GSHD Goosehead Insurance PE ratio, current and historical analysis
The current PE ratio for Goosehead Insurance stock as of May 21, 2025 is 86.13. This is calculated based on the TTM EPS of $1.25 and the stock price of $107.66 per share. The PE ratio marks a decrease of 7% from its last 4 quarters average of 92.9.
GSHD PE ratio history
The average historical PE ratio of Goosehead Insurance for the last six years is 428.75. The current P/E ratio of 86.13 is 80% lower than the historical average. Looking back at the last six years, GSHD's PE ratio peaked in the Sep 2022 quarter at 3,564, when the price was $35.64 and the EPS was $0.01. The lowest point was in the Jun 2024 quarter, when it reached 75.58 with a price of $57.44 and an EPS of $0.76.
Goosehead Insurance PE ratio by year
Maximum annual increase: 146.39% in 2022
Maximum annual decrease: -88.78% in 2023
| Year | PE ratio | PE change | Price | EPS |
|---|---|---|---|---|
| 2024 | 87.17 | -32.15% | $107.22 | $1.23 |
| 2023 | 128.47 | -88.78% | $75.8 | $0.59 |
| 2022 | 1,144.67 | 146.39% | $34.34 | $0.03 |
| 2021 | 464.57 | 104.8% | $130.08 | $0.28 |
| 2020 | 226.84 | 28.4% | $124.76 | $0.55 |
| 2019 | 176.67 | N/A | $42.4 | $0.24 |
| 2018 | N/A | N/A | $26.29 | -$0.66 |
| 2017 | N/A | N/A | N/A | -$1.96 |
| 2016 | N/A | N/A | N/A | N/A |
Goosehead Insurance PE ratio by quarter (TTM)
| Year | PE ratio | PE change | Price | EPS |
|---|---|---|---|---|
| Mar 2025 | 94.45 | 8.35% | $118.06 | $1.25 |
| Dec 2024 | 87.17 | -23.86% | $107.22 | $1.23 |
| Sep 2024 | 114.49 | 51.48% | $89.3 | $0.78 |
| Jun 2024 | 75.58 | -25.12% | $57.44 | $0.76 |
| Mar 2024 | 100.94 | -21.43% | $66.62 | $0.66 |
| Dec 2023 | 128.47 | -18.98% | $75.8 | $0.59 |
| Sep 2023 | 158.57 | -31.92% | $74.53 | $0.47 |
| Jun 2023 | 232.93 | -37.53% | $62.89 | $0.27 |
| Mar 2023 | 372.86 | -67.43% | $52.2 | $0.14 |
| Dec 2022 | 1,144.67 | -67.88% | $34.34 | $0.03 |
| Sep 2022 | 3,564 | 914.49% | $35.64 | $0.01 |
| Jun 2022 | 351.31 | -15.05% | $45.67 | $0.13 |
| Mar 2022 | 413.53 | -10.99% | $78.57 | $0.19 |
| Dec 2021 | 464.57 | 31.18% | $130.08 | $0.28 |
| Sep 2021 | 354.16 | 14.06% | $152.29 | $0.43 |
GSHD Price vs fair value
You can ether set your own Fair P/E multiple or use one of the automatically calculated Fair P/E multiples.
Fair P/E calculation
PE Ratio is an attempt to estimate a fair PE ratio of a stock based on its earnings and growth rate.
This formula is a modified version of the classic Graham-Dodd Formula (V= EPS x (8.5+2g)), originally developed by Benjamin Graham, to calculate the fair price of a stock based on its earnings and growth rate.
The formula we have created is an adaptation of this approach, designed to maintain a balance between simplicity and growth sensitivity.
It is calculated using the following formula:
IF g < 5: Fair PE = b
IF g >= 5: Fair PE = m × g
Here’s what each part of the formula means:
g: Growth is calculated as the average of the three-year average EPS growth rate and the one-year EPS growth rate (annually). This approach provides a balanced measure of growth by factoring in both the long-term growth trend and the most recent annual growth performance. If one of the growth metrics is not available, the remaining metric is used to determine growth. The fair P/E value is capped at 100 to prevent distortions caused by extreme EPS growth rates, such as those resulting from large percentage increases from a low base.
m: This is the long term historical median PEG (Price/Earnings to Growth) ratio of the overall market. It serves as a benchmark, adjusting the Fair PE based on typical market conditions.
b: Base PE (static value set to 8). If the company's growth rate is less than 5, the Fair PE is set at a conservative baseline of 8. This is because declining companies generally deserve a lower PE ratio.
Fixed vs Dynamic
Fixed: The Fair PE ratio for all data points is calculated using a single, constant average EPS growth rate, determined based on the most recent period. This means that the same growth rate is applied to all historical data points. Dynamic: The Fair PE ratio for each historical data point is calculated using the trailing average EPS growth rate specific to that point in time. This means that for each data point, the corresponding trailing EPS growth rate is used, ensuring that the Fair PE ratio reflects the growth conditions that were relevant at that specific point in history.
GSHD average PE ratio chart
GSHD's current PE ratio is lower than its 3 and 5-year averages.
GSHD PE vs peers
In comparison to its peer stock RYAN, GSHD's PE ratio is lower.
| Stock name | PE ratio | Market cap |
|---|---|---|
| GSHD Goosehead Insurance Inc | 86.13 | $4.04B |
| RYAN Ryan Specialty Group Holdings Inc | 163.9 | $18.07B |
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Frequently asked questions
What is Goosehead Insurance's PE ratio?
GSHD's price to earnings ratio is 86.13 as of May 21, 2025.
What is the 3-year average PE ratio for Goosehead Insurance (GSHD)?
As an average over the last 3 years, GSHD stock has a PE ratio of 535.45.
What is the 5-year average PE ratio for Goosehead Insurance (GSHD)?
As an average over the last 5 years, GSHD stock has a PE ratio of 450.69.
What is the highest PE ratio for GSHD?
Over the last six years, the Sep 2022 quarter recorded the highest quarterly PE ratio at 3,564.
How does the current PE ratio for GSHD compare to its historical average?
The current PE ratio of GSHD is 80% lower than the 6-year historical average.
Why is Goosehead Insurance's PE ratio so high?
GSHD's PE ratio is high because the stock price is relatively expensive compared to the earnings generated by the company.
How is GSHD's PE ratio calculated (Goosehead Insurance PE ratio formula)?
To determine the P/E ratio, divide the latest stock price by the TTM earnings per share (EPS). As of today (May 21, 2025), Goosehead Insurance's share price is $107.66. The company's earnings per share for the trailing twelve months (TTM) ending Mar 2025 is $1.25. Therefore, Goosehead Insurance's PE ratio for today is 86.13. PE RATIO(86.13) = STOCK PRICE($107.66) / TTM EPS($1.25)
All PE ratio stats are based on quarterly TTM periods, unless otherwise specified.