Erie Indemnity Company operates as a managing attorney-in-fact for the subscribers at the Erie Insurance Exchange in the United States. More Details
No risks detected for ERIE from our risk checks.
Excellent balance sheet average dividend payer.
Share Price & News
How has Erie Indemnity's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ERIE is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: ERIE's weekly volatility (4%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: ERIE exceeded the US Insurance industry which returned -5.8% over the past year.
Return vs Market: ERIE exceeded the US Market which returned 20.7% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Erie Indemnity's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StIs Erie Indemnity Company (NASDAQ:ERIE) A Smart Pick For Income Investors?
1 month ago | Simply Wall StIs Erie Indemnity Company's(NASDAQ:ERIE) Recent Stock Performance Tethered To Its Strong Fundamentals?
2 months ago | Simply Wall StShould You Buy Erie Indemnity Company (NASDAQ:ERIE) For Its Upcoming Dividend?
Is Erie Indemnity undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: ERIE ($226.58) is trading above our estimate of fair value ($106.44)
Significantly Below Fair Value: ERIE is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: ERIE is poor value based on its PE Ratio (40.8x) compared to the US Insurance industry average (14.2x).
PE vs Market: ERIE is poor value based on its PE Ratio (40.8x) compared to the US market (19.7x).
Price to Earnings Growth Ratio
PEG Ratio: ERIE is poor value based on its PEG Ratio (8.1x)
Price to Book Ratio
PB vs Industry: ERIE is overvalued based on its PB Ratio (9.5x) compared to the US Insurance industry average (0.9x).
How is Erie Indemnity forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ERIE's forecast earnings growth (5.1% per year) is above the savings rate (2.2%).
Earnings vs Market: ERIE's earnings (5.1% per year) are forecast to grow slower than the US market (22% per year).
High Growth Earnings: ERIE's earnings are forecast to grow, but not significantly.
Revenue vs Market: ERIE's revenue (2.5% per year) is forecast to grow slower than the US market (10.2% per year).
High Growth Revenue: ERIE's revenue (2.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if ERIE's Return on Equity is forecast to be high in 3 years time
How has Erie Indemnity performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ERIE has high quality earnings.
Growing Profit Margin: ERIE's current net profit margins (11.5%) are lower than last year (13%).
Past Earnings Growth Analysis
Earnings Trend: ERIE's earnings have grown by 13.1% per year over the past 5 years.
Accelerating Growth: ERIE's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: ERIE had negative earnings growth (-9.2%) over the past year, making it difficult to compare to the Insurance industry average (6%).
Return on Equity
High ROE: ERIE's Return on Equity (23.3%) is considered high.
How is Erie Indemnity's financial position?
Financial Position Analysis
Short Term Liabilities: ERIE's short term assets ($792.9M) exceed its short term liabilities ($606.5M).
Long Term Liabilities: ERIE's short term assets ($792.9M) exceed its long term liabilities ($305.7M).
Debt to Equity History and Analysis
Debt Level: ERIE's debt to equity ratio (7.7%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if ERIE's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: ERIE's debt is well covered by operating cash flow (374.8%).
Interest Coverage: ERIE earns more interest than it pays, so coverage of interest payments is not a concern.
What is Erie Indemnity current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: ERIE's dividend (1.7%) is higher than the bottom 25% of dividend payers in the US market (1.47%).
High Dividend: ERIE's dividend (1.7%) is low compared to the top 25% of dividend payers in the US market (4.08%).
Stability and Growth of Payments
Stable Dividend: ERIE's dividends per share have been stable in the past 10 years.
Growing Dividend: ERIE's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (69.6%), ERIE's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Tim NeCastro (60 yo)
Mr. Timothy Gerard NeCastro, also known as Tim, CPA, CIC, is President of Erie Indemnity Company since January 1, 2017 and its Chief Executive Officer since August 2016. Mr. NeCastro is President and Chief...
CEO Compensation Analysis
Compensation vs Market: Tim's total compensation ($USD4.25M) is below average for companies of similar size in the US market ($USD10.83M).
Compensation vs Earnings: Tim's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
|President & CEO||4.25yrs||US$4.25m||0.029% |
|Executive VP & CFO||5.08yrs||US$1.86m||0.0081% |
|Executive VP & Chief Information Officer||8.25yrs||US$1.47m||0.028% |
|Executive Vice President of Claims & Customer Service||9.83yrs||US$1.50m||0.0093% |
|Vice President of Construction Management & Operations||no data||no data||no data|
|Senior VP & Chief Investment Officer||0.33yr||no data||no data|
|Vice President of Capital Management & Investor Relations||8.83yrs||no data||no data|
|Senior VP||no data||no data||0.00085% |
|Executive Vice President of Sales & Products||4yrs||no data||0.0098% |
|Senior Vice President of Sales & Marketing||no data||no data||no data|
|Executive Vice President of Human Resources & Strategy||2.83yrs||no data||0.0038% |
|Senior Vice President of Corporate Services||no data||no data||no data|
Experienced Management: ERIE's management team is considered experienced (4.7 years average tenure).
|Independent Director||3.58yrs||US$182.75k||0.038% |
|Independent Director||4.58yrs||US$167.75k||0.0033% |
|Independent Chairman of the Board||13.25yrs||US$293.95k||32.81% |
|Independent Director||10.58yrs||US$164.25k||0.0015% |
|Independent Director||2.58yrs||US$164.25k||0.00061% |
|Independent Director||17.58yrs||US$157.25k||0.0040% |
|Independent Vice Chairman of the Board||7.83yrs||US$186.75k||0.43% |
|Independent Director||14.58yrs||US$193.25k||0.0015% |
|Independent Director||13.58yrs||US$179.25k||7.57% |
|Independent Director||3.58yrs||US$190.75k||0.00056% |
|Independent Director||4.58yrs||US$170.25k||0.00078% |
Experienced Board: ERIE's board of directors are considered experienced (9.2 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Erie Indemnity Company's company bio, employee growth, exchange listings and data sources
- Name: Erie Indemnity Company
- Ticker: ERIE
- Exchange: NasdaqGS
- Founded: 1925
- Industry: Property and Casualty Insurance
- Sector: Insurance
- Market Cap: US$10.466b
- Shares outstanding: 46.19m
- Website: https://www.erieinsurance.com
Number of Employees
- Erie Indemnity Company
- 100 Erie Insurance Place
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|ERIE||NasdaqGS (Nasdaq Global Select)||Yes||Class A Non-Voting Common Stock||US||USD||Oct 1995|
Erie Indemnity Company operates as a managing attorney-in-fact for the subscribers at the Erie Insurance Exchange in the United States. The company provides sales, underwriting, policy issuance, and renewa...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/11/29 00:19|
|End of Day Share Price||2020/11/27 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.