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U.S. Insurance Industry Analysis
UpdatedMay 07, 2025
DataAggregated Company Financials
Companies124
- 7D1.7%
- 3M2.3%
- 1Y16.8%
- YTD6.2%
In the last week, the Insurance industry is up 2.2%, with Arthur J. Gallagher up 6.7%. In the last 12 months, the industry was up 17%. As for the next few years, earnings are expected to grow by 11% per annum.
Industry Valuation and Performance
Has the U.S. Insurance Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Wed, 07 May 2025 | US$1.4t | US$895.6b | US$84.9b | 14.4x | 16.8x | 1.6x |
| Fri, 04 Apr 2025 | US$1.5t | US$897.3b | US$92.9b | 13.8x | 16.2x | 1.7x |
| Sun, 02 Mar 2025 | US$1.5t | US$896.5b | US$93.2b | 13.3x | 15.8x | 1.6x |
| Tue, 28 Jan 2025 | US$1.4t | US$894.1b | US$91.8b | 12.8x | 15x | 1.5x |
| Thu, 26 Dec 2024 | US$1.4t | US$893.2b | US$91.1b | 13.1x | 15x | 1.5x |
| Sat, 23 Nov 2024 | US$1.4t | US$893.2b | US$91.0b | 13.7x | 15.8x | 1.6x |
| Mon, 21 Oct 2024 | US$1.4t | US$860.8b | US$89.4b | 14.2x | 15.9x | 1.7x |
| Wed, 18 Sep 2024 | US$1.4t | US$855.2b | US$87.4b | 14.3x | 16x | 1.6x |
| Fri, 16 Aug 2024 | US$1.3t | US$855.4b | US$87.0b | 13.5x | 15.1x | 1.5x |
| Sun, 14 Jul 2024 | US$1.2t | US$820.7b | US$79.0b | 13.5x | 15.2x | 1.5x |
| Tue, 11 Jun 2024 | US$1.2t | US$823.4b | US$79.2b | 13x | 14.9x | 1.4x |
| Thu, 09 May 2024 | US$1.2t | US$819.5b | US$79.4b | 13x | 14.8x | 1.4x |
| Sat, 06 Apr 2024 | US$1.2t | US$792.6b | US$66.9b | 14.6x | 17.6x | 1.5x |
| Mon, 04 Mar 2024 | US$1.1t | US$791.6b | US$66.6b | 14.9x | 17.1x | 1.4x |
| Wed, 31 Jan 2024 | US$1.2t | US$794.3b | US$49.9b | 12.9x | 23.2x | 1.5x |
| Fri, 29 Dec 2023 | US$1.1t | US$792.9b | US$47.7b | 13.1x | 22.9x | 1.4x |
| Sun, 26 Nov 2023 | US$1.1t | US$792.8b | US$47.5b | 12.6x | 23.2x | 1.4x |
| Tue, 24 Oct 2023 | US$1.0t | US$804.2b | US$40.0b | 14.5x | 25.5x | 1.3x |
| Thu, 21 Sep 2023 | US$1.1t | US$799.3b | US$38.7b | 14.8x | 27.3x | 1.3x |
| Sat, 19 Aug 2023 | US$1.0t | US$799.0b | US$38.6b | 15.2x | 26.2x | 1.3x |
| Mon, 17 Jul 2023 | US$974.2b | US$781.6b | US$37.8b | 15.2x | 25.8x | 1.2x |
| Wed, 14 Jun 2023 | US$970.4b | US$774.5b | US$35.1b | 15.4x | 27.6x | 1.3x |
| Fri, 12 May 2023 | US$973.0b | US$774.1b | US$35.7b | 15.9x | 27.3x | 1.3x |
| Sun, 09 Apr 2023 | US$966.4b | US$759.1b | US$44.1b | 15.3x | 21.9x | 1.3x |
| Tue, 07 Mar 2023 | US$1.0t | US$759.7b | US$44.1b | 17.3x | 23.1x | 1.3x |
| Thu, 02 Feb 2023 | US$1.0t | US$782.4b | US$53.2b | 16.4x | 19.6x | 1.3x |
| Sat, 31 Dec 2022 | US$1.0t | US$777.8b | US$54.7b | 14.9x | 18.6x | 1.3x |
| Mon, 28 Nov 2022 | US$1.0t | US$777.8b | US$54.6b | 14.4x | 19x | 1.3x |
| Wed, 26 Oct 2022 | US$957.1b | US$766.4b | US$63.5b | 13.7x | 15.1x | 1.2x |
| Fri, 23 Sep 2022 | US$921.2b | US$795.2b | US$74.2b | 13.1x | 12.4x | 1.2x |
| Sun, 21 Aug 2022 | US$983.4b | US$775.5b | US$56.6b | 14.3x | 17.4x | 1.3x |
| Tue, 19 Jul 2022 | US$924.8b | US$783.0b | US$77.4b | 11.3x | 12x | 1.2x |
| Thu, 16 Jun 2022 | US$938.1b | US$787.8b | US$79.3b | 11.2x | 11.8x | 1.2x |
| Sat, 14 May 2022 | US$1.0t | US$787.9b | US$79.2b | 10.9x | 12.9x | 1.3x |
Price to Earnings Ratio
12.9x
Current Industry PE
- Investors are relatively neutral on the American Insurance industry at the moment, indicating that they anticipate long term growth rates to remain steady.
- The industry is trading close to its 3-year average PE ratio of 18.5x.
- The 3-year average PS ratio of 1.4x is lower than the industry's current PS ratio of 1.6x.
Past Earnings Growth
- The earnings for companies in the Insurance industry have grown 2.4% per year over the last three years.
- Revenues for these companies have grown 4.4% per year.
- This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Industry Trends
Which industries have driven the changes within the U.S. Financials industry?
| US Market | 0.85% | |
| Financials | 0.78% | |
| Insurance | 1.69% | |
| Insurance Brokers | 3.15% | |
| Property and Casualty Insurance | 1.84% | |
| Reinsurance | 1.07% | |
| Life and Health Insurance | -0.91% | |
| General Insurance | -1.70% | |
Industry PE
- Investors are most optimistic about the Insurance Brokers industry, which is trading close to its 3-year average PE ratio of 36.3x.
- Analysts are expecting annual earnings growth of 19.7%, which is higher than its past year's earnings growth of 0.8% per year.
- Investors are most pessimistic about the Life and Health Insurance industry, which is trading below its 3-year average of 43.6x.
Forecasted Growth
- Analysts are most optimistic on the Reinsurance industry, expecting annual earnings growth of 25% over the next 5 years.
- This is better than its past earnings decline of 35% per year.
- In contrast, the Property and Casualty Insurance industry is expected to see its earnings grow by 7.3% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| AJG Arthur J. Gallagher | US$338.27 | 6.7% +US$5.5b | 38.1% | PE55.6x | |
| PGR Progressive | US$283.66 | 2.7% +US$4.3b | 31.7% | PE19.1x | |
| MMC Marsh & McLennan Companies | US$226.70 | 2.1% +US$2.3b | 11.3% | PE27.6x | |
| AON Aon | US$357.93 | 2.3% +US$1.7b | 24.1% | PE30.3x | |
| CB Chubb | US$289.00 | 1.4% +US$1.6b | 14.7% | PE13.7x |
