | $9.5B | $6.9B | $7.0B | $6.4B |
| P/E Ratio → | 24.14 | 26.99 | 35.91 | 39.26 | 43.56 | 33.86 | 43.78 | 27.39 | 27.04 | 32.40 | 28.04 |
| P/S Ratio | 2.91 | 3.71 | 5.72 | 5.40 | 4.04 | 3.38 | 5.10 | 3.91 | 2.95 | 4.21 | 4.12 |
| P/B Ratio | 5.92 | 6.61 | 10.93 | 10.61 | 7.93 | 6.63 | 10.89 | 8.56 | 7.21 | 8.30 | 8.06 |
| P/FCF | 20.74 | 26.45 | 44.65 | 61.14 | 38.43 | 35.04 | 45.08 | 36.95 | 33.89 | 42.33 | 28.73 |
| P/OCF | 17.25 | 21.99 | 35.53 | 46.28 | 31.38 | 22.09 | 37.78 | 26.60 | 26.65 | 36.12 | 25.88 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 3.63 | 5.65 | 5.35 | 4.04 | 3.34 | 5.08 | 3.83 | 2.88 | 4.13 | 4.02 |
| EV / EBITDA | 14.44 | 18.53 | 29.27 | 30.83 | 27.15 | 24.79 | 35.83 | 25.34 | 19.17 | 22.88 | 20.80 |
| EV / EBIT | 15.98 | 20.77 | 30.22 | 31.66 | 30.00 | 28.05 | 38.26 | 26.41 | 19.92 | 24.05 | 22.05 |
| EV / FCF | — | 25.85 | 44.10 | 60.65 | 38.36 | 34.68 | 44.86 | 36.12 | 33.09 | 41.49 | 28.01 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 15.8% | 15.8% | 17.8% | 15.9% | 13.2% | 12.1% | 13.3% | 14.4% | 14.5% | 17.2% | 18.4% |
| Operating Margin | 17.7% | 17.7% | 17.8% | 15.9% | 13.2% | 12.1% | 13.3% | 14.4% | 14.5% | 17.2% | 18.4% |
| Net Profit Margin | 13.8% | 13.8% | 15.8% | 13.6% | 10.5% | 11.3% | 11.6% | 12.8% | 12.1% | 11.6% | 13.2% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 26.2% | 26.2% | 32.9% | 28.7% | 21.4% | 23.5% | 25.3% | 30.1% | 31.5% | 23.5% | 26.5% |
| ROA | 17.9% | 17.9% | 22.4% | 18.9% | 13.3% | 13.7% | 14.2% | 16.7% | 16.7% | 12.3% | 14.2% |
| ROIC | 29.5% | 29.5% | 31.3% | 26.5% | 21.0% | 20.1% | 24.9% | 31.1% | 33.9% | 31.8% | 35.5% |
| ROCE | 32.0% | 32.0% | 35.1% | 31.6% | 23.9% | 20.5% | 23.2% | 26.1% | 25.1% | 20.8% | 25.4% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | — | — | 0.00 | — | 0.08 | 0.07 | 0.08 | 0.11 | 0.10 | 0.09 | 0.03 |
| Debt / EBITDA | — | — | 0.01 | — | 0.29 | 0.26 | 0.27 | 0.32 | 0.28 | 0.24 | 0.08 |
| Net Debt / Equity | — | -0.15 | -0.13 | -0.09 | -0.01 | -0.07 | -0.06 | -0.19 | -0.17 | -0.16 | -0.20 |
| Net Debt / EBITDA | -0.43 | -0.43 | -0.36 | -0.25 | -0.05 | -0.25 | -0.18 | -0.58 | -0.47 | -0.46 | -0.53 |
| Debt / FCF | — | -0.61 | -0.55 | -0.50 | -0.07 | -0.35 | -0.23 | -0.83 | -0.80 | -0.84 | -0.72 |
| Interest Coverage | — | — | — | — | 190.27 | 76.00 | 460.36 | 419.40 | 139.98 | 234.45 | 2882.23 |
Net cash position: cash ($346M) exceeds total debt ($0)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.27 | 1.27 | 1.43 | 1.31 | 1.10 | 1.21 | — | 1.52 | 2.48 | 3.35 | 3.26 |
| Quick Ratio | 1.27 | 1.27 | 1.43 | 1.31 | 1.11 | 1.21 | — | 1.52 | 2.48 | 3.35 | 3.32 |
| Cash Ratio | 0.40 | 0.40 | 0.40 | 0.32 | 0.23 | 0.35 | 0.29 | 0.63 | 1.42 | 1.26 | 1.22 |
| Asset Turnover | — | 1.21 | 1.31 | 1.32 | 1.27 | 1.17 | 1.20 | 1.23 | 1.34 | 1.02 | 1.03 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 1.9% | 1.7% | 1.1% | 1.3% | 1.8% | 2.2% | 2.1% | 1.7% | 2.2% | 2.0% | 2.1% |
| Payout Ratio | 45.5% | 45.5% | 39.6% | 49.7% | 69.3% | 64.7% | 93.0% | 52.9% | 54.3% | 74.0% | 64.6% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.1% | 3.7% | 2.8% | 2.5% | 2.3% | 3.0% | 2.3% | 3.7% | 3.7% | 3.1% | 3.6% |
| FCF Yield | 4.8% | 3.8% | 2.2% | 1.6% | 2.6% | 2.9% | 2.2% | 2.7% | 3.0% | 2.4% | 3.5% |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 1.9% | 1.7% | 1.1% | 1.3% | 1.8% | 2.2% | 2.1% | 1.7% | 2.2% | 2.0% | 2.1% |
| Shares Outstanding | — | $53M | $53M | $53M | $46M | $46M | $53M | $58M | $53M | $58M | $59M |
Exchange Surplus Dependency
According to current market data, ERIE trades at a P/B of 5.51, a significant premium to regional peers like Cincinnati Financial at 1.82, suggesting investors assign a higher multiple to the company's asset-light management fee model compared to traditional risk-bearing insurance carriers.
The elevated P/B ratio indicates that the market views ERIE as a service-oriented royalty business rather than a standard underwriter. This valuation appears to price in the durability of the fee-based revenue stream, though it warrants caution given that the company's underlying growth is tethered to the Exchange's premium volume rather than independent market expansion.
As reported in recent financial statements, the Exchange's combined ratio reached 83.4% in 2025Q4, reflecting the inherent underwriting volatility that, while technically borne by the Exchange, directly influences the management fee environment and operational stability for the Indemnity company.
While ERIE does not retain underwriting risk, the combined ratio of the Exchange serves as a critical barometer for the sustainability of management fees. The fluctuation in loss ratios, which peaked at 85.4% in 2025Q4, suggests that inflationary pressures on claims could eventually force a board-mandated reduction in fee rates to protect the Exchange's surplus.
Based on historical balance sheet data, ERIE has expanded its equity base to $3.4 billion as of 2026Q1, providing a robust capital buffer that appears sufficient to support its role as the attorney-in-fact for the Erie Insurance Exchange during periods of underwriting stress.
The company maintains minimal debt, as evidenced by a D/E ratio near zero, which highlights a conservative capital structure. This financial positioning is essential for maintaining the trust of the Exchange's policyholders and ensuring that the management entity remains a stable partner regardless of cyclical insurance market downturns.
Investors frequently misapply the traditional combined ratio to ERIE as if it were a direct insurer, failing to recognize that this metric measures the Exchange's performance rather than the Indemnity company's own operational efficiency or fee-based profitability.
Using the combined ratio to evaluate ERIE's core business obscures the fact that the company is a service provider, not a risk-taker. A more appropriate focus would be the management fee rate and the growth of the Exchange's direct written premiums, as these are the true drivers of ERIE's top-line and margin potential.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying ERIE stock.
Erie Indemnity Company's current P/E ratio is 24.1x. The historical average is 25.0x. This places it at the 53th percentile of its historical range.
Erie Indemnity Company's current EV/EBITDA is 14.4x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 15.3x.
Erie Indemnity Company's return on equity (ROE) is 26.2%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 17.9%.
Based on historical data, Erie Indemnity Company is trading at a P/E of 24.1x. This is at the 53th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Erie Indemnity Company's current dividend yield is 1.88% with a payout ratio of 45.5%.
Erie Indemnity Company has 15.8% gross margin and 17.7% operating margin. Operating margin between 10-20% is typical for established companies.