GooseHead Insurance (GSHD) AI Stock Analysis

• Market Cap: $2.76B
• Dividend Yield: N/A
• Average Volume (3M): 288.59K
• Price to Earnings (P/E): 65.1
• Beta (1Y): 0.56
• Revenue Growth: 23.49%
• EPS Growth: 60.38%
• Country: US
• Employees: 1,580
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Diversified
• EPS (TTM): 0.49
• Shares Outstanding: 25,350,954
• 10 Day Avg. Volume: 371,609
• 30 Day Avg. Volume: 288,588
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.55
• Enterprise Value/Revenue: 12.50
• Enterprise Value/Gross Profit: 27.63
• Enterprise Value/Ebitda: 66.44
• 1Y Price Target: $114.00
• Price Target Upside: 59.91% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 12

• Rating: 63 Neutral
• Price Target: $91.00 ▲(27.65% Upside)

GooseHead Insurance's overall score reflects strong financial performance and positive earnings call sentiment, offset by technical analysis indicating bearish trends and high valuation concerns. The new COO appointment is a positive strategic move, but balance sheet weaknesses and market challenges remain significant risks.

Positive Factors

Revenue Growth

Strong revenue growth indicates successful market penetration and product adoption, supporting long-term business expansion.

Strategic Partnerships

Strategic partnerships enhance market reach and competitive positioning, contributing to sustainable growth and revenue diversification.

Leadership Expansion

Leadership expansion aims to enhance operational discipline and strategic alignment, supporting long-term growth and execution capabilities.

Negative Factors

Balance Sheet Weakness

Negative equity raises concerns about financial stability and solvency, potentially limiting future investment and growth opportunities.

Product Market Challenges

Difficult market conditions can hinder growth and profitability, impacting long-term strategic objectives and competitive positioning.

Premium Retention Decline

Declining premium retention may indicate customer dissatisfaction or market challenges, affecting revenue stability and growth potential.

GooseHead Insurance Business Overview & Revenue Model

Company Description

Goosehead Insurance, Inc. operates as a holding company for Goosehead Financial, LLC that provides personal lines insurance agency services in the United States. The company operates in two segments, Corporate Channel and Franchise Channel. It offers homeowner's, insurance, automotive, dwelling property insurance, flood, wind, earthquake, excess liability or umbrella, motorcycle, recreational vehicle, general liability, property, and life insurance products and services. As of December 31, 2021, the company had 2,151 total franchises. Goosehead Insurance, Inc. was founded in 2003 and is headquartered in Westlake, Texas.

How the Company Makes Money

GooseHead Insurance generates revenue primarily through commissions earned on insurance policies sold to clients. The company partners with multiple insurance carriers, allowing agents to offer a wide variety of policy options to consumers. Each time a policy is sold or renewed, GooseHead receives a percentage of the premium as commission, which constitutes a significant portion of its revenue. Additionally, the company benefits from its growing network of franchise agents who operate under the GooseHead brand, providing another revenue stream through franchise fees and ongoing royalties. The use of advanced technology and data analytics also enables GooseHead to optimize its operations and enhance customer acquisition, contributing to its overall earnings.

GooseHead Insurance Financial Statement Overview

Summary

GooseHead Insurance shows strong revenue and profit growth with improved operational efficiency. However, the balance sheet is concerning due to negative equity, indicating potential solvency issues. Cash flow is robust, providing liquidity and growth potential despite balance sheet weaknesses.

Income Statement

The income statement reveals strong revenue growth with a 10% increase from the previous year to TTM. Gross profit margin improved significantly, indicating enhanced operational efficiency. Net profit margin remains healthy, although slightly reduced. Operating and EBITDA margins have shown consistent improvement, reflecting effective cost management.

Balance Sheet

The balance sheet presents a concerning picture with negative stockholders' equity in the TTM, indicating potential solvency issues. The debt-to-equity ratio cannot be calculated due to negative equity, highlighting leverage risks. Despite this, the company maintains a reasonable level of cash and short-term investments.

Cash Flow

Cash flow analysis demonstrates strong operating cash flow growth, supporting the company's liquidity. Free cash flow has also shown impressive growth, indicating robust cash generation. However, the free cash flow to net income ratio suggests room for improvement in converting earnings into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	341.57M	314.50M	261.28M	209.39M	151.31M	117.01M
Gross Profit	154.58M	141.56M	108.67M	76.10M	58.27M	50.20M
EBITDA	64.28M	64.99M	45.83M	17.01M	13.55M	23.09M
Net Income	29.91M	30.43M	14.14M	2.63M	8.30M	18.75M
Balance Sheet
Total Assets	436.59M	397.65M	354.89M	321.35M	267.80M	185.84M
Cash, Cash Equivalents and Short-Term Investments	92.39M	54.28M	41.96M	28.74M	28.53M	24.91M
Total Debt	58.28M	153.38M	143.22M	165.16M	174.96M	119.04M
Total Liabilities	567.18M	358.58M	338.11M	354.98M	336.99M	224.24M
Stockholders Equity	-78.59M	43.89M	56.55M	10.67M	-14.21M	-4.88M
Cash Flow
Free Cash Flow	76.15M	70.56M	38.60M	23.11M	20.04M	14.28M
Operating Cash Flow	85.00M	71.54M	50.76M	35.72M	35.44M	24.64M
Investing Cash Flow	-14.96M	-12.42M	-19.18M	-12.57M	-15.38M	-10.33M
Financing Cash Flow	-697.00K	-45.20M	-17.92M	-23.25M	-15.83M	-3.33M

GooseHead Insurance Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 71.29
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GSHD, the sentiment is Negative. The current price of 71.29 is below the 20-day moving average (MA) of 78.78, below the 50-day MA of 84.03, and below the 200-day MA of 101.42, indicating a bearish trend. The MACD of -3.38 indicates Positive momentum. The RSI at 27.19 is Positive, neither overbought nor oversold. The STOCH value of 19.93 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GSHD.

GooseHead Insurance Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HIG	80 Outperform	$37.37B	12.09	18.52%	1.57%	7.67%	15.99%
IGIC	79 Outperform	$1.04B	8.40	―	4.24%	9.52%	―
ACGL	78 Outperform	$33.71B	9.33	16.21%	―	23.79%	-32.09%
ORI	76 Outperform	$10.63B	12.03	14.44%	7.33%	14.20%	50.32%
FIHL	66 Neutral	$1.86B	-42.60	4.63%	2.53%	20.42%	-110.82%
GSHD	63 Neutral	$2.76B	65.09	60.58%	―	23.49%	60.38%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

GooseHead Insurance Corporate Events

GooseHead Insurance Expands Leadership with New COO Appointment

On August 26, 2025, Goosehead Insurance appointed Mark E. Jones, Jr. as Chief Operating Officer, while he continues as Chief Financial Officer. This role expansion aims to enhance operational discipline and align finance, operations, and strategic functions to support Goosehead’s long-term growth strategy. The move is expected to strengthen the company’s ability to execute its strategy and deliver shareholder value, positioning Goosehead for sustained success in its goal to become the largest distributor of personal lines insurance.