TWFG PE Ratio & Valuation,Is TWFG Overvalued

TWFG Relative Valuation

TWFG's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, TWFG is overvalued; if below, it's undervalued.

Historical Valuation

TWFG Inc (TWFG) is now in the Undervalued zone, suggesting that its current forward PE ratio of 34.62 is considered Undervalued compared with the five-year average of 44.36. The fair price of TWFG Inc (TWFG) is between 29.58 to 39.75 according to relative valuation methord. Compared to the current price of 28.99 USD , TWFG Inc is Undervalued By 1.99%.

Relative Value

Fair Zone

29.58-39.75

Current Price：28.99

1.99%

Undervalued

34.62

8.60

EV/EBITDA

TWFG Inc. (TWFG) has a current EV/EBITDA of 8.60. The 5-year average EV/EBITDA is 9.65. The thresholds are as follows: Strongly Undervalued below 7.27, Undervalued between 7.27 and 8.46, Fairly Valued between 10.84 and 8.46, Overvalued between 10.84 and 12.03, and Strongly Overvalued above 12.03. The current Forward EV/EBITDA of 8.60 falls within the Historic Trend Line -Fairly Valued range.

15.56

EV/EBIT

TWFG Inc. (TWFG) has a current EV/EBIT of 15.56. The 5-year average EV/EBIT is 15.51. The thresholds are as follows: Strongly Undervalued below 11.86, Undervalued between 11.86 and 13.68, Fairly Valued between 17.34 and 13.68, Overvalued between 17.34 and 19.17, and Strongly Overvalued above 19.17. The current Forward EV/EBIT of 15.56 falls within the Historic Trend Line -Fairly Valued range.

1.59

TWFG Inc. (TWFG) has a current PS of 1.59. The 5-year average PS is 1.83. The thresholds are as follows: Strongly Undervalued below 1.35, Undervalued between 1.35 and 1.59, Fairly Valued between 2.07 and 1.59, Overvalued between 2.07 and 2.30, and Strongly Overvalued above 2.30. The current Forward PS of 1.59 falls within the Historic Trend Line -Fairly Valued range.

0.00

P/OCF

TWFG Inc. (TWFG) has a current P/OCF of 0.00. The 5-year average P/OCF is 6.38. The thresholds are as follows: Strongly Undervalued below -5.25, Undervalued between -5.25 and 0.56, Fairly Valued between 12.19 and 0.56, Overvalued between 12.19 and 18.01, and Strongly Overvalued above 18.01. The current Forward P/OCF of 0.00 falls within the Undervalued range.

10.13

P/FCF

TWFG Inc. (TWFG) has a current P/FCF of 10.13. The 5-year average P/FCF is 11.43. The thresholds are as follows: Strongly Undervalued below 4.12, Undervalued between 4.12 and 7.78, Fairly Valued between 15.09 and 7.78, Overvalued between 15.09 and 18.74, and Strongly Overvalued above 18.74. The current Forward P/FCF of 10.13 falls within the Historic Trend Line -Fairly Valued range.

TWFG Inc (TWFG) has a current Price-to-Book (P/B) ratio of 5.48. Compared to its 3-year average P/B ratio of 4.66 , the current P/B ratio is approximately 17.60% higher. Relative to its 5-year average P/B ratio of 4.66, the current P/B ratio is about 17.60% higher. TWFG Inc (TWFG) has a Forward Free Cash Flow (FCF) yield of approximately 11.19%. Compared to its 3-year average FCF yield of 8.75%, the current FCF yield is approximately 27.94% lower. Relative to its 5-year average FCF yield of 8.75% , the current FCF yield is about 27.94% lower.

5.48

P/B

Median3y

4.66

Median5y

4.66

11.19

FCF Yield

Median3y

8.75

Median5y

8.75

Competitors Valuation Multiple

The average P/S ratio for TWFG's competitors is 1.62, providing a benchmark for relative valuation. TWFG Inc Corp (TWFG) exhibits a P/S ratio of 1.59, which is -2.01% above the industry average. Given its robust revenue growth of 17.36%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of TWFG decreased by 5.88% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 12.62 to 15.00.

The secondary factor is the Revenue Growth, contributed 17.36%to the performance.

Overall, the performance of TWFG in the past 1 year is driven by Margin Expansion. Which is more sustainable.

17.36%

54.64M → 64.12M

Revenue Growth

18.86%

12.62 → 15.00

Margin Expansion

-42.10%

114.03 → 66.02

P/E Change

-5.88%

30.80 → 28.99

Mkt Cap Growth

People Also Watch

Frequently Asked Questions

Is TWFG Inc (TWFG) currently overvalued or undervalued?

What is TWFG Inc (TWFG) fair value?

TWFG's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of TWFG Inc (TWFG) is between 29.58 to 39.75 according to relative valuation methord.

How does TWFG's valuation metrics compare to the industry average?

What is the current P/B ratio for TWFG Inc (TWFG) as of Dec 15 2025?

As of Dec 15 2025, TWFG Inc (TWFG) has a P/B ratio of 5.48. This indicates that the market values TWFG at 5.48 times its book value.

What is the current FCF Yield for TWFG Inc (TWFG) as of Dec 15 2025?

As of Dec 15 2025, TWFG Inc (TWFG) has a FCF Yield of 11.19%. This means that for every dollar of TWFG Inc’s market capitalization, the company generates 11.19 cents in free cash flow.

What is the current Forward P/E ratio for TWFG Inc (TWFG) as of Dec 15 2025?

As of Dec 15 2025, TWFG Inc (TWFG) has a Forward P/E ratio of 34.62. This means the market is willing to pay $34.62 for every dollar of TWFG Inc’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for TWFG Inc (TWFG) as of Dec 15 2025?

As of Dec 15 2025, TWFG Inc (TWFG) has a Forward P/S ratio of 1.59. This means the market is valuing TWFG at $1.59 for every dollar of expected revenue over the next 12 months.

TWFG Valuation