W. R. Berkley Corporation

LSE:0HMZ Stock Report

Market Cap: US$23.7b

W. R. Berkley Valuation

Is 0HMZ undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 0HMZ when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 0HMZ ($62.27) is trading below our estimate of fair value ($130.29)

Significantly Below Fair Value: 0HMZ is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0HMZ?

Key metric: As 0HMZ is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 0HMZ. This is calculated by dividing 0HMZ's market cap by their current earnings.
What is 0HMZ's PE Ratio?
PE Ratio15x
EarningsUS$1.58b
Market CapUS$23.73b

Price to Earnings Ratio vs Peers

How does 0HMZ's PE Ratio compare to its peers?

The above table shows the PE ratio for 0HMZ vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average9x
ADM Admiral Group
18.4x11.6%UK£7.4b
BEZ Beazley
4.7x-17.0%UK£4.9b
HSX Hiscox
6.2x-2.4%UK£3.5b
DLG Direct Line Insurance Group
6.8x8.0%UK£2.1b
0HMZ W. R. Berkley
15x4.4%US$23.7b

Price-To-Earnings vs Peers: 0HMZ is expensive based on its Price-To-Earnings Ratio (15x) compared to the peer average (9x).

Price to Earnings Ratio vs Industry

How does 0HMZ's PE Ratio compare vs other companies in the European Insurance Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
0HMZ 15.0xIndustry Avg. 11.8xNo. of Companies12PE0816243240+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 0HMZ is expensive based on its Price-To-Earnings Ratio (15x) compared to the European Insurance industry average (11.8x).

Price to Earnings Ratio vs Fair Ratio

What is 0HMZ's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

0HMZ PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio15x
Fair PE Ratio12.2x

Price-To-Earnings vs Fair Ratio: 0HMZ is expensive based on its Price-To-Earnings Ratio (15x) compared to the estimated Fair Price-To-Earnings Ratio (12.2x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 0HMZ forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$62.88
US$63.86
+1.6%
11.0%US$76.00US$49.00n/a14
Nov ’25US$57.62
US$62.57
+8.6%
10.4%US$76.00US$49.00n/a14
Oct ’25US$57.35
US$59.21
+3.3%
8.5%US$68.00US$49.00n/a14
Sep ’25US$59.50
US$59.46
-0.06%
8.7%US$68.00US$49.00n/a13
Aug ’25US$54.22
US$59.46
+9.7%
8.7%US$68.00US$49.00n/a13
Jul ’25US$52.68
US$59.28
+12.5%
9.1%US$68.67US$47.33n/a13
Jun ’25US$53.48
US$58.03
+8.5%
9.0%US$65.33US$47.33n/a13
May ’25US$52.24
US$58.13
+11.3%
9.0%US$65.33US$47.33n/a13
Apr ’25US$59.20
US$56.33
-4.8%
10.1%US$63.33US$43.33n/a13
Mar ’25US$55.45
US$56.33
+1.6%
10.1%US$63.33US$43.33n/a13
Feb ’25US$53.63
US$56.08
+4.6%
10.2%US$63.33US$43.33n/a13
Jan ’25US$46.84
US$49.92
+6.6%
9.0%US$56.67US$41.33n/a13
Dec ’24US$48.88
US$49.39
+1.0%
9.5%US$56.67US$41.33n/a12
Nov ’24US$45.23
US$49.06
+8.5%
9.1%US$56.67US$41.33US$57.6212
Oct ’24US$42.55
US$48.44
+13.8%
8.7%US$55.33US$41.33US$57.3512
Sep ’24US$41.58
US$48.44
+16.5%
8.7%US$55.33US$41.33US$59.5012
Aug ’24US$41.31
US$48.39
+17.1%
8.7%US$55.33US$41.33US$54.2212
Jul ’24US$39.87
US$49.67
+24.6%
8.5%US$56.00US$42.00US$52.6812
Jun ’24US$37.13
US$49.67
+33.8%
8.5%US$56.00US$42.00US$53.4812
May ’24US$39.27
US$50.22
+27.9%
8.2%US$56.00US$42.00US$52.2412
Apr ’24US$41.44
US$53.61
+29.4%
9.2%US$58.67US$40.00US$59.2012
Mar ’24US$44.65
US$54.11
+21.2%
9.1%US$58.67US$40.00US$55.4512
Feb ’24US$46.13
US$54.11
+17.3%
9.1%US$58.67US$40.00US$53.6312
Jan ’24n/a
US$52.85
0%
9.1%US$58.67US$40.00US$46.8411
Dec ’23US$50.25
US$52.61
+4.7%
8.9%US$58.67US$40.00US$48.8812
Nov ’23US$50.08
US$51.83
+3.5%
9.4%US$56.67US$38.00US$45.2312

Analyst Forecast: Target price is less than 20% higher than the current share price.

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