WallStSmart

Enact Holdings Inc (ACT)vsEmployers Holdings Inc (EIG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Enact Holdings Inc generates 44% more annual revenue ($1.24B vs $863.70M). ACT leads profitability with a 54.5% profit margin vs 0.9%. ACT trades at a lower P/E of 10.1x. ACT earns a higher WallStSmart Score of 54/100 (C-).

ACT

Buy

54

out of 100

Grade: C-

Growth: 4.7Profit: 8.5Value: 6.7Quality: 7.8
Piotroski: 4/9

EIG

Hold

48

out of 100

Grade: D+

Growth: 4.7Profit: 4.5Value: 4.3Quality: 5.3
Piotroski: 3/9Altman Z: 0.94

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACT5 strengths · Avg: 9.8/10
P/E RatioValuation
10.1x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Profit MarginProfitability
54.5%10/10

Keeps 55 of every $100 in revenue as profit

Operating MarginProfitability
72.3%10/10

Strong operational efficiency at 72.3%

Debt/EquityHealth
0.149/10

Conservative balance sheet, low leverage

EIG1 strengths · Avg: 10.0/10
Price/BookValuation
1.1x10/10

Reasonable price relative to book value

Areas to Watch

ACT1 concerns · Avg: 4.0/10
Revenue GrowthGrowth
1.7%4/10

1.7% revenue growth

EIG4 concerns · Avg: 3.5/10
Revenue GrowthGrowth
2.5%4/10

2.5% revenue growth

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$924.73M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
0.9%3/10

ROE of 0.9% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull Case : ACT

The strongest argument for ACT centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 54.5% and operating margin at 72.3%.

Bull Case : EIG

The strongest argument for EIG centers on Price/Book. PEG of 1.32 suggests the stock is reasonably priced for its growth.

Bear Case : ACT

The primary concerns for ACT are Revenue Growth.

Bear Case : EIG

The primary concerns for EIG are Revenue Growth, EPS Growth, Market Cap. A P/E of 110.2x leaves little room for execution misses. Thin 0.9% margins leave little buffer for downturns.

Key Dynamics to Monitor

EIG carries more volatility with a beta of 0.48 — expect wider price swings.

EIG is growing revenue faster at 2.5% — sustainability is the question.

ACT generates stronger free cash flow (224M), providing more financial flexibility.

Monitor INSURANCE - SPECIALTY industry trends, competitive dynamics, and regulatory changes.

Bottom Line

ACT scores higher overall (54/100 vs 48/100), backed by strong 54.5% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Enact Holdings Inc

FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA

Enact Holdings Inc (ACT) is a prominent player in the U.S. housing sector, specializing in private mortgage insurance and comprehensive risk management solutions that enhance the affordability and accessibility of homeownership. The company is characterized by a strong capital foundation and a commitment to innovation, driven by strategic collaborations that optimize lender operations and navigate complex market dynamics. With a focus on proactive risk management and sustainable housing practices, Enact is well-positioned to seize emerging growth opportunities within the evolving real estate landscape, highlighting its essential role in supporting the housing market.

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Employers Holdings Inc

FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA

Employers Holdings, Inc. operates in the commercial property and casualty insurance industry primarily in the United States. The company is headquartered in Reno, Nevada.

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