Employers Holdings, Inc. (NYSE:EIG) is set to release its quarterly earnings on February 20, 2025. Analysts predict an earnings per share (EPS) of $1.08 and revenue of $221.18 million. EIG specializes in providing workers' compensation insurance and operates primarily in the United States. The company competes with other insurance providers in the market.
EIG's anticipated EPS of $1.08 for the quarter ending December 2024 represents a significant 22.9% decline compared to the previous year. This decline may concern investors, as earnings performance is a key indicator of a company's profitability. Despite this, the consensus EPS estimate has remained unchanged over the past 30 days, as highlighted by the stability in analyst projections.
The company's projected revenue of $221.18 million marks a 2% decrease from the same quarter last year. This decline in revenue could be attributed to various factors, such as market conditions or changes in demand for EIG's insurance products. Investors often closely monitor revenue trends to assess a company's growth potential and market position.
EIG's financial metrics provide additional insights into its valuation and financial health. With a price-to-earnings (P/E) ratio of approximately 8.92, the market values EIG's earnings relatively low compared to its peers. The price-to-sales ratio of about 1.35 indicates how much investors are willing to pay per dollar of sales, while the enterprise value to sales ratio of 1.20 reflects the company's total valuation relative to its sales.
EIG's financial stability is further highlighted by its low debt-to-equity ratio of 0.0043, indicating minimal reliance on debt for financing. The company's strong current ratio of 2.66 demonstrates its ability to cover short-term liabilities with short-term assets. These metrics suggest that EIG is well-positioned to manage its financial obligations and maintain operational stability.
