Erie Fair Value
ER
The fair market value of ERIE stock is 374.57 USD. Relative to the market price of 415.24 USD Erie is overvalued by 9.8%
Eyestock's quantitative valuation approach is based on the method of estimating historical multipliers. To determine whether a stock is undervalued, we compare its current price to our estimated of fair value. The more undervalued a stock is, the more investment is profitable.
Fair Relative Value
Erie Valuation
Current ERIE share ticker price is 415.24 USD.
The fair value level of 374.57 USD can be considered as an effective entry point for long-term investors to start investing in ERIE stock. For a more in-depth assessment, we provide a minimum value that can be used to increase a stock position and a maximum one that can be used to reduce it.
Price chart is not available
Current market price
Current price is 10% higher its fair value
Current price is 25% higher its minimum value
Current price is 12% lower its maximum value
Market price:
ERIE stock is overvalued
It means the current price may concern as a Risky Entry Point
Erie Indemnity Co Stock Valuation Calculator
How do we value a stock?
As fair value, we use the product of the median Price-to-earnings ratios at the end of each reporting period for the last 5 years and earnings per share for the last 12 months. By analogy with the fair value, we calculate the maximum and minimum ones using the corresponding P/E extremums.
1
Maximum P/E over 5 years
41.86
2
Median P/E over 5 years
33.84
3
Minimum P/E over 5 years
28.14
4
Earning per share (last 12 months)
11.07 USD
Maximum value
1
x
4
=
463.35 USD
Fair value
2
x
4
=
374.57 USD
Minimum value
3
x
4
=
311.55 USD
Erie Indemnity Co price metrics
18.01
Annual return (geometric mean)
32.35
Risk (standard deviation) of returns
β
0.46
Beta (volatility compared to market)