Stock Price & Analysis

Based on the recent price action and market data, ERIE stock appears to be in a downward trend. The stock has declined from its recent high of $523.70 to current levels around $389, showing significant selling pressure.

The stock is currently trading below key technical support levels, with increased volume on down days suggesting further downside risk. Recent insider transactions also show selling activity, with multiple directors and officers reducing positions.

Based on the available data and market analysis, here's the price prediction for ERIE stock in 2025:

ERIE stock is expected to trade around $445-455 by end of 2025, representing a potential upside of 14-17% from current levels. This projection is supported by the company's stable financial performance, strong market position in the insurance sector, and overall positive market sentiment for 2025.

Key Drivers Supporting This Prediction:

• Technical analysis shows ERIE is currently trading in a consolidation phase between $380-420, with strong support at $363.69 (lower Bollinger Band) and resistance at $430.07 (upper Bollinger Band)

• The company maintains its position as the 12th largest homeowners insurer and 13th largest automobile insurer in the United States, indicating stable market share

• Wall Street's broader market outlook remains positive for 2025, with median S&P 500 target implying 9-12% upside, which should provide favorable conditions for ERIE's growth

Risk Factors:

• Current RSI (43.28) indicates neutral momentum
• MACD showing slight bearish divergence (-3.25)
• Market volatility due to potential policy shifts and economic uncertainties

The prediction assumes continued stable insurance market conditions and successful execution of the company's business strategy. The upcoming Q4 2024 earnings report on February 28, 2025 could provide additional clarity on the company's growth trajectory.

The S1 support level for ERIE Stock is $380.46 ,The R1 resistant level for ERIE Stock is $409.75.

As of the end of day on 2025-02-21, the price of ERIE Stock was $383.41.

The market cap of ERIE is $20.1B.

Based on ERIE's current valuation metrics and financial performance, the stock appears moderately overvalued. The P/E ratio of 43.85 is significantly higher than the insurance industry average, despite showing improvement from 48.65 in 2022. The company's EV/EBITDA ratio remains elevated at 30.48, indicating premium pricing relative to earnings potential. However, strong financial performance with net income growth of 49.4% YoY to $446 million and improved margins (net margin increased from 10.51% to 13.65%) partially justifies the premium valuation. Technical indicators suggest bearish momentum with RSI at 43.28 and negative MACD, indicating potential downward pressure on the current price of $389.19.

Erie Indemnity Company serves as the attorney-in-fact for the subscribers at the Erie Insurance Exchange (Exchange). The Exchange is a reciprocal insurer that writes property and casualty insurance. The Exchange has wholly owned property and casualty subsidiaries, including Erie Insurance Company, Erie Insurance Company of New York, Erie Insurance Property & Casualty Company, and Flagship City Insurance Company. The Exchange also has a wholly owned life insurance company, Erie Family Life Insurance Company (EFL). Its primary function as attorney-in-fact is to perform policy issuance and renewal services on behalf of the subscribers at the Exchange. It also acts as attorney-in-fact on behalf of the subscribers at the Exchange with respect to all claims handling and investment management services, as well as the service provider for all claims handling, life insurance and investment management services for the Exchange's insurance subsidiaries (collectively, administrative services).

Based on the provided data and market analysis, here's a projection for ERIE stock price by 2030:

ERIE stock is projected to reach $485-495 by 2030, representing a moderate growth of approximately 25% from current levels. This forecast is based on the company's strong market position as the largest insurance provider in Pennsylvania and ongoing corporate tax reduction plans in the state, which should positively impact earnings.

The company's recent underperformance against the S&P 500 and industry peers suggests potential for mean reversion, while its strategic focus on technology-driven solutions and customer service excellence positions it well for long-term growth in the evolving insurance market.

ERIE has a total of 6481 employees.