Latest Ratios: P/E Ratio 12.8x · EV/EBITDA 9.8x · ROE 24.4%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $5.1B | $5.9B | $7.6B | $6.1B | $6.0B | $5.1B | $4.7B | $4.1B | $3.1B | $2.7B | $2.8B |
| Enterprise Value | $5.2B | $5.9B | $7.7B | $6.3B | $6.4B | $5.2B | $4.8B | $4.2B | $3.2B | $2.8B | $2.9B |
| P/E Ratio → | 12.83 | 14.67 | 22.04 | 20.11 | 10.30 | 18.32 | 30.10 | 21.23 | 48.24 | 25.70 | 24.38 |
| P/S Ratio | 2.73 | 3.13 | 4.30 | 4.06 | 3.54 | 4.33 | 4.79 | 4.05 | 3.77 | 3.37 | 3.43 |
| P/B Ratio | 2.90 | 3.32 | 5.01 | 4.34 | 5.11 | 4.17 | 4.16 | 4.09 | 3.83 | 3.16 | 3.41 |
| P/FCF | 8.43 | 9.69 | 13.72 | 13.38 | 24.58 | 13.61 | 18.36 | 15.09 | 14.66 | 14.34 | 17.72 |
| P/OCF | 8.36 | 9.61 | 13.60 | 13.21 | 24.00 | 13.31 | 17.95 | 14.71 | 14.25 | 13.67 | 16.08 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 3.16 | 4.34 | 4.16 | 3.76 | 4.42 | 4.87 | 4.15 | 3.90 | 3.51 | 3.58 |
| EV / EBITDA | 9.84 | 11.30 | 17.65 | 16.32 | 8.77 | 14.88 | 24.40 | 17.34 | 42.88 | 30.74 | 17.92 |
| EV / EBIT | 10.00 | 11.39 | 17.70 | 16.38 | 8.77 | 14.87 | 24.38 | 17.38 | 42.66 | 30.58 | 17.82 |
| EV / FCF | — | 9.77 | 13.83 | 13.74 | 26.12 | 13.90 | 18.69 | 15.47 | 15.17 | 14.95 | 18.51 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 29.8% | 29.8% | 25.7% | 25.9% | 43.1% | 38.8% | 31.2% | 35.3% | 21.9% | 24.4% | 33.5% |
| Operating Margin | 27.5% | 27.5% | 24.2% | 25.0% | 42.4% | 29.1% | 19.2% | 23.1% | 8.2% | 10.6% | 19.2% |
| Net Profit Margin | 21.4% | 21.4% | 19.5% | 20.1% | 34.4% | 23.6% | 15.9% | 19.0% | 7.8% | 13.1% | 14.1% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 24.4% | 24.4% | 23.6% | 23.5% | 48.5% | 23.6% | 14.7% | 21.3% | 7.7% | 12.5% | 14.0% |
| ROA | 6.8% | 6.8% | 6.4% | 6.1% | 12.6% | 6.6% | 4.2% | 5.8% | 2.1% | 3.7% | 4.2% |
| ROIC | 22.8% | 22.8% | 20.3% | 18.1% | 37.3% | 20.1% | 12.3% | 17.3% | 5.4% | 6.6% | 12.4% |
| ROCE | 28.4% | 28.4% | 26.4% | 26.3% | 50.2% | 27.0% | 5.1% | 7.0% | 6.9% | 8.6% | 16.1% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.06 | 0.06 | 0.07 | 0.14 | 0.34 | 0.16 | 0.13 | 0.15 | 0.18 | 0.17 | 0.18 |
| Debt / EBITDA | 0.19 | 0.19 | 0.23 | 0.52 | 0.55 | 0.57 | 0.76 | 0.62 | 2.00 | 1.63 | 0.91 |
| Net Debt / Equity | — | 0.03 | 0.04 | 0.12 | 0.32 | 0.09 | 0.08 | 0.10 | 0.13 | 0.13 | 0.15 |
| Net Debt / EBITDA | 0.09 | 0.09 | 0.14 | 0.42 | 0.52 | 0.32 | 0.44 | 0.43 | 1.44 | 1.25 | 0.77 |
| Debt / FCF | — | 0.08 | 0.11 | 0.36 | 1.54 | 0.29 | 0.34 | 0.38 | 0.51 | 0.61 | 0.79 |
| Interest Coverage | 97.48 | 97.48 | 68.53 | 52.67 | 90.56 | 45.85 | 25.97 | 31.67 | 10.09 | 12.39 | 22.15 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.67 | 0.67 | 1.12 | 1.14 | 1.10 | 1.16 | — | — | 1.02 | 1.10 | 1.12 |
| Quick Ratio | 0.67 | 0.67 | 1.12 | 1.14 | 1.10 | 1.16 | — | — | 0.20 | 0.03 | 0.03 |
| Cash Ratio | 0.40 | 0.40 | 0.83 | 0.84 | 0.79 | 0.85 | — | — | 0.02 | 0.02 | 0.01 |
| Asset Turnover | — | 0.31 | 0.31 | 0.29 | 0.36 | 0.26 | 0.25 | 0.28 | 0.26 | 0.27 | 0.29 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 4.7% | 4.1% | 0.0% | 2.3% | 6.1% | 2.6% | 1.9% | 2.1% | 2.7% | 4.2% | 4.4% |
| Payout Ratio | 59.9% | 59.9% | 0.9% | 46.0% | 62.5% | 48.4% | 56.0% | 44.7% | 129.5% | 108.4% | 106.6% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 7.8% | 6.8% | 4.5% | 5.0% | 9.7% | 5.5% | 3.3% | 4.7% | 2.1% | 3.9% | 4.1% |
| FCF Yield | 11.9% | 10.3% | 7.3% | 7.5% | 4.1% | 7.3% | 5.4% | 6.6% | 6.8% | 7.0% | 5.6% |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 4.7% | 4.1% | 0.0% | 2.3% | 6.1% | 2.6% | 1.9% | 2.1% | 2.7% | 4.2% | 4.4% |
| Shares Outstanding | — | $92M | $92M | $92M | $92M | $91M | $91M | $91M | $90M | $89M | $89M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying RLI stock.
RLI Corp.'s current P/E ratio is 12.8x. The historical average is 16.9x. This places it at the 33th percentile of its historical range.
RLI Corp.'s current EV/EBITDA is 9.8x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 13.5x.
RLI Corp.'s return on equity (ROE) is 24.4%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 16.3%.
Based on historical data, RLI Corp. is trading at a P/E of 12.8x. This is at the 33th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
RLI Corp.'s current dividend yield is 4.68% with a payout ratio of 59.9%.
RLI Corp. has 29.8% gross margin and 27.5% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
RLI Corp.'s Debt/EBITDA ratio is 0.2x, indicating low leverage. A ratio below 2x is generally considered financially healthy.
Key Metrics
Top Statement Risk
Social inflation in casualty
Metrics are mathematically derived from official filings.
Underwriting Discipline Drives Exceptional Combined Ratio
RLI's combined ratio improved to 63.4% in 2026Q2, down from 84.1% in 2026Q1, reflecting a loss ratio of 33.0% and robust underwriting discipline, as reported in the latest quarterly filing.
The dramatic improvement in the combined ratio, driven by a loss ratio of 33.0%, appears to be partly attributable to favorable reserve development, as historical loss ratios have averaged higher. While this suggests strong current-year underwriting, investors should monitor whether such favorable development is sustainable or a sign of under-reserving. The expense ratio of 30.4% indicates efficient cost control, but the low loss ratio warrants scrutiny for potential reserve releases.
ROE Surges on Underwriting and Investment Gains
ROE jumped to 9.5% in 2026Q2 from 3.1% in 2026Q1, driven by exceptional underwriting margins and a 17% rise in net investment income, according to the latest earnings release.
The decomposition of ROE suggests that underwriting profitability, with an underwriting margin of 36.6%, is the primary driver, supplemented by investment income from a higher rate environment. However, the low debt-to-equity ratio of 0.17% implies a conservative capital structure that may cap ROE relative to more leveraged peers. Investors should assess whether the current ROE level is sustainable given potential normalization of loss ratios and competition.
Fortress Balance Sheet Limits Underwriting Leverage
With a debt-to-equity ratio of 0.17% and equity of $1.8B, RLI maintains a fortress balance sheet, as per the latest balance sheet data, supporting capital flexibility but potentially constraining ROE.
The minimal financial leverage suggests that RLI's underwriting leverage, as measured by premium-to-surplus, is conservative relative to rating agency guidelines. This conservative approach may lead to lower ROE compared to peers who employ more leverage, but it provides resilience in soft markets. The 11% increase in book value per share since year-end 2025 indicates strong capital generation, which may support future special dividends or strategic flexibility.
Valuation Premium Reflects Underwriting Consistency
RLI trades at a P/B of 3.18, a premium to peers like ACGL (1.56) and RNR (0.75), but below KNSL (4.23), based on current market data, suggesting the market rewards its underwriting track record.
The premium to book value appears justified by RLI's consistent combined ratio below 100% and its specialized underwriting model, which may be more resilient than peers. However, the forward P/E of 21.40 implies expectations of continued strong earnings, which may be optimistic if loss ratios normalize. Investors should compare RLI's ROE of 9.5% to peers like KNSL's 29.1% to assess whether the premium is warranted.
Combined Ratio Misleads Without Reserve Adjustment
The combined ratio, while a key metric, can be distorted by favorable reserve development; RLI's 63.4% in 2026Q2 may overstate underwriting profitability, as per the reported figures, warranting adjustment.
Investors commonly misapply the combined ratio without considering reserve releases, which can inflate current profitability. For RLI, the loss ratio of 33.0% is well below historical averages, suggesting that reserve releases may be boosting the reported combined ratio. An alternative metric is the accident-year combined ratio, which excludes reserve development, providing a clearer picture of current underwriting performance. Monitoring this adjusted ratio is crucial for assessing sustainability.