📊 ERIE Key Takeaways
Is Erie Indemnity Co (ERIE) a Good Investment?
Erie Indemnity demonstrates exceptional financial health with strong profitability (17.6% operating margin, 13.8% net margin), robust returns on equity (24.5%) and assets (16.7%), and zero debt providing maximum financial flexibility. The company generates substantial free cash flow of $571M with a 14% FCF margin, supported by consistent operating cash flow of $686.7M, while maintaining a solid balance sheet with $2.3B in equity against only $1.1B in liabilities.
ERIE INDEMNITY CO shows strong core fundamentals, with solid revenue growth, healthy double-digit operating and free cash flow margins, and very high returns on equity and assets. The balance sheet is notably conservative with no long-term debt and ample liquidity, which supports resilience. The main caution is that net income declined year over year despite revenue growth, suggesting some pressure on expense control or earnings quality that should be monitored.
Why Buy Erie Indemnity Co Stock? ERIE Key Strengths
- Zero long-term debt with strong balance sheet leverage (0.0x debt-to-equity)
- Excellent profitability metrics with 24.5% ROE and 16.7% ROA significantly above insurance sector averages
- Strong free cash flow generation of $571M representing 14% of revenue, demonstrating high-quality earnings
- Revenue growth of 7.2% YoY combined with solid operating cash flow of $686.7M shows sustainable business model
- High insider activity with 51 Form 4 filings in 90 days suggests management confidence
- Consistent top-line growth with revenue up 7.2% year over year
- Strong profitability profile with 17.6% operating margin, 13.8% net margin, and high ROE/ROA
- Excellent financial health driven by zero long-term debt and robust free cash flow generation
ERIE Stock Risks: Erie Indemnity Co Investment Risks
- Net income declined 6.8% YoY despite 7.2% revenue growth, indicating margin compression or underwriting challenges
- Current ratio of 1.27x is modest for an insurance company, potentially limiting short-term liquidity flexibility
- Insurance sector faces inherent exposure to catastrophic losses, policy concentration risk, and regulatory changes
- Operating margin of 17.6% contraction trend requires monitoring to ensure profitability sustainability
- Net income fell 6.8% year over year despite higher revenue
- Liquidity is adequate but not exceptionally strong at a 1.27x current ratio
- Growth quality could weaken if margin compression continues or cash conversion declines
Key Metrics to Watch
- Net income trend and margin recovery relative to revenue growth
- Operating cash flow stability and free cash flow generation sustainability
- Combined ratio and underwriting profitability metrics (if available in next filings)
- Balance sheet liquidity ratios and cash position adequacy for claims payments
- Net income and operating margin trend
- Free cash flow and operating cash flow conversion
Erie Indemnity Co (ERIE) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Erie Indemnity Co presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
ERIE Profit Margin, ROE & Profitability Analysis
ERIE vs Finance Sector: How Erie Indemnity Co Compares
How Erie Indemnity Co compares to Finance sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Erie Indemnity Co Stock Overvalued? ERIE Valuation Analysis 2026
Based on fundamental analysis, Erie Indemnity Co has mixed fundamental signals relative to the Finance sector in 2026.
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.
Erie Indemnity Co Balance Sheet: ERIE Debt, Cash & Liquidity
ERIE Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Erie Indemnity Co's revenue has grown significantly by 54% over the 5-year period, indicating strong business expansion.
ERIE Revenue Growth, EPS Growth & YoY Performance
ERIE Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $999.9M | $124.6M | N/A |
| Q2 2025 | $990.4M | $124.6M | N/A |
| Q1 2025 | $880.7M | $124.6M | N/A |
| Q3 2024 | $858.9M | $86.2M | N/A |
| Q2 2024 | $839.9M | $86.2M | N/A |
| Q1 2024 | $752.5M | $86.2M | N/A |
| Q3 2023 | $741.2M | $68.6M | N/A |
| Q2 2023 | $726.1M | $68.6M | N/A |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Erie Indemnity Co Dividends, Buybacks & Capital Allocation
ERIE SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Erie Indemnity Co (CIK: 0000922621)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| Apr 1, 2026 | 4 | xslF345X06/wk-form4_1775064619.xml | View → |
| Apr 1, 2026 | 4 | xslF345X06/wk-form4_1775064290.xml | View → |
| Apr 1, 2026 | 4 | xslF345X06/wk-form4_1775063780.xml | View → |
| Apr 1, 2026 | 4 | xslF345X06/wk-form4_1775062695.xml | View → |
| Apr 1, 2026 | 4 | xslF345X06/wk-form4_1775061884.xml | View → |
❓ Frequently Asked Questions about ERIE
What is the AI rating for ERIE?
Erie Indemnity Co (ERIE) has a Combined AI Rating of BUY from Claude (STRONG BUY) and ChatGPT (BUY) with 83% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are ERIE's key strengths?
Claude: Zero long-term debt with strong balance sheet leverage (0.0x debt-to-equity). Excellent profitability metrics with 24.5% ROE and 16.7% ROA significantly above insurance sector averages. ChatGPT: Consistent top-line growth with revenue up 7.2% year over year. Strong profitability profile with 17.6% operating margin, 13.8% net margin, and high ROE/ROA.
What are the risks of investing in ERIE?
Claude: Net income declined 6.8% YoY despite 7.2% revenue growth, indicating margin compression or underwriting challenges. Current ratio of 1.27x is modest for an insurance company, potentially limiting short-term liquidity flexibility. ChatGPT: Net income fell 6.8% year over year despite higher revenue. Liquidity is adequate but not exceptionally strong at a 1.27x current ratio.
What is ERIE's revenue and growth?
Erie Indemnity Co reported revenue of $4.1B.
Does ERIE pay dividends?
Erie Indemnity Co pays dividends, with $254.3M distributed to shareholders in the trailing twelve months.
Where can I find ERIE SEC filings?
Official SEC filings for Erie Indemnity Co (CIK: 0000922621) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is ERIE's EPS?
Erie Indemnity Co has a diluted EPS of $491.00.
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 ERIE a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Erie Indemnity Co has a BUY rating with 83% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is ERIE stock overvalued or undervalued?
Valuation metrics for ERIE: ROE of 24.5% (sector avg: 12%), net margin of 13.8% (sector avg: 25%). Higher ROE suggests strong returns relative to peers.
Should I buy ERIE stock in 2026?
Our dual AI analysis gives Erie Indemnity Co a combined BUY rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is ERIE's free cash flow?
Erie Indemnity Co's operating cash flow is $686.7M, with capital expenditures of $115.7M. FCF margin is 14.0%.
How does ERIE compare to other Finance stocks?
Vs Finance sector averages: Net margin 13.8% (avg: 25%), ROE 24.5% (avg: 12%), current ratio 1.27 (avg: 1.2).