Is Everest Group Ltd. overvalued or undervalued?

Sep 20 2025 05:52 PM IST
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As of August 5, 2025, Everest Group Ltd. is considered overvalued with a P/E ratio of 30, significantly higher than its peers, and has underperformed the market with a year-to-date return of -7.64%.
As of 5 August 2025, the valuation grade for Everest Group Ltd. has moved from fair to expensive, indicating a shift towards overvaluation. The company is considered overvalued based on its P/E ratio of 30, which is higher than the peer average of 21.83 for Selective Insurance Group, Inc. and significantly above the attractive valuation of RenaissanceRe Holdings Ltd. at 6.29. Additionally, the EV to Sales ratio stands at 1.36, further supporting the conclusion of overvaluation.

In comparison to its peers, Everest Group Ltd. shows a P/E ratio of 31.11, which is notably higher than American Financial Group, Inc. at 15.03. The company's recent stock performance has been underwhelming, with a year-to-date return of -7.64% compared to the S&P 500's 12.22%, reinforcing the notion that the stock may not be a favorable investment at its current price.
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