Published on 24 Nov 2022 on Simply Wall St. via Yahoo Finance

Trean Insurance Group, Inc.'s (NASDAQ:TIG) Prospects Need A Boost To Lift Shares

Trean Insurance Group, Inc.'s (NASDAQ:TIG) price-to-earnings (or "P/E") ratio of 5.1x might make it look like a strong buy right now compared to the market in the United States, where around half of the companies have P/E ratios above 15x and even P/E's above 29x are quite common. Nonetheless, we'd need to dig a little deeper to determine if there is a rational basis for the highly reduced P/E.

Recent times haven't been advantageous for Trean Insurance Group as its earnings have been rising slower than most other companies. The P/E is probably low because investors think this lacklustre earnings performance isn't going to get any better. If you still like the company, you'd be hoping earnings don't get any worse and that you could pick up some stock while it's out of favour.

View our latest analysis for Trean Insurance Group