W. R. Berkley
Market Cap
US$12.0b
Last Updated
2020/12/02 23:36 UTC
Data Sources
Company Financials +
Executive Summary
W. R. Berkley Corporation, an insurance holding company, operates as a commercial lines writer in the United States and internationally. More Details
Rewards
Risk Analysis
Snowflake Analysis
Moderate growth potential with mediocre balance sheet.
Similar Companies
Share Price & News
How has W. R. Berkley's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: WRB is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: WRB's weekly volatility (5%) has been stable over the past year.
Market Performance
7 Day Return
3.6%
WRB
-0.6%
US Insurance
0.7%
US Market
1 Year Return
-1.4%
WRB
-3.8%
US Insurance
22.2%
US Market
Return vs Industry: WRB exceeded the US Insurance industry which returned -3.4% over the past year.
Return vs Market: WRB underperformed the US Market which returned 22.7% over the past year.
Shareholder returns
| WRB | Industry | Market | |
|---|---|---|---|
| 7 Day | 3.6% | -0.6% | 0.7% |
| 30 Day | 8.5% | 12.2% | 11.8% |
| 90 Day | 6.8% | 10.3% | 8.6% |
| 1 Year | -0.8%-1.4% | -1.1%-3.8% | 25.0%22.2% |
| 3 Year | 53.4%44.8% | 10.7%2.6% | 49.4%39.5% |
| 5 Year | 105.5%84.7% | 51.8%32.9% | 100.2%78.1% |
Long-Term Price Volatility Vs. Market
How volatile is W. R. Berkley's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 days ago | Simply Wall St
What Can We Conclude About W. R. Berkley's (NYSE:WRB) CEO Pay?4 weeks ago | Simply Wall St
W. R. Berkley Corporation (NYSE:WRB) Has Fared Decently But Fundamentals Look Uncertain: What Lies Ahead For The Stock?1 month ago | Simply Wall St
Does W. R. Berkley's (NYSE:WRB) Share Price Gain of 69% Match Its Business Performance?Valuation
Is W. R. Berkley undervalued compared to its fair value and its price relative to the market?
37.5x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: WRB ($67.28) is trading above our estimate of fair value ($51.52)
Significantly Below Fair Value: WRB is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: WRB is poor value based on its PE Ratio (37.5x) compared to the US Insurance industry average (14.2x).
PE vs Market: WRB is poor value based on its PE Ratio (37.5x) compared to the US market (19.4x).
Price to Earnings Growth Ratio
PEG Ratio: WRB is poor value based on its PEG Ratio (1.5x)
Price to Book Ratio
PB vs Industry: WRB is overvalued based on its PB Ratio (2x) compared to the US Insurance industry average (0.9x).
Next Steps
Future Growth
How is W. R. Berkley forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
25.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: WRB's forecast earnings growth (25% per year) is above the savings rate (2.2%).
Earnings vs Market: WRB's earnings (25% per year) are forecast to grow faster than the US market (21.8% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: WRB's revenue (5.8% per year) is forecast to grow slower than the US market (10.2% per year).
High Growth Revenue: WRB's revenue (5.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: WRB's Return on Equity is forecast to be low in 3 years time (13.5%).
Next Steps
Past Performance
How has W. R. Berkley performed over the past 5 years?
0.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: WRB has high quality earnings.
Growing Profit Margin: WRB's current net profit margins (4.4%) are lower than last year (8.8%).
Past Earnings Growth Analysis
Earnings Trend: WRB's earnings have grown by 0.1% per year over the past 5 years.
Accelerating Growth: WRB's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: WRB had negative earnings growth (-51.4%) over the past year, making it difficult to compare to the Insurance industry average (6%).
Return on Equity
High ROE: WRB's Return on Equity (5.6%) is considered low.
Next Steps
Financial Health
How is W. R. Berkley's financial position?
Financial Position Analysis
Short Term Liabilities: WRB's short term assets ($8.7B) do not cover its short term liabilities ($18.0B).
Long Term Liabilities: WRB's short term assets ($8.7B) exceed its long term liabilities ($4.2B).
Debt to Equity History and Analysis
Debt Level: WRB's debt to equity ratio (50.9%) is considered high.
Reducing Debt: WRB's debt to equity ratio has increased from 47.2% to 50.9% over the past 5 years.
Debt Coverage: WRB's debt is well covered by operating cash flow (48.3%).
Interest Coverage: WRB's interest payments on its debt are well covered by EBIT (3.9x coverage).
Balance Sheet
Next Steps
Dividend
What is W. R. Berkley current dividend yield, its reliability and sustainability?
0.71%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: WRB's dividend (0.71%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.48%).
High Dividend: WRB's dividend (0.71%) is low compared to the top 25% of dividend payers in the US market (4.14%).
Stability and Growth of Payments
Stable Dividend: WRB is not paying a notable dividend for the US market, therefore no need to check if payments are stable.
Growing Dividend: WRB is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: WRB is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of WRB's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
8.0yrs
Average management tenure
CEO
Rob Berkley (47 yo)
5.17yrs
Tenure
US$11,017,931
Compensation
Mr. William Robert Berkley Jr., also known as Rob, has been the President and Chief Executive Officer of W. R. Berkley Corporation since October 2015 and serves as its Director. Mr. Berkley served as the P...
CEO Compensation Analysis
Compensation vs Market: Rob's total compensation ($USD11.02M) is about average for companies of similar size in the US market ($USD10.98M).
Compensation vs Earnings: Rob's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Chairman of the Board | 53.58yrs | US$11.29m | 19.54% $ 2.3b | |
| President | 5.17yrs | US$11.02m | 0.67% $ 80.7m | |
| Executive VP | 4.58yrs | US$1.99m | 0.037% $ 4.4m | |
| Executive Vice President of Investments | 5.5yrs | US$2.13m | 0.090% $ 10.8m | |
| Executive Vice President | 10.58yrs | US$2.07m | 0.0019% $ 227.8k | |
| Executive VP | 1.92yrs | no data | 0.024% $ 2.8m | |
| SVP & Chief Compliance Officer | 8.67yrs | no data | no data | |
| VP & Chief Marketing Officer | 7.42yrs | no data | no data | |
| Senior Vice President of Human Resources | 11.25yrs | no data | no data | |
| Senior Vice President of Investments | 2.92yrs | no data | no data | |
| Executive Vice President | 18.92yrs | no data | no data | |
| Senior Vice President of Insurance Risk Management | 17.17yrs | no data | no data |
8.0yrs
Average Tenure
59.5yo
Average Age
Experienced Management: WRB's management team is seasoned and experienced (8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Chairman of the Board | 53.58yrs | US$11.29m | 19.54% $ 2.3b | |
| President | 5.17yrs | US$11.02m | 0.67% $ 80.7m | |
| Independent Director | 19.92yrs | US$300.54k | 0.49% $ 59.2m | |
| Independent Director | 53.58yrs | US$291.54k | 0.084% $ 10.1m | |
| Independent Director | 46.58yrs | US$340.54k | 0.050% $ 5.9m | |
| Independent Director | 19.92yrs | US$299.04k | 0.031% $ 3.7m | |
| Independent Director | 3.58yrs | US$305.54k | 0.0084% $ 1.0m | |
| Independent Director | 14.75yrs | US$335.54k | 0.034% $ 4.1m | |
| Independent Director | 2.58yrs | US$300.54k | 0.0059% $ 711.0k | |
| Chairman of Berkley Healthcare | 1.08yrs | no data | no data | |
| Independent Director | 8.58yrs | US$305.54k | 0.021% $ 2.5m | |
| Chairman of Berkley Luxury Group | 0.83yr | no data | no data |
17.3yrs
Average Tenure
64yo
Average Age
Experienced Board: WRB's board of directors are seasoned and experienced ( 17.3 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
W. R. Berkley Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: W. R. Berkley Corporation
- Ticker: WRB
- Exchange: NYSE
- Founded: 1967
- Industry: Property and Casualty Insurance
- Sector: Insurance
- Market Cap: US$11.991b
- Shares outstanding: 178.22m
- Website: https://www.berkley.com
Number of Employees
Location
- W. R. Berkley Corporation
- 475 Steamboat Road
- Greenwich
- Connecticut
- 6830
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| WRB | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Oct 1973 |
| WR1 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Oct 1973 |
| 0HMZ | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Oct 1973 |
| WRB * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Oct 1973 |
| W1RB34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH 10 REPR 1 COM NPV | BR | BRL | Oct 2020 |
Biography
W. R. Berkley Corporation, an insurance holding company, operates as a commercial lines writer in the United States and internationally. It operates through two segments, Insurance and Reinsurance & Monoli...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/12/02 23:36 |
| End of Day Share Price | 2020/12/02 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.