Enact HoldingsACT -0.70%74 Debt-to-EBITDA is 0.83 as of Mar. 2026, which is 1% above its 10-year median of 0.82. GuruFocus rates ACT with a GF Score™ of 74/100 and a GF Value™ of $38.43 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 323 Insurance companies, Enact Holdings ranks better than 61.92% on this metric.
Debt-to-EBITDA measures a company's ability to pay off its debt.
A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt. According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.
The historical rank and industry rank for Enact Holdings's Debt-to-EBITDA or its related term are showing as below:
ACT'
s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.78 Med: 0.82 Max: 1.5
Current: 0.82
During the past 7 years, the highest Debt-to-EBITDA Ratio of Enact Holdings was 1.50. The lowest was 0.78. And the median was 0.82.
ACT's Debt-to-EBITDA is ranked better than 61.92% of 323
companies
in the Insurance industry
Industry Median: 1.18
vs ACT: 0.82
A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt.
According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.
Enact Holdings Debt-to-EBITDA Related Terms
Enact Holdings Debt-to-EBITDA Historical Data
* Premium members only.
The historical data trend for Enact Holdings's Debt-to-EBITDA can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Insurance - Specialty subindustry, Enact Holdings's Debt-to-EBITDA, along with its competitors' market caps and Debt-to-EBITDA data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Enact Holdings Debt-to-EBITDA vs Insurance Industry
For the Insurance industry and Financial Services sector, Enact Holdings's Debt-to-EBITDA distribution charts can be found below:
* The bar in red indicates where Enact Holdings's Debt-to-EBITDA falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual Debt-to-EBITDA, the EBITDA of the last fiscal year is used. In calculating the annualized quarterly data,
the EBITDA data used here is four times the quarterly (Mar. 2026) EBITDA data.
Enact Holdings (ACT) has a Debt-to-EBITDA of 0.83 as of Mar. 2026. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Enact Holdings. This is near median its historical median of 0.82. Over the past decade, Enact Holdings' Debt-to-EBITDA has ranged from 0.78 to 1.50. According to the industry distribution chart, Enact Holdings ranks #123 out of 323 companies in the Insurance industry, placing it in the top 38.1%.
Is Enact Holdings' Debt-to-EBITDA too high?
Enact Holdings' current Debt-to-EBITDA of 0.83 is near median its 10-year median of 0.82. Over the past 10 years, this metric has ranged from a low of 0.78 to a high of 1.50. The Insurance industry median Debt-to-EBITDA is 1.18. Enact Holdings' value of 0.83 is 29.7% below this industry median. Based on the distribution chart, Enact Holdings ranks #123 out of 323 companies in the Insurance industry, which is above the industry midpoint. Overall, Enact Holdings has a GF Score™ of 74/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Enact Holdings' Debt-to-EBITDA compare to ESNT and MTG?
According to the Insurance industry distribution chart, Enact Holdings ranks #123 out of 323 companies for Debt-to-EBITDA. This puts Enact Holdings in the upper half of its industry. The industry median Debt-to-EBITDA is 1.18. Enact Holdings' value of 0.83 is 29.7% below this benchmark. Historically, Enact Holdings' own Debt-to-EBITDA has ranged from 0.78 to 1.50 over the past decade. While the company's 10-year median is 0.82 vs. the industry median of 1.18, Enact Holdings has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Debt-to-EBITDA for an Insurance company?
The median Debt-to-EBITDA among Insurance companies is 1.18, based on 323 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Enact Holdings's current Debt-to-EBITDA of 0.83 is 29.7% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Debt-to-EBITDA mean?
A high Debt-to-EBITDA can signal that a stock is expensive relative to its fundamentals. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Enact Holdings. For the Insurance industry, the median Debt-to-EBITDA is 1.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Enact Holdings's current Debt-to-EBITDA is 0.83, which is near median its own 10-year median of 0.82. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Enact Holdings stock overvalued right now?
Based on GuruFocus' analysis, Enact Holdings (ACT) is currently considered Modestly Overvalued. The stock's GF Value™ is $38.43, compared to a current price of $45.39 — trading 18.1% above its estimated fair value. The current Debt-to-EBITDA is 0.83, which is near median its 10-year median of 0.82 and 29.7% below the Insurance industry median of 1.18. Enact Holdings' overall GF Score™ is 74/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-EBITDA calculated?
Debt-to-EBITDA is calculated from a company's financial statements. For Enact Holdings (ACT), the current Debt-to-EBITDA is 0.83 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Enact Holdings (ACT) Overvalued in 2026?
Based on GuruFocus' analysis, Enact Holdings stock appears to be overvalued.
The current stock price of $45.39 is trading 18.1% above its estimated GF Value™ of $38.43.
GuruFocus considers Enact Holdings to be Modestly Overvalued.
Key valuation signals for ACT:
Debt-to-EBITDA: 0.83 (near median its 10-year median of 0.82)
GF Value™: $38.43 vs. price of $45.39 (18.1% above fair value)
Industry Position: 29.7% below the Insurance median (#123 of 323)
No single metric tells the full story. See the ACT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Enact Holdings Inc is a private mortgage insurance company serving the United States housing finance market. The company operates in a single reportable segment namely Mortgage Insurance The principal mortgage insurance customers are originators of residential mortgage loans that determines the mortgage insurer or insurers to be used for the placement of mortgage insurance written on loans originated. The company is engaged in writing and assuming residential mortgage guaranty insurance.
74GF Score
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