Erie Indemnity (ERIE): Assessing Valuation After Recent Modest Share Price Rebound

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Oct 24

Erie Indemnity (ERIE) shares have edged up just under 1% over the past day, adding to a modest monthlong climb in the stock. Investors may be taking a closer look at overall valuation, especially ...

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Investors may be taking a closer look at overall valuation, especially ...</p>\n\n<a href=\"https://simplywall.st/stocks/us/insurance/nasdaq-erie/erie-indemnity/news/erie-indemnity-erie-assessing-valuation-after-recent-modest\">Source Link</a>\n\n</div>\n","source":"simplywall_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Erie Indemnity (ERIE): Assessing Valuation After Recent Modest Share Price Rebound</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nErie Indemnity (ERIE): Assessing Valuation After Recent Modest Share Price Rebound\n</h2>\n\n<h4 class=\"meta\">\n\n\n2025-10-24 05:39 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://simplywall.st/stocks/us/insurance/nasdaq-erie/erie-indemnity/news/erie-indemnity-erie-assessing-valuation-after-recent-modest><strong>Simply Wall St.</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Erie Indemnity (ERIE) shares have edged up just under 1% over the past day, adding to a modest monthlong climb in the stock. Investors may be taking a closer look at overall valuation, especially ...</p>\n\n<a href=\"https://simplywall.st/stocks/us/insurance/nasdaq-erie/erie-indemnity/news/erie-indemnity-erie-assessing-valuation-after-recent-modest\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BK4107","symbol_name":"财产与意外伤害保险","start_time":0,"source_url":"https://simplywall.st/stocks/us/insurance/nasdaq-erie/erie-indemnity/news/erie-indemnity-erie-assessing-valuation-after-recent-modest","article_id":"2577521552","we_media_id":null,"thumbnails":["https://images.simplywall.st/asset/industry/7214000-choice1-main-header/1585186744718"],"rights":{"source":"simplywall_highlight","url":"https://simplywall.st/stocks/us/insurance/nasdaq-erie/erie-indemnity/news/erie-indemnity-erie-assessing-valuation-after-recent-modest","rn_cache_url":null,"directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=2577521552","pubTimestamp":1761255587,"columns":[],"sourceInfo":{"source_id":"simplywall_highlight","name":"Simply Wall St."},"weMediaInfo":null,"summary":"Erie Indemnity (ERIE) shares have edged up just under 1% over the past day, adding to a modest monthlong climb in the stock. Investors may be taking a closer look at overall valuation, especially after recent returns.\nSee our latest analysis for Erie Indemnity.\nOver the past year, Erie Indemnity’s momentum has faded, with a total shareholder return of -27.85% and the share price still easing back from 2023’s seasonal highs. Even so, the recent 7-day share price return of 4.41% suggests that...","collect":0,"end_time":0,"defaultTopTitle":"simplywall.st","property":[],"viewcount":null,"language":"en","relate_stocks":{"BK4107":"财产与意外伤害保险","ERIE":"伊瑞保险","DCF":"Dreyfus Alcentra Global Credit Income 2024 Target Term Fund, Inc"},"translate_title":"伊利赔偿公司（ERIE）：近期股价小幅反弹后评估估值","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"DCF":1,"ERIE":1.5},"content_text":"Erie Indemnity (ERIE) shares have edged up just under 1% over the past day, adding to a modest monthlong climb in the stock. Investors may be taking a closer look at overall valuation, especially after recent returns. See our latest analysis for Erie Indemnity. Over the past year, Erie Indemnity’s momentum has faded, with a total shareholder return of -27.85% and the share price still easing back from 2023’s seasonal highs. Even so, the recent 7-day share price return of 4.41% suggests that some investors may be sensing opportunity after the pullback, especially as the broader industry outlook remains uncertain. If you’re looking to spot what’s catching attention beyond Erie, now is the perfect time to discover fast growing stocks with high insider ownership. With shares still recovering from last year’s steep pullback, the question now is whether Erie Indemnity is trading at a compelling valuation or if all the upside has already been factored in by the market. AdvertisementPrice-to-Earnings of 27.3x: Is it justified? Erie Indemnity is currently trading at a price-to-earnings (P/E) ratio of 27.3x, which is significantly higher than both the US Insurance industry average (13.9x) and its peer group average (13.7x). At a last close of $325.69, this reflects a substantial premium compared to similar companies. The price-to-earnings ratio measures how much investors are willing to pay for each dollar of earnings and is commonly used for established, consistently profitable businesses such as insurance firms. A high P/E typically signals expectations for robust future growth or premium business quality. However, Erie’s elevated P/E stands out sharply against the industry’s backdrop and far exceeds the estimated fair price-to-earnings ratio of 16.3x. This suggests the stock may be richly valued based on current earnings relative to both the sector and what regression analysis considers a fair level for its profile. Unless Erie delivers above-industry growth or unique advantages, the market could eventually reconcile its multiple down toward the fair ratio. Explore the SWS fair ratio for Erie Indemnity Result: Price-to-Earnings of 27.3x (OVERVALUED) However, recent softer revenue growth and a steep year-to-date decline could signal cracks in the elevated market optimism for Erie Indemnity. Find out about the key risks to this Erie Indemnity narrative. Another View: Our DCF Model Offers a Different Take While the high price-to-earnings ratio points to an expensive stock, our SWS DCF model presents an even starker picture. ERIE is currently trading at $325.69, which is well above our estimate of fair value at $204.3. This suggests a deeper disconnect between price and fundamentals. Does this mean the stock is due for a correction, or is there more to the story? Look into how the SWS DCF model arrives at its fair value. ERIE Discounted Cash Flow as at Oct 2025Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out Erie Indemnity for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover undervalued stocks based on their cash flows. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity.  Build Your Own Erie Indemnity Narrative If you think there's more to the numbers or you’d rather dig a little deeper yourself, shaping your own view is quick and easy. Do it your way. A good starting point is our analysis highlighting 3 key rewards investors are optimistic about regarding Erie Indemnity. Looking for more investment ideas? Don’t let the best stocks slip by you. Now is your chance to shape a more dynamic, forward-looking portfolio with the right tools.  Maximize potential returns by targeting these 878 undervalued stocks based on cash flows companies that the market has overlooked, delivering exceptional fundamentals at attractive valuations. Capitalize on groundbreaking trends, and stay ahead with these 27 AI penny stocks fueling rapid innovation in artificial intelligence applications and services. Lock in lasting passive income by uncovering these 17 dividend stocks with yields > 3% offering market-beating yields and proven payout histories.   This article by Simply Wall St is general in nature. We provide commentary based on historical data\n    and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your\n    financial situation. We aim to bring you long-term focused analysis driven by fundamental data.\n    Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.\n    Simply Wall St has no position in any stocks mentioned.Valuation is complex, but we're here to simplify it.Discover if Erie Indemnity might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.Access Free AnalysisHave feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":0,"need_auth":false,"code":"91000000","status":"200"}}}