WTM Intrinsic Stock Value – White Mountains Insurance Announces Third Quarter Fiscal Year 2023 Earnings Results

🌥️Earnings Overview

On November 6, 2023, WHITE MOUNTAINS INSURANCE ($NYSE:WTM) released their earnings report for the third quarter of Fiscal Year 2023 (ending September 30, 2023). Total revenue was reported at USD 519.6 million, representing a 35.6% increase from the same quarter in the previous year. However, net income was USD 23.6 million, a 97.3% decrease compared to the same quarter the year before.

Share Price

The stock opened at $1470.5 and closed at $1452.0, down by 0.6% from the previous closing price of 1461.1. This was a bit of a surprise, as market analysts had expected that the stock price would increase due to strong performance over the last few quarters. Despite the dip in stock prices, WMI still reported strong revenue numbers. This strong performance was attributed to an increase in the number of policies sold and higher premiums. This figure has been steadily increasing over the past three quarters and is a positive sign for the health of the company’s finances.

Looking ahead, WMI has expressed optimism for their fourth quarter and beyond. They believe that their future performance will be driven by the continued expansion of their product offerings and their ability to capitalize on opportunities in the marketplace. Overall, WMI has had a positive third quarter and they look forward to continuing their success in the months ahead. Live Quote…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for WTM. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for WTM. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for WTM. More…

Key Ratios Snapshot

Some of the financial key ratios for WTM are shown below. More…

Analysis – WTM Intrinsic Stock Value

Our team at GoodWhale has conducted an analysis of WHITE MOUNTAINS INSURANCE’s wellbeing. Our proprietary Valuation Line has calculated the fair value of WHITE MOUNTAINS INSURANCE’s share to be around $1996.9. However, the current market value of the stock is at $1452.0, indicating that it is undervalued by 27.3%. This is an opportunity for investors looking for potential growth in the near future. We believe WHITE MOUNTAINS INSURANCE is a great investment as it is currently trading at a discount. More…

Peers

The competition between White Mountains Insurance Group Ltd and its competitors, Unico American Corp, Safety Insurance Group Inc, and Horace Mann Educators Corp, is fierce. Each of these companies strive to provide the best service and products to their customers and are constantly striving to find ways to gain an edge over their competitors. As such, White Mountains Insurance Group Ltd must remain vigilant and continue to innovate in order to stay ahead of the competition.

– Unico American Corp ($NASDAQ:UNAM)

Unico American Corporation is a holding company that provides specialty insurance and related services through its subsidiaries. Founded in 1972, Unico is based in Van Nuys, California and is publicly traded on the Nasdaq Exchange. As of 2022, Unico has a market capitalization of 6.36 million dollars, meaning the total value of its shares is 6.36 million dollars. Its return on equity (ROE), which measures how efficiently its management is using shareholders’ investments to generate profits, is -27.35%. This means that Unico’s management has not been able to effectively utilize equity investments to generate profits for the company.

– Safety Insurance Group Inc ($NASDAQ:SAFT)

Safety Insurance Group Inc is a leading provider of property and casualty insurance products in the New England area. The company specializes in personal auto, homeowners, and commercial business insurance policies. As of 2022, the company has a market capitalization of 1.24 billion dollars, indicating that its current value is over one billion dollars. This market cap is indicative of the company’s success and the faith investors have in its future. In addition, its return on equity of 5.35% is higher than the industry average, further demonstrating that Safety Insurance Group Inc is a successful and profitable venture.

– Horace Mann Educators Corp ($NYSE:HMN)

Horace Mann Educators Corporation is a leading insurance and financial services company that serves educators and their families nationwide. It has a market capitalization of 1.48 billion USD as of 2022, making it a large-cap stock. The company offers a range of products, including life insurance, annuities, mutual funds, and property and casualty insurance, to meet the diverse needs of educators. The Return on Equity (ROE) of Horace Mann Educators Corporation is 4.11%, which is an indication of its profitability. This means that for every dollar of shareholders’ equity, the company earns 4.11 cents in net income. The company’s ROE is higher than the industry average of 3.98%. This indicates that Horace Mann Educators Corporation is efficiently managing its resources to generate increased earnings for its shareholders.

Summary

White Mountains Insurance reported strong third quarter results for FY2023, with total revenue rising 35.6% year-over-year to USD 519.6 million. However, net income decreased 97.3%, declining to USD 23.6 million. Despite the drop in net income, WHITE MOUNTAINS INSURANCE has seen a steady increase in revenue, suggesting potential opportunities for investors. The company’s strong performance has led to a positive outlook for future quarters, and investors may be pleased with the company’s solid financial position.