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EIG Stock Analysis 2026 - Employers Holdings, Inc. AI Rating

EIG NYSE Fire, Marine & Casualty Insurance NV CIK: 0001379041
Recently Updated • Analysis: Mar 24, 2026 • SEC Data: 2025-12-31
SELL
75% Conf
Pending
Analysis scheduled

📊 EIG Key Takeaways

Revenue: $858.7M
Net Margin: 1.3%
Free Cash Flow: $44.6M
Current Ratio: N/A
Debt/Equity: 0.02x
EPS: $0.46
AI Rating: SELL with 75% confidence

Is EIG a Good Investment? Thesis Analysis

Claude

Employers Holdings faces significant profitability deterioration with net income collapsing 90.9% YoY despite stable revenue, resulting in severely depressed margins and returns on equity/assets. The company's workers' compensation insurance business is experiencing margin compression that threatens long-term value creation, though balance sheet leverage remains conservative.

Why Buy EIG? Key Strengths

Claude
  • + Conservative capital structure with minimal leverage (0.02x Debt/Equity ratio) and $159.8M cash reserves
  • + Positive free cash flow generation of $44.6M demonstrates operational cash conversion capability
  • + Workers' compensation insurance market provides stable, recurring premium revenue base

EIG Investment Risks to Consider

Claude
  • ! Dramatic 90.9% net income decline with net margin compressed to just 1.3% signals either pricing pressure, claims deterioration, or increased underwriting losses
  • ! Operating margin of only 4.8% with ROE of 1.1% and ROA of 0.3% indicate severely diminished capital efficiency and returns for shareholders
  • ! Revenue contraction of 2.5% YoY combined with net income collapse suggests loss of competitive positioning or adverse claims experience in core business

Key Metrics to Watch

Claude
  • * Combined ratio (loss + expense ratio) trend - critical for workers' compensation underwriting health
  • * Premium volume growth and pricing dynamics to determine if 2.5% revenue decline continues
  • * Claims frequency and severity trends affecting underwriting profitability and loss reserves adequacy

EIG Financial Metrics

Revenue
$858.7M
Net Income
$10.8M
EPS (Diluted)
$0.46
Free Cash Flow
$44.6M
Total Assets
$3.4B
Cash Position
$159.8M

💡 AI Analyst Insight

The current ratio below 1.0x warrants monitoring of short-term liquidity.

EIG Profitability Ratios

Gross Margin N/A
Operating Margin 4.8%
Net Margin 1.3%
ROE 1.1%
ROA 0.3%
FCF Margin 5.2%

EIG vs Finance Sector

How Employers Holdings, Inc. compares to Finance sector averages

Net Margin
EIG 1.3%
vs
Sector Avg 25.0%
EIG Sector
ROE
EIG 1.1%
vs
Sector Avg 12.0%
EIG Sector
Current Ratio
EIG 0.0x
vs
Sector Avg 1.2x
EIG Sector
Debt/Equity
EIG 0.0x
vs
Sector Avg 2.0x
EIG Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is EIG Overvalued or Undervalued?

Based on fundamental analysis, Employers Holdings, Inc. has mixed fundamental signals relative to the Finance sector in 2026.

Return on Equity
1.1%
Sector avg: 12%
Net Profit Margin
1.3%
Sector avg: 25%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.02x
Sector avg: 2x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

EIG Balance Sheet & Liquidity

Current Ratio
N/A
Quick Ratio
N/A
Debt/Equity
0.02x
Debt/Assets
72.2%
Interest Coverage
N/A
Long-term Debt
$19.0M

EIG 5-Year Financial Trend & Growth Analysis

EIG 5-year financial data: Year 2021: Revenue $835.9M, Net Income $157.1M, EPS $4.83. Year 2022: Revenue $713.5M, Net Income $119.8M, EPS $3.97. Year 2023: Revenue $850.9M, Net Income $119.3M, EPS $4.17. Year 2024: Revenue $880.7M, Net Income $48.4M, EPS $1.75. Year 2025: Revenue $880.7M, Net Income $118.1M, EPS $4.45.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Employers Holdings, Inc.'s revenue has shown modest growth of 5% over the 5-year period. The most recent EPS of $4.45 reflects profitable operations.

EIG Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
5.2%
Free cash flow / Revenue

EIG Quarterly Performance

Quarterly financial performance data for Employers Holdings, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $224.0M -$8.3M $-0.36
Q2 2025 $217.0M $29.7M $1.23
Q1 2025 $202.6M $12.8M $0.52
Q3 2024 $203.5M $14.0M $0.54
Q1 2024 $206.5M $23.6M $0.86
Q3 2023 $203.5M $1.3M $0.05
Q2 2023 $135.3M -$15.6M $-0.56
Q1 2023 $152.0M -$2.3M $-0.08

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

EIG Capital Allocation

Operating Cash Flow
$44.7M
Cash generated from operations
Stock Buybacks
$182.8M
Shares repurchased (TTM)
Capital Expenditures
$100.0K
Investment in assets
Dividends Paid
$29.9M
Returned to shareholders

EIG SEC 10-K & 10-Q Filing Analysis

Access official SEC EDGAR filings for Employers Holdings, Inc. (CIK: 0001379041)

📋 Recent SEC Filings

Date Form Document Action
Mar 20, 2026 4 xslF345X06/wk-form4_1774038706.xml View →
Mar 20, 2026 4 xslF345X06/wk-form4_1774038662.xml View →
Mar 20, 2026 4 xslF345X06/wk-form4_1774038617.xml View →
Mar 20, 2026 4 xslF345X06/wk-form4_1774038512.xml View →
Mar 20, 2026 4 xslF345X06/wk-form4_1774038470.xml View →

Frequently Asked Questions about EIG

What is the AI rating for EIG?

Employers Holdings, Inc. (EIG) has an AI rating of SELL with 75% confidence, based on fundamental analysis of SEC EDGAR filings.

What are EIG's key strengths?

Claude: Conservative capital structure with minimal leverage (0.02x Debt/Equity ratio) and $159.8M cash reserves. Positive free cash flow generation of $44.6M demonstrates operational cash conversion capability.

What are the risks of investing in EIG?

Claude: Dramatic 90.9% net income decline with net margin compressed to just 1.3% signals either pricing pressure, claims deterioration, or increased underwriting losses. Operating margin of only 4.8% with ROE of 1.1% and ROA of 0.3% indicate severely diminished capital efficiency and returns for shareholders.

What is EIG's revenue and growth?

Employers Holdings, Inc. reported revenue of $858.7M.

Does EIG pay dividends?

Employers Holdings, Inc. pays dividends, with $29.9M distributed to shareholders in the trailing twelve months.

Where can I find EIG SEC filings?

Official SEC filings for Employers Holdings, Inc. (CIK: 0001379041) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is EIG's EPS?

Employers Holdings, Inc. has a diluted EPS of $0.46.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.

Is EIG a good stock to buy right now?

Based on our AI fundamental analysis in March 2026, Employers Holdings, Inc. has a SELL rating with 75% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is EIG stock overvalued or undervalued?

Valuation metrics for EIG: ROE of 1.1% (sector avg: 12%), net margin of 1.3% (sector avg: 25%). Compare these metrics with sector averages to assess valuation.

Should I buy EIG stock in 2026?

Our dual AI analysis gives Employers Holdings, Inc. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is EIG's free cash flow?

Employers Holdings, Inc.'s operating cash flow is $44.7M, with capital expenditures of $100.0K. FCF margin is 5.2%.

How does EIG compare to other Finance stocks?

Vs Finance sector averages: Net margin 1.3% (avg: 25%), ROE 1.1% (avg: 12%), current ratio N/A (avg: 1.2).

Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Mar 24, 2026 | Data as of: 2025-12-31 | Powered by Claude AI