Essent Valuation

ESNT Stock  USD 64.19  1.14  1.81%   
At this time, the firm appears to be fairly valued. Essent Group shows a prevailing Real Value of $66.06 per share. The current price of the firm is $64.19. Our model computes the value of Essent Group from reviewing the firm fundamentals such as Shares Outstanding of 96.67 M, profit margin of 0.56 %, and Current Valuation of 6.56 B as well as analyzing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Essent's valuation include:
Price Book
1.062
Enterprise Value
6.6 B
Price Sales
5.0056
Forward PE
8.5837
Trailing PE
9.17
Fairly Valued
Today
64.19
Please note that Essent's price fluctuation is very steady at this time. Calculation of the real value of Essent Group is based on 3 months time horizon. Increasing Essent's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Essent's intrinsic value may or may not be the same as its current market price of 64.19, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  64.19 Real  66.06 Target  68.63 Hype  64.1 Naive  67.28
The intrinsic value of Essent's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Essent's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
66.06
Real Value
67.45
Upside
Estimating the potential upside or downside of Essent Group helps investors to forecast how Essent stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Essent more accurately as focusing exclusively on Essent's fundamentals will not take into account other important factors:
Earnings
Estimates
LowProjectedHigh
1.741.741.78
Details
Hype
Prediction
LowEstimatedHigh
62.7164.1065.49
Details
Potential
Annual Dividend
LowForecastedHigh
0.970.991.01
Details
8 Analysts
Consensus
LowTarget PriceHigh
62.4568.6276.17
Details
Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Essent's intrinsic value based on its ongoing forecasts of Essent's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Essent's closest peers.

Essent Cash

103.22 Million

Essent Revenue by Product

Essent Total Value Analysis

Essent Group is currently estimated to have valuation of 6.56 B with market capitalization of 6.32 B, debt of 493.96 M, and cash on hands of 433.48 M. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Essent fundamentals before making equity appraisal based on enterprise value of the company
  Takeover PriceMarket CapDebt ObligationsCash
6.56 B
6.32 B
493.96 M
433.48 M

Essent Investor Information

About 98.0% of the company shares are held by institutions such as insurance companies. The company has price-to-book (P/B) ratio of 1.06. Some equities with similar Price to Book (P/B) outperform the market in the long run. Essent Group has Price/Earnings To Growth (PEG) ratio of 0.84. The entity recorded earning per share (EPS) of 7.0. The firm last dividend was issued on the 1st of December 2025. Based on the key indicators related to Essent's liquidity, profitability, solvency, and operating efficiency, Essent Group may be sliding down financialy. It has an above-average chance of going through some form of financial crunch next quarter.

Essent Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Essent has an asset utilization ratio of 17.82 percent. This implies that the Company is making $0.18 for each dollar of assets. An increasing asset utilization means that Essent Group is more efficient with each dollar of assets it utilizes for everyday operations.
 
Yuan Drop
 
Covid
 
Interest Hikes

Essent Profitability Analysis

Based on Essent's profitability indicators, Essent's profitability may be sliding down. It has an above-average chance of reporting lower numbers next quarter. Profitability indicators assess Essent's ability to earn profits and add value for shareholders.
 
Net Income  
First Reported
2011-12-31
Previous Quarter
195.3 M
Current Value
164.2 M
Quarterly Volatility
71.9 M
 
Yuan Drop
 
Covid
 
Interest Hikes
At this time, Essent's Gross Profit is comparatively stable compared to the past year. Pretax Profit Margin is likely to gain to 0.64 in 2026, whereas Gross Profit Margin is likely to drop 0.77 in 2026.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.770.84
Significantly Down
Slightly volatile
For Essent profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Essent Group to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Essent utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Essent's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Essent over time as well as its relative position and ranking within its peers.

Essent Earnings per Share Projection vs Actual

The next projected EPS of Essent is estimated to be 1.74 with future projections ranging from a low of 1.7375 to a high of 1.7771. Essent's most recent 12-month trailing earnings per share (EPS TTM) is at 7.0. Please be aware that the consensus of earnings estimates for Essent Group is based on EPS before non-recurring items and includes expenses related to employee stock options.
 
Yuan Drop
 
Covid
 
Interest Hikes
Essent is projected to generate 1.74 in earnings per share on the 31st of December 2025. Essent earnings estimates show analyst consensus about projected Essent EPS (Earning Per Share). It derives the highest and the lowest estimates based on Essent's historical volatility. Many public companies, such as Essent, manage the perception of their earnings on a regular basis to make sure that analyst estimates are accurate. Future earnings calculations are also an essential input when attempting to value a firm.

Essent Earnings Estimation Breakdown

The calculation of Essent's earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Essent is estimated to be 1.74 with the future projection ranging from a low of 1.7375 to a high of 1.7771. Please be aware that this consensus of annual earnings estimates for Essent Group is based on EPS before non-recurring items and includes expenses related to employee stock options.
Last Reported EPS
1.67
1.74
Lowest
Expected EPS
1.74
1.78
Highest

Essent Earnings Projection Consensus

Suppose the current estimates of Essent's value are higher than the current market price of the Essent stock. In this case, investors may conclude that Essent is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Essent's stock will quickly adjusts to the new information provided by the consensus estimate.
Number of AnalystsHistorical AccuracyLast Reported EPSEstimated EPS for 31st of December 2025Current EPS (TTM)
891.29%
1.67
1.74
7.0

Essent Ownership Allocation

Essent holds a total of 96.67 Million outstanding shares. The majority of Essent Group outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to obtain positions in Essent Group to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Essent. Please pay attention to any change in the institutional holdings of Essent Group as this could imply that something significant has changed or is about to change at the company. Also note that almost three million four hundred ninety-nine thousand two hundred seventy-seven invesors are currently shorting Essent expressing very little confidence in its future performance.

Essent Profitability Analysis

The company reported the previous year's revenue of 1.27 B. Net Income was 729.4 M with profit before overhead, payroll, taxes, and interest of 1.02 B.

Essent Past Distributions to stockholders

About Essent Valuation

The stock valuation mechanism determines Essent's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Essent Group based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Essent. We calculate exposure to Essent's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Essent's related companies.
Last ReportedProjected for Next Year
Gross Profit1.4 B1.4 B
Pretax Profit Margin 0.61  0.64 
Operating Profit Margin 0.61  0.64 
Net Profit Margin 0.52  0.54 
Gross Profit Margin 0.84  0.77 
Essent's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Essent's value is low or high relative to the company's performance and growth projections. Determining the market value of Essent can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Essent represents a small ownership stake in the entity. As a stockholder of Essent, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

Essent Dividends Analysis For Valuation

Dividends Paid is likely to gain to about (100.9 M) in 2026. Dividend Yield is likely to drop to 0.01 in 2026. At this time, Essent's Retained Earnings are comparatively stable compared to the past year. Retained Earnings Total Equity is likely to gain to about 4.2 B in 2026, whereas Earnings Yield is likely to drop 0.07 in 2026.
Last ReportedProjected for Next Year
Dividends Paid-106.2 M-100.9 M
Dividend Yield 0.02  0.01 
Dividend Payout Ratio 0.15  0.08 
Dividend Paid And Capex Coverage Ratio 7.94  7.54 
There are various types of dividends Essent can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Essent shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Essent Group directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Essent pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Essent by the value of the dividends paid out.

Essent Growth Indicators

Investing in growth stocks can be very risky. If the company such as Essent does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Common Stock Shares Outstanding106.5 M
Quarterly Earnings Growth Y O Y0.012
Forward Price Earnings8.5837

Essent Current Valuation Indicators

Essent's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Essent's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Essent, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Essent's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Essent's worth.

Additional Tools for Essent Stock Analysis

When running Essent's price analysis, check to measure Essent's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Essent is operating at the current time. Most of Essent's value examination focuses on studying past and present price action to predict the probability of Essent's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Essent's price. Additionally, you may evaluate how the addition of Essent to your portfolios can decrease your overall portfolio volatility.