TWFG, Inc. (TWFG) stock analysis
Close on Nov 11, 2026Market cap $1.46BP/E 46.6Yield –
StockData Score
Prices as of Nov 11, 2026How the score works
Weak7 of 30 checks passed
TWFG passes 7 of the 30 checks behind our score; 17 could not be run for lack of data and count as not passed. Each dot in the shape is one check — hover it for the numbers.
- Valuation
- 0/6
- Growth
- 3/6
- Past performance
- 0/6
- Financial health
- 4/6
- Dividend
- 0/6
What stands out
Low debt
Debt is 5.3% of shareholders' equity, under the 40% we consider low.
Revenue growing 10%+ a year
Revenue grew 17.3% a year over the last three fiscal years.
Interest well covered
Operating income covers interest expense 207.0 times.
Debt covered by cash flow
Operating cash flow over the last twelve months equals 2226% of total debt.
What to watch
Margin of safety under 20%
The price is 149% above fair value, so there is no margin of safety.
Trading above fair value
The share price of $27.02 is above our fair value estimate of $10.84.
P/E above the industry
TWFG's P/E of 46.6 is above the Insurance Agents, Brokers, and Service median of 30.1.
P/S above the industry
TWFG's price-to-sales of 4.70 is above the Insurance Agents, Brokers, and Service median of 3.43.
Valuation0/6
P/E against its history
Not enough price and earnings history to compare.
P/E above the industry
TWFG's P/E of 46.6 is above the Insurance Agents, Brokers, and Service median of 30.1.
P/S above the industry
TWFG's price-to-sales of 4.70 is above the Insurance Agents, Brokers, and Service median of 3.43.
P/B above the industry
TWFG's price-to-book of 30.79 is above the Insurance Agents, Brokers, and Service median of 4.81.
Trading above fair value
The share price of $27.02 is above our fair value estimate of $10.84.
Margin of safety under 20%
The price is 149% above fair value, so there is no margin of safety.
Growth3/6
Revenue growing 10%+ a year
Revenue grew 17.3% a year over the last three fiscal years.
EPS growth over 3 years
Needs positive EPS three years ago and today.
Earnings acceleration
Needs positive net income now, a year ago and five years ago.
Growing faster than the industry
Revenue grew 35.0% over the last twelve months; the Insurance Agents, Brokers, and Service median is 13.8%.
Guidance raised
TWFG raised its full-year 2026 Organic Revenue Growth* outlook on Aug 5, 2026.
Gross margin trend
Banks and insurers do not report gross profit.
Past performance0/6
Return on equity
Needs positive equity and five years of results.
Return on assets
Needs net income and total assets.
Return on equity against the industry
Needs positive equity.
Earnings over 5 years
Needs positive net income five years ago and in the latest year.
Net margin against its history
Needs five years of revenue and net income.
Net margin against the industry
Needs revenue and net income.
Financial health4/6
Low debt
Debt is 5.3% of shareholders' equity, under the 40% we consider low.
Debt trend
Needs a balance sheet from five years ago with positive equity.
Debt covered by cash flow
Operating cash flow over the last twelve months equals 2226% of total debt.
Interest well covered
Operating income covers interest expense 207.0 times.
Short-term assets cover short-term debts
Current assets are 2.81 times current liabilities.
Bankruptcy risk (Altman Z)
The Altman model does not apply to insurers.
Dividend0/6
No dividend
TWFG has not paid a dividend in the last twelve months.
Yield against Treasuries
No dividend.
Yield against the market
No dividend.
Dividend stability
No dividend.
Earnings cover
No dividend.
Cash-flow cover
No dividend.
Fair value
How we estimate itOur estimate per share
$10.84
The share price is 149% above this estimate.
| Method | Multiple used | Own 5Y median | Industry median | Value per share | Weight |
|---|---|---|---|---|---|
| P/E | 30.1× | – | 30.1× | $17.46 | 50% |
| P/B | 4.8× | – | 4.8× | $4.22 | 50% |
| Fair value | $10.84 | 100% | |||
Valuation over time
Using the earnings and balance sheet published at each date, not today's.
- P/E at month end
- Insurance Agents, Brokers, and Service median 30.1
An estimate from reported numbers and market multiples, not a price target or investment advice. It can be far off for companies whose profits are about to change sharply.
Market risk
From the past year of daily prices.
Liquidity
Medium risk
- Average value traded per day
- $4.70M
- Value traded per 1% price move
- $1.96M
Downside
High risk
- Typical loss in a bad month
- 29.7%
- Volatility (annualized)
- 47%
- Sharpe ratio, 1 year
- 0.06
- Beta to the S&P 500 (5Y)
- 0.26
Typical bad-month loss, week by week
Margins
Share of revenue, fiscal years 2021 to 2025
Operating margin
Net margin
Growth rates
Compound annual growth to fiscal 2025
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Revenue | +22.0% | +17.3% | – | – | |
| Operating income | +32.4% | +16.0% | – | – | |
| EPS, diluted | +178.9% | – | – | – | |
| Free cash flow | +42.6% | +27.5% | – | – |
Returns and balance sheet
5 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2021 | FY2021 | FY2025 | Trend |
|---|---|---|---|---|
| Current ratio | – | – | 5.12 | |
| Debt to equity | – | – | 0.05 | |
| Net debt to EBITDA | – | – | -2.75× | |
| Interest coverage | – | – | 128.9× | |
| Capex to revenue | – | – | 0.1% | |
| Diluted shares | – | – | 15M |
Cash use needs five years of cash flow figures
TWFG does not report operating cash flow and capital expenditure for each of the last five fiscal years.
DuPont analysis
Return on equity split into margin, efficiency and leverage
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2024 | 1.3% | 0.93× | 4.18× | 5.2% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2025 against fiscal 2024
- ProfitableNet income above zero–
- Cash generatingOperating cash flow above zero$53.50M
- Return on assets improvedROA up on the prior year2.4% → –
- Earnings backed by cashOperating cash flow above net income$53.50M vs –
- Less leverageLong-term debt to assets fell1.2% → 0.5%
- Better liquidityCurrent ratio rose6.10 → 5.12
- No dilutionShare count did not rise15M → 15M
- Gross margin improvedGross margin up on the prior year– → –
- More efficientAsset turnover rose1.77 → 0.77
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