W.R. Berkley Corporation Common Stock (WRB) fair value
Financial Services · Insurance - Property & Casualty · NYSE · United States
$73.33-2.94%
Market cap $28.0BNext earnings 2026-10-19Updated Oct 23, 2026
Our verdict
Trades 20% above our fair value
Price
$73.33
Model fair valueConfidence: good
$61.01
Model range
$59.56 to $62.25
Fair value $61.01
Price $73.33
2 models fit W.R. Berkley Corporation Common Stock and they agree: 2 of 2 land within 15% of the average. The price is above every model.
Two or more of our models back this value.
Premium(i)Silver64
Valued as an insurer: Residual income, P/E comparison, and Dividend discount.
ACCE opinionW.R. Berkley Corporation Common Stock (WRB)
Fair value (2 models)
$61.01
ACCE price target
$78.00
Rating
Overvalued
Horizon
12 months
Fair value published on 23 Oct 2026, 11:04 CEST; previously $59.90 since 20 Oct 2026, 14:06 CEST.
ACCE price target published on 20 Oct 2026, 02:20 CEST; previously $68.00 since 24 Sept 2026, 00:00 CEST.
Rating published on 18 Oct 2026, 16:04 CEST.
Price used: $73.33 at the close on 23 Oct 2026, 22:00 CEST.
Models: P/E comparison and Residual income.
Fair value: the average of the applicable valuation models (discounted cash flow, multiples, residual income, dividend discount, shareholder yield), each run on the latest financial statements and the market price shown. Opinion columns (fair value, target, rating) are shown apart from the data. Full methodology: acceinvestments.com/data/how-we-value-stocks
Conflicts of interest: The author holds no personal position in this security. General statement
Produced by ACCE Investments (acceinvestments.com)
Data
Price vs fair value
20.2% above
-16.8% to fair value
ACCE score
56
out of 100
Analysts
11% buy
18 covering
P/E
16.0x
forward 13.8x
1-year return
-2.5%
Dividend yield
0.12%
W.R. Berkley Corporation Common Stock in four questions
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Overview
ACCE thesis
W.R. Berkley writes specialty commercial property and casualty insurance through a network of independent underwriting units, with its core lines in excess and surplus, professional liability, and small commercial business. The competitive edge is decentralisation: roughly fifty semi-autonomous operating units each price their own risks, which has let the company stay selective through soft markets and push rates when pricing firms up. Revenue growth is slightly negative at -0.8%, so the case rests on underwriting discipline and returns rather than top-line momentum, and any re-rating would need evidence that premium growth resumes as pricing holds. At a 16.0x trailing and 15.5x forward P/E with a 20.2% return on equity and a 16.1% operating margin, the stock screens reasonably against its profitability. The score of 66/100 and the absence of index membership suggest it is a mid-quality name that merits a closer look at combined ratio trends and reserve development, not a conclusion in itself.
⚠ Investor warnings · 2 flagsAI-assisted·How I use AI
moderate
Revenue growth slowing
Revenue grew only 1.2% year over year, well below the 12.7% five-year CAGR, while earnings grew 15.0%, so profit growth is outpacing the top line.
moderate
Price above model fair value
The stock trades 20.2% above the model fair value of $61.01, so the valuation leaves little margin for error even with ACCE price target of $78.00 sitting 6.0% above the price.
AI research notes
AI-assisted·How I use AIWritten Oct 22, 2026 · figures from 2026-10-21 · prices to Oct 23, 2026
Why it could do well
Free cash flow over the last twelve months reached $3.5B, and the stock yields 12.6% on that cash flow at today's price.
Return on equity of 20.2% is strong for an insurer, and debt to equity of 0.29 leaves the balance sheet conservatively financed.
The company is buying back stock, with the diluted share count down 1.0% last fiscal year, which lifts per-share value for holders.
Why it could disappoint
Revenue grew only 1.2% year over year, far below the 12.7% annual pace of the past five years, so growth has clearly slowed.
The model fair value of $61.01 sits 20.2% below the share price, and the analysts' mean target is 7.1% below the price too.
Only 11% of analysts rate the stock Buy or Strong Buy, and the stock trades at 15.2x forward earnings against a sector median of 11.8x.
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Valuation
INVESTOR
Where WRB's valuation models land
Price
$73.33
Model fair value
$61.01
Model range
$59.56 to $62.25
Fair value $61.01
Price $73.33
The price is above the whole model range.
Model
Fair value
Upside
Dividend discount
P/E comparison
Residual income
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Quality
INVESTOR
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