Everest Group (EG) AI Stock Analysis

• Market Cap: $14.29B
• Dividend Yield: 2.38%
• Average Volume (3M): 414.23K
• Price to Earnings (P/E): 16.9
• Beta (1Y): 0.32
• Revenue Growth: 12.81%
• EPS Growth: -70.56%
• Country: US
• Employees: 3,037
• Sector: Financial
• Sector Strength: 82
• Industry: Insurance - Reinsurance
• EPS (TTM): 6.45
• Shares Outstanding: 42,534,730
• 10 Day Avg. Volume: 469,324
• 30 Day Avg. Volume: 414,230
• PEG Ratio: -0.46
• Price to Book (P/B): 1.05
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 3.03
• Enterprise Value/Market Cap: 0.93
• Enterprise Value/Revenue: 0.20
• Enterprise Value/Gross Profit: 0.76
• Enterprise Value/Ebitda: 1.02K
• 1Y Price Target: $384.00
• Price Target Upside: 14.31% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10

• Rating: 70 Outperform
• Price Target: $375.00 ▲( 11.63% Upside)

Everest Group's overall score is driven primarily by its strong financial performance, reinforced by robust revenue growth and cash flow management. However, technical indicators suggest a bearish trend, and the earnings call highlighted challenges despite growth in certain areas. Valuation remains fair, with potential income from dividends, and recent board changes are expected to positively impact strategy.

Positive Factors

Financial Performance

The company sees the potential for higher Property Reinsurance rates, suggesting growth in this area.

Leadership

EG's newly appointed CEO is taking meaningful steps to turnaround profitability levels.

Management Strategy

There is greater confidence in the company's balance sheet following reserve strengthening efforts.

Negative Factors

Earnings

Analyst lowers forward EPS primarily due to higher loss picks and less premium growth.

Market Environment

The reinsurance segment should also face a slowdown due to a soft market pricing environment.

Stock Valuation

The stock is downgraded to Equal-weight and the price target is reduced to $340 given the reserve charges and updated outlook.

Everest Group Business Overview & Revenue Model

Company Description

Everest Group, Ltd., through its subsidiaries, provides reinsurance and insurance products in the United States, Bermuda, and internationally. The company operates through Reinsurance Operations and Insurance Operations segments. The Reinsurance Operations segment writes property and casualty reinsurance; and specialty lines of business through reinsurance brokers, as well as directly with ceding companies in the United States, Bermuda, Ireland, Canada, Singapore, Switzerland, and the United Kingdom. The Insurance Operations segment writes property and casualty insurance directly, as well as through brokers, surplus lines brokers, and general agents in the United States, Bermuda, Canada, Europe, South America, France, Germany, Spain, Canada, Chile, the United Kingdom, Ireland, and the Netherlands. The company also provides treaty and facultative reinsurance products; admitted and non-admitted insurance products; and property and casualty reinsurance and insurance coverages, including marine, aviation, surety, errors and omissions liability, directors' and officers' liability, medical malpractice, mortgage reinsurance, other specialty lines, accident and health, and workers' compensation products. In addition, it offers commercial property and casualty insurance products through wholesale and retail brokers, surplus lines brokers, and program administrators. The company was formerly known as Everest Re Group, Ltd. and changed its name to Everest Group, Ltd. in July 2023. The company was founded in 1973 and is headquartered in Hamilton, Bermuda.

How the Company Makes Money

Everest Group makes money primarily through the sale of their research reports, subscription-based access to data and analytics platforms, and consulting services. The company generates revenue by providing market intelligence and strategic advisory services to a wide range of clients, including enterprises, service providers, and investors. Key revenue streams include subscription fees for access to their proprietary research and insights, consulting fees for customized advisory services, and event sponsorships and partnerships that facilitate industry networking and thought leadership. Significant factors contributing to Everest Group's earnings include their reputation for in-depth analysis and expertise in global services, as well as their ability to provide actionable insights that drive business transformation and efficiency.

Everest Group Financial Statement Overview

Summary

Everest Group exhibits strong financial stability with robust revenue growth, efficient cash flow management, and a solid balance sheet. The absence of EBIT/EBITDA raises concerns about operational profitability measurement, but overall financial health is commendable.

Income Statement

Everest Group has demonstrated strong revenue growth with a 18.45% increase from 2023 to 2024. The company maintains a high Gross Profit Margin as Gross Profit equates to Total Revenue, indicative of efficient cost management. However, the absence of EBIT and EBITDA in 2024 suggests potential concerns in operational profitability measurement.

Balance Sheet

The company shows a strong equity position with an increasing Stockholders' Equity, reaching $13.88 billion in 2024. The Debt-to-Equity ratio is favorable with zero total debt in 2024, indicating low leverage risk. The Equity Ratio improved to 24.62% in 2024, suggesting a solid financial foundation.

Cash Flow

Everest Group's cash flow is robust, with a consistent increase in Free Cash Flow, growing by 8.87% from 2023 to 2024. The Operating Cash Flow to Net Income ratio is strong, indicating efficient conversion of income into cash. This highlights financial stability and effective cash management.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
17.39B	17.08B	14.59B	11.98B	11.30B	9.49B
	Gross Profit
17.39B	17.08B	14.59B	11.98B	11.30B	9.49B
	EBIT
716.00M	1.64B	2.31B	689.00M	1.62B	621.67M
	EBITDA
22.00M	1.70B	-23.50M	0.00	0.00	0.00
	Net Income Common Stockholders
850.00M	1.37B	2.52B	597.00M	1.38B	514.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
4.52B	6.26B	1.44B	24.67B	24.93B	21.98B
	Total Assets
58.13B	56.34B	49.40B	39.97B	38.19B	32.79B
	Total Debt
0.00	3.59B	3.41B	3.08B	3.09B	1.91B
	Net Debt
-1.57B	2.04B	1.97B	1.69B	1.65B	1.11B
	Total Liabilities
43.99B	42.47B	36.20B	31.52B	28.05B	23.06B
	Stockholders Equity
14.14B	13.88B	13.20B	8.44B	10.14B	9.73B
Cash Flow		Free Cash Flow
4.89B	4.96B	4.55B	3.69B	3.83B	2.87B
	Operating Cash Flow
4.89B	4.96B	4.55B	3.69B	3.83B	2.87B
	Investing Cash Flow
-4.31B	-4.48B	-5.90B	-3.42B	-3.87B	-3.68B
	Financing Cash Flow
-554.00M	-383.00M	1.41B	-359.00M	674.19M	800.22M

Everest Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 335.94
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EG, the sentiment is Negative. The current price of 335.94 is below the 20-day moving average (MA) of 346.15, below the 50-day MA of 350.81, and below the 200-day MA of 361.94, indicating a bearish trend. The MACD of -2.88 indicates Positive momentum. The RSI at 39.67 is Neutral, neither overbought nor oversold. The STOCH value of 11.29 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for EG.

Everest Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RNR	80 Outperform	$11.63B	7.61	16.30%	0.66%	32.10%	-30.52%
HG	80 Outperform	$2.12B	6.47	14.07%	―	35.36%	-3.34%
RGA	78 Outperform	$13.19B	16.86	7.60%	1.76%	1.60%	-7.50%
CBOE	78 Outperform	$24.25B	30.36	18.93%	1.05%	15.76%	1.97%
SPNT	71 Outperform	$2.24B	19.29	7.20%	―	-5.57%	-44.54%
EG	70 Outperform	$14.29B	16.94	6.12%	2.38%	12.81%	-70.56%
Sector *	64 Neutral	$12.67B	9.74	7.58%	17015.08%	12.21%	-6.96%

Everest Group Corporate Events

Everest Group Appoints Darryl Page to Board

Everest Group, Ltd. announced the appointment of Darryl Page as an independent, non-executive member of its Board of Directors, effective May 15, 2025. Mr. Page, a seasoned insurance executive with over four decades of experience, is expected to bring valuable expertise in scaling profitable insurance businesses and developing high-performing cultures, enhancing Everest’s strategic value creation initiatives.

The most recent analyst rating on (EG) stock is a Hold with a $390.00 price target. To see the full list of analyst forecasts on Everest Group stock, see the EG Stock Forecast page.

Everest Group Holds Annual Shareholder Meeting

On May 14, 2025, Everest Group, Ltd. held its Annual General Meeting of Shareholders where several key decisions were made. The shareholders elected a slate of directors, appointed KPMG as the independent registered public accounting firm for the fiscal year ending December 31, 2025, approved the 2024 compensation for the Company’s Named Executive Officers, and endorsed the 2025 Employee Stock Purchase Plan and amendments to the Company’s bye-laws.

The most recent analyst rating on (EG) stock is a Hold with a $390.00 price target. To see the full list of analyst forecasts on Everest Group stock, see the EG Stock Forecast page.

Everest Group Approves Executive Compensation Awards

On February 26, 2025, Everest Group’s Compensation Committee approved significant compensation awards for its executive officers. Jim Williamson, the President and CEO, received a one-time restricted stock award valued at $2.5 million, while Mark Kociancic, the Executive Vice President and CFO, received a $1.5 million award. Additionally, Mr. Kociancic’s target annual incentive bonus was increased to 175%, and the target value of his equity compensation was raised to $2.5 million.