Is Erie Indemnity Stock a Good Investment?
Erie Indemnity Investment Advice | ERIE |
- Examine Erie Indemnity's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Erie Indemnity's leadership team and their track record. Good management can help Erie Indemnity navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Property & Casualty Insurance space and any emerging trends that could impact Erie Indemnity's business and its evolving consumer preferences.
- Compare Erie Indemnity's performance and market position to its competitors. Analyze how Erie Indemnity is positioned in terms of product offerings, innovation, and market share.
- Check if Erie Indemnity pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Erie Indemnity's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Erie Indemnity stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Erie Indemnity is a good investment.
Sell | Buy |
Hold
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Possible Manipulator | Details |
Examine Erie Indemnity Stock
Researching Erie Indemnity's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 46.0% of the company shares are held by company insiders. The company recorded earning per share (EPS) of 10.68. Erie Indemnity last dividend was issued on the 7th of January 2025. The entity had 3:1 split on the 13th of May 1996.
To determine if Erie Indemnity is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Erie Indemnity's research are outlined below:
| Erie Indemnity generated a negative expected return over the last 90 days | |
| About 46.0% of the company shares are held by company insiders | |
| Latest headline from finance.yahoo.com: A. Duie Pyle Strengthens Northeast Footprint with New Facility Opening in Pennsylvania |
Erie Indemnity uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Erie Indemnity. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Erie Indemnity's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 6th of March 2024 Upcoming Quarterly Report | View | |
| 25th of April 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 6th of March 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Erie Indemnity's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Erie Indemnity's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2001-02-21 | 2000-12-31 | 0.5 | 0.45 | -0.05 | 10 | ||
2000-04-19 | 2000-03-31 | 0.45 | 0.5 | 0.05 | 11 | ||
1999-07-20 | 1999-06-30 | 0.48 | 0.53 | 0.05 | 10 | ||
2000-07-19 | 2000-06-30 | 0.52 | 0.59 | 0.07 | 13 | ||
2016-02-25 | 2015-12-31 | 0.65 | 0.57 | -0.08 | 12 | ||
2001-07-19 | 2001-06-30 | 0.56 | 0.64 | 0.08 | 14 | ||
2014-05-01 | 2014-03-31 | 0.78 | 0.87 | 0.09 | 11 | ||
2010-02-25 | 2009-12-31 | 0.48 | 0.39 | -0.09 | 18 |
Know Erie Indemnity's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Erie Indemnity is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Erie Indemnity backward and forwards among themselves. Erie Indemnity's institutional investor refers to the entity that pools money to purchase Erie Indemnity's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Dimensional Fund Advisors, Inc. | 2024-09-30 | 184.8 K | Northern Trust Corp | 2024-09-30 | 163.9 K | Charles Schwab Investment Management Inc | 2024-09-30 | 142.6 K | Bank Of New York Mellon Corp | 2024-09-30 | 132.6 K | Legal & General Group Plc | 2024-09-30 | 122.2 K | Atlantic Union Bankshares Corp | 2024-09-30 | 112.4 K | Goldman Sachs Group Inc | 2024-09-30 | 102.3 K | Barclays Plc | 2024-09-30 | 89.6 K | Swiss National Bank | 2024-09-30 | 75.1 K | Pnc Financial Services Group Inc | 2024-09-30 | 4.9 M | Vanguard Group Inc | 2024-09-30 | 2.9 M |
Erie Indemnity's market capitalization trends
The company currently falls under 'Large-Cap' category with a current market capitalization of 21.21 B.Market Cap |
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Erie Indemnity's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.16 | 0.10 | |
| Return On Capital Employed | 0.34 | 0.36 | |
| Return On Assets | 0.16 | 0.17 | |
| Return On Equity | 0.24 | 0.17 |
Determining Erie Indemnity's profitability involves analyzing its financial statements and using various financial metrics to determine if Erie Indemnity is a good buy. For example, gross profit margin measures Erie Indemnity's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Erie Indemnity's profitability and make more informed investment decisions.
Please note, the presentation of Erie Indemnity's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Erie Indemnity's management is honest, while the outside auditors are strict and uncompromising. Please utilize our Beneish M Score to check the likelihood of Erie Indemnity's management manipulating its earnings.
Evaluate Erie Indemnity's management efficiency
Erie Indemnity has return on total asset (ROA) of 0.1575 % which means that it generated a profit of $0.1575 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of 0.3142 %, meaning that it created $0.3142 on every $100 dollars invested by stockholders. Erie Indemnity's management efficiency ratios could be used to measure how well Erie Indemnity manages its routine affairs as well as how well it operates its assets and liabilities. At present, Erie Indemnity's Return On Assets are projected to increase slightly based on the last few years of reporting. At present, Erie Indemnity's Non Current Assets Total are projected to increase significantly based on the last few years of reporting. The current year's Non Currrent Assets Other is expected to grow to about 175 M, whereas Total Current Assets are forecasted to decline to about 816.3 M.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 32.40 | 27.66 | |
| Tangible Book Value Per Share | 33.37 | 24.73 | |
| Enterprise Value Over EBITDA | 23.15 | 24.31 | |
| Price Book Value Ratio | 8.37 | 4.34 | |
| Enterprise Value Multiple | 23.15 | 24.31 | |
| Price Fair Value | 8.37 | 4.34 | |
| Enterprise Value | 13.9 B | 14.6 B |
The operational strategies employed by Erie Indemnity management play a crucial role in its market positioning. Assessing these strategies alongside financial data helps us evaluate the stock's investment potential.
Basic technical analysis of Erie Stock
As of the 18th of January 2025, Erie Indemnity shows the Variance of 3.86, standard deviation of 1.96, and Mean Deviation of 1.41. Erie Indemnity technical analysis allows you to utilize historical prices and volume patterns in order to determine a pattern that computes the direction of the firm's future prices. Please confirm Erie Indemnity information ratio, as well as the relationship between the value at risk and kurtosis to decide if Erie Indemnity is priced favorably, providing market reflects its regular price of 405.57 per share. Given that Erie Indemnity has information ratio of (0.20), we urge you to verify Erie Indemnity's prevailing market performance to make sure the company can sustain itself at a future point.Erie Indemnity's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Erie Indemnity insiders, such as employees or executives, is commonly permitted as long as it does not rely on Erie Indemnity's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Erie Indemnity insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Erie Indemnity's Outstanding Corporate Bonds
Erie Indemnity issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Erie Indemnity uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Erie bonds can be classified according to their maturity, which is the date when Erie Indemnity has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
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Understand Erie Indemnity's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Erie Indemnity's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.16) | |||
| Market Risk Adjusted Performance | (0.77) | |||
| Mean Deviation | 1.41 | |||
| Coefficient Of Variation | (499.49) | |||
| Standard Deviation | 1.96 | |||
| Variance | 3.86 | |||
| Information Ratio | (0.20) | |||
| Jensen Alpha | (0.40) | |||
| Total Risk Alpha | (0.40) | |||
| Treynor Ratio | (0.78) | |||
| Maximum Drawdown | 9.75 | |||
| Value At Risk | (3.12) | |||
| Potential Upside | 1.99 | |||
| Skewness | (0.94) | |||
| Kurtosis | 2.77 |
| Risk Adjusted Performance | (0.16) | |||
| Market Risk Adjusted Performance | (0.77) | |||
| Mean Deviation | 1.41 | |||
| Coefficient Of Variation | (499.49) | |||
| Standard Deviation | 1.96 | |||
| Variance | 3.86 | |||
| Information Ratio | (0.20) | |||
| Jensen Alpha | (0.40) | |||
| Total Risk Alpha | (0.40) | |||
| Treynor Ratio | (0.78) | |||
| Maximum Drawdown | 9.75 | |||
| Value At Risk | (3.12) | |||
| Potential Upside | 1.99 | |||
| Skewness | (0.94) | |||
| Kurtosis | 2.77 |
Consider Erie Indemnity's intraday indicators
Erie Indemnity intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Erie Indemnity stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
| Accumulation Distribution | 2242.77 | |||
| Daily Balance Of Power | (0.01) | |||
| Rate Of Daily Change | 1.0 | |||
| Day Median Price | 409.44 | |||
| Day Typical Price | 408.15 | |||
| Market Facilitation Index | 1.0E-4 | |||
| Price Action Indicator | (3.91) | |||
| Period Momentum Indicator | (0.09) |
Erie Indemnity Corporate Filings
F3 | 3rd of January 2025 The report used by insiders such as officers, directors, and major shareholders (beneficial owners holding more than 10% of any class of the company's equity securities) to declare their ownership of a company's stock | ViewVerify |
F4 | 2nd of January 2025 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
8K | 17th of December 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
13A | 14th of November 2024 An amended filing to the original Schedule 13G | ViewVerify |
Erie Stock media impact
Far too much social signal, news, headlines, and media speculation about Erie Indemnity that are available to investors today. That information is available publicly through Erie media outlets and privately through word of mouth or via Erie internal channels. However, regardless of the origin, that massive amount of Erie data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Erie Indemnity news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Erie Indemnity relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Erie Indemnity's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Erie Indemnity alpha.
Erie Indemnity Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Erie Indemnity can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Erie Indemnity Historical Investor Sentiment
Investor biases related to Erie Indemnity's public news can be used to forecast risks associated with an investment in Erie. The trend in average sentiment can be used to explain how an investor holding Erie can time the market purely based on public headlines and social activities around Erie Indemnity. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Erie Indemnity's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Erie Indemnity and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Erie Indemnity news discussions. The higher the estimate score, the more favorable the investor's outlook on Erie Indemnity.
Erie Indemnity Maximum Pain Price Across March 21st 2025 Option Contracts
Erie Indemnity's options can also be used to analyze investors' bias and current market sentiment in the context of behavioral finance. For example, Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of Erie Indemnity close to the expiration of its current option contract to expire worthlessly. According to most research, about 35% of options are not executed, with roughly 50% traded out before expiration. So, Max pain occurs when market makers reach a net favorable position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthlessly. Please continue to view the detailed analysis of Erie Indemnity's options.
Erie Indemnity Corporate Management
| CPCU CPA | Ex CFO | Profile | |
| Marc CIC | Senior Underwriting | Profile | |
| Charles CIC | Senior Marketing | Profile | |
| Jeffrey CPCU | Senior Services | Profile | |
| CPCU FCAS | Ex Products | Profile | |
| Ronald Habursky | Senior Officer | Profile | |
| Bill Matrogran | Vice Operations | Profile |
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Erie Indemnity. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in gross domestic product. For information on how to trade Erie Stock refer to our How to Trade Erie Stock guide.You can also try the Volatility Analysis module to get historical volatility and risk analysis based on latest market data.
Is Property & Casualty Insurance space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Erie Indemnity. If investors know Erie will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Erie Indemnity listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.22 | Dividend Share 5.1 | Earnings Share 10.68 | Revenue Per Share | Quarterly Revenue Growth 0.164 |
The market value of Erie Indemnity is measured differently than its book value, which is the value of Erie that is recorded on the company's balance sheet. Investors also form their own opinion of Erie Indemnity's value that differs from its market value or its book value, called intrinsic value, which is Erie Indemnity's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Erie Indemnity's market value can be influenced by many factors that don't directly affect Erie Indemnity's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Erie Indemnity's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Erie Indemnity is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Erie Indemnity's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.