Latest Ratios: P/E Ratio 51.0x · EV/EBITDA 31.3x · ROE 2.7%. (2022–2025 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 |
|---|---|---|---|---|---|
| Market Cap | $1.5B | $1.6B | $461M | — | — |
| Enterprise Value | $1.3B | $1.5B | $276M | — | — |
| P/E Ratio → | 51.02 | 56.41 | 171.11 | — | — |
| P/S Ratio | 6.26 | 6.92 | 2.38 | — | — |
| P/B Ratio | 4.64 | 5.14 | 1.68 | — | — |
| P/FCF | 27.56 | 30.47 | 12.38 | — | — |
| P/OCF | 27.37 | 30.27 | 11.40 | — | — |
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 |
|---|---|---|---|---|---|
| EV / Revenue | — | 6.30 | 1.42 | — | — |
| EV / EBITDA | 31.25 | 34.92 | 6.91 | — | — |
| EV / EBIT | 55.28 | 32.96 | 8.54 | — | — |
| EV / FCF | — | 27.75 | 7.40 | — | — |
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 |
|---|---|---|---|---|---|
| Gross Margin | 26.8% | 26.8% | 24.0% | 21.7% | 20.7% |
| Operating Margin | 10.2% | 10.2% | 14.4% | 15.2% | 16.0% |
| Net Profit Margin | 3.4% | 3.4% | 1.4% | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 |
|---|---|---|---|---|---|
| ROE | 2.7% | 2.7% | 1.8% | — | — |
| ROA | 2.3% | 2.3% | 1.3% | — | — |
| ROIC | 13.8% | 13.8% | 31.4% | 41.3% | — |
| ROCE | 7.3% | 7.3% | 15.3% | 34.2% | 35.0% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 |
|---|---|---|---|---|---|
| Debt / Equity | 0.04 | 0.04 | 0.04 | 1.67 | 0.23 |
| Debt / EBITDA | 0.26 | 0.26 | 0.26 | 1.71 | 0.49 |
| Net Debt / Equity | — | -0.46 | -0.67 | 0.40 | -0.16 |
| Net Debt / EBITDA | -3.43 | -3.43 | -4.64 | 0.41 | -0.33 |
| Debt / FCF | — | -2.72 | -4.98 | 0.86 | -0.67 |
| Interest Coverage | 155.86 | 155.86 | 14.53 | 26.19 | 59.66 |
Net cash position: cash ($156M) exceeds total debt ($11M)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 |
|---|---|---|---|---|---|
| Current Ratio | 68.07 | 68.07 | 6.10 | 2.15 | 1.91 |
| Quick Ratio | 68.07 | 68.07 | 6.10 | 2.15 | 0.95 |
| Cash Ratio | 47.37 | 47.37 | 4.94 | 1.13 | 0.48 |
| Asset Turnover | — | 0.63 | 0.60 | 1.45 | 1.29 |
| 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 |
|---|---|---|---|---|---|
| Dividend Yield | — | — | 2.0% | — | — |
| Payout Ratio | — | — | 339.1% | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 |
|---|---|---|---|---|---|
| Earnings Yield | 2.0% | 1.8% | 0.6% | — | — |
| FCF Yield | 3.6% | 3.3% | 8.1% | — | — |
| Buyback Yield | 0.0% | 0.0% | 0.0% | — | — |
| Total Shareholder Yield | 0.0% | 0.0% | 2.0% | — | — |
| Shares Outstanding | — | $56M | $15M | $13M | $632M |
Texas regional catastrophe exposure
Based on recent market data, TWFG trades at a P/B multiple of 4.23, which appears to price in significant future growth expectations that may be difficult to sustain given the company's historical ROE volatility and the competitive intensity of the independent insurance brokerage sector.
The current P/B multiple suggests investors are paying a premium for the company's dual-channel distribution model, yet this valuation warrants caution when compared to more established peers. If the firm fails to achieve consistent margin expansion, the current valuation may face downward pressure as the market recalibrates its growth outlook.
As reported in financial statements, TWFG achieved a combined ratio of 83.0% in 2026Q1, marking a significant improvement from the 97.4% level observed in 2023Q4, which suggests that underwriting discipline has strengthened as the company scales its operations across its dual-channel distribution platform.
The reduction in the combined ratio is a positive indicator of operational efficiency, though it remains sensitive to the loss ratio volatility inherent in the personal lines market. Investors should monitor whether this trend is sustainable or if it is being artificially bolstered by favorable loss development patterns in the current cycle.
According to recent SEC filings, TWFG maintains a D/E ratio of 0.02, reflecting a fortress-like balance sheet that provides management with significant flexibility to pursue organic growth or strategic acquisitions without the immediate burden of servicing high levels of corporate debt in a volatile interest rate environment.
This low leverage profile is a distinct competitive advantage in the brokerage space, allowing the firm to navigate market downturns more effectively than more highly levered peers. However, the lack of debt also implies that the company is not utilizing financial leverage to amplify returns on equity, which may limit ROE growth.
Data suggests that the Return on Equity (ROE) is the most commonly misapplied metric for TWFG, as the 0.6% figure reported in 2026Q1 obscures the significant historical volatility and the impact of non-recurring items that have historically suppressed the company's true underlying profitability potential.
Relying solely on ROE ignores the lumpiness of contingent commissions and the impact of IPO-related expenses, which can distort the perception of operational health. Analysts should instead focus on the combined ratio and operating cash flow to better gauge the underlying profitability of the brokerage business.
Includes 30+ ratios · 4 years · Updated daily
DCF models, multiple analysis, and analyst estimates.
10-year return with dividends reinvested.
See how regular investing compounds over time.
Compare growth, multiples, and margins vs sector.
Quick answers to the most common questions about buying TWFG stock.
TWFG, Inc. Common Stock's current P/E ratio is 51.0x. The historical average is 113.8x.
TWFG, Inc. Common Stock's current EV/EBITDA is 31.3x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 20.9x.
TWFG, Inc. Common Stock's return on equity (ROE) is 2.7%. The historical average is 2.2%.
Based on historical data, TWFG, Inc. Common Stock is trading at a P/E of 51.0x. Compare with industry peers and growth rates for a complete picture.
TWFG, Inc. Common Stock has 26.8% gross margin and 10.2% operating margin. Operating margin between 10-20% is typical for established companies.
TWFG, Inc. Common Stock's Debt/EBITDA ratio is 0.3x, indicating low leverage. A ratio below 2x is generally considered financially healthy.