White Mountains Insurance Group, Ltd. (WTM) Stock

White Mountains Insurance Group, Ltd. (WTM) is a Financials stock trading at $2114.06 (as of 2026-09-03), with a market capitalization of $5.24B and a trailing P/E of 4.7. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

White Mountains Insurance Group, Ltd. and its subsidiaries provide insurance and other financial services in the United States through segments including HG Global/BAM, Ark, NSM, Kudu, and Other Operations. These units cover municipal bond-related insurance and reinsurance protection, property and casualty insurance and reinsurance, managing general agent and program administration for specialty P&C, capital solutions for asset and wealth managers, and travel-focused insurance offerings via broker and direct channels.

Understand White Mountains Insurance Group, Ltd.: how it makes money

White Mountains Insurance is a diversified US insurer writing municipal bond insurance (BAM), specialty reinsurance (Ark), and other financial risk products to municipalities, corporations, and reinsurers. Revenue is most concentrated in Ark's reinsurance book, while BAM contributes a smaller, steadier stream of premiums and fees.

Profit is the thin spread between premiums collected and claims plus expenses (combined ratio 94%), amplified or wiped out by investment returns earned on the premium float.

Business quality (Weak): Earnings are fragile: underwriting is marginally profitable but operating losses and a 10% revenue decline leave little cushion for a bad quarter.

Valuation: At 5× earnings, WTM trades 61% below the Insurance average (13×). Note: the low multiple may reflect one-time earnings items.

Bull case

  • Trades at 39% of industry multiple: The P/E stands at 5.1x versus the insurance industry average of 13.1x, a 61% discount that bakes in substantial pessimism and leaves room for a multiple re-rating if underwriting stabilises.
  • Specialty re underwrites profitably: The company-wide combined ratio is 94%, and WM Outrigger Re posts a 41% combined ratio, meaning the specialty reinsurance line generates underwriting profit on roughly 60 cents of every premium dollar.

Bear case

  • Premium base is contracting: Quarterly revenue fell 10% year over year to $500M while the operating margin sits at negative 5%, indicating the top-line decline is outpacing any cost discipline.
  • Gross margin masks operating bleed: A 92% gross margin looks strong, but the slide to a negative 5% operating margin shows underwriting expenses and investment charges are consuming virtually all the underwriting profit before it reaches shareholders.
Valuation — source: SEC EDGAR (first-party)
Price$2114.06
Market Cap$5.24B
P/E Ratio4.7
EV / EBITDA4.6
Price / Book0.86
Price / Sales1.37
DCF Value (model)$10029.04
DCF Upside vs Price374.4%
Profitability & Growth — source: SEC EDGAR
Revenue (TTM)$3.73B
Net Margin29.6%
Revenue Growth (YoY)22.5%
EPS Growth (YoY)68.8%
Valuation vs Sector & Industry
Stock P/E4.7
Sector P/E (Financials)15.2
Industry P/E (Insurance)12.4
vs Sector-69.3%
vs Industry-62.3%
Company
SectorFinancials
IndustryInsurance
CEOLiam Caffrey
Employees893
CountryBM
IPO Date1985-10-23

Related Companies (Insurance; 8 comparable insurers)

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WTM earnings history · WTM institutional & insider holders · WTM KPIs & operating metrics · WTM financials · WTM investor presentations & press releases · WTM SEC filings · WTM peers · Congress trades · Insider trades · Short interest · Stock screener

Data as of 2026-09-03.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.