W R Berkley Stock Buy Hold or Sell Recommendation

WRB Stock  USD 88.17  1.63  1.88%   
Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding W R Berkley is 'Strong Buy'. Macroaxis provides W R buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding W R positions. The advice algorithm takes into account all of W R's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting W R's buy or sell advice are summarized below:
Real Value
86.29
Target Price
73.64
Hype Value
88.39
Market Value
88.17
Naive Value
87.64
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell W R Berkley given historical horizon and risk tolerance towards W R. When Macroaxis issues a 'buy' or 'sell' recommendation for W R Berkley, the advice is generated through an automated system that utilizes algorithms and statistical models.
  
Check out W R Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
In addition, we conduct extensive research on individual companies such as WRB and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards W R Berkley. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in metropolitan statistical area.

Execute W R Buy or Sell Advice

The WRB recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on W R Berkley. Macroaxis does not own or have any residual interests in W R Berkley or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute W R's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell W RBuy W R
Strong Buy

Market Performance

SolidDetails

Volatility

Very steadyDetails

Hype Condition

Low keyDetails

Current Valuation

Fairly ValuedDetails

Odds Of Distress

LowDetails

Economic Sensitivity

Barely shadows the marketDetails

Investor Sentiment

InterestedDetails

Analyst Consensus

BuyDetails

Financial Strenth (F Score)

PoorDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon W R Berkley has a Risk Adjusted Performance of 0.1636, Jensen Alpha of 0.3402, Total Risk Alpha of 0.0679, Sortino Ratio of 0.2526 and Treynor Ratio of 2.91
Macroaxis provides trade recommendation on W R to complement and cross-verify current analyst consensus on W R Berkley. Our trade advice engine determines the company's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon. To make sure W R Berkley is not overpriced, please check out all W R Berkley fundamentals, including its ebitda, earnings per share, five year return, as well as the relationship between the debt to equity and market capitalization . Given that W R Berkley has a price to earning of 16.21 X, we strongly advise you to confirm W R Berkley market performance and probability of bankruptcy to ensure the company can sustain itself in the coming quarters given your prevalent risk tolerance and investing horizon.

W R Trading Alerts and Improvement Suggestions

The company has 3.06 B in debt with debt to equity (D/E) ratio of 0.48, which is OK given its current industry classification. W R Berkley has a current ratio of 0.41, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Debt can assist W R until it has trouble settling it off, either with new capital or with free cash flow. So, W R's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like W R Berkley sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for WRB to invest in growth at high rates of return. When we think about W R's use of debt, we should always consider it together with cash and equity.
W R Berkley has a poor financial position based on the latest SEC disclosures
About 71.0% of W R outstanding shares are owned by institutional investors
On 13th of March 2024 W R paid $ 0.11 per share dividend to its current shareholders
Latest headline from finance.yahoo.com: W. R. Berkley Corporation Renames Union Standard Insurance Group to Berkley Southwest

W R Returns Distribution Density

The distribution of W R's historical returns is an attempt to chart the uncertainty of W R's future price movements. The chart of the probability distribution of W R daily returns describes the distribution of returns around its average expected value. We use W R Berkley price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of W R returns is essential to provide solid investment advice for W R.
Mean Return
0.37
Value At Risk
-1.14
Potential Upside
2.02
Standard Deviation
1.29
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of W R historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

WRB Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument such as W R is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading W R Berkley backward and forwards among themselves. W R's institutional investor refers to the entity that pools money to purchase W R's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Shares
First Trust Advisors L.p.2023-12-31
2.8 M
Amvescap Plc.2023-12-31
2.7 M
Apg All Pensions Group2023-12-31
2.5 M
Northern Trust Corp2023-12-31
M
1832 Asset Management L.p2023-12-31
1.9 M
Dimensional Fund Advisors, Inc.2023-12-31
1.9 M
Polar Capital Holdings Plc2023-12-31
1.9 M
Manufacturers Life Insurance Co2023-12-31
1.9 M
Wells Fargo & Co2023-12-31
1.8 M
Vanguard Group Inc2023-12-31
24.2 M
Blackrock Inc2023-12-31
16.4 M
Note, although W R's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

W R Cash Flow Accounts

201920202021202220232024 (projected)
Change In Cash206.1M1.3B(803.5M)(119.5M)(86.2M)(81.8M)
Free Cash Flow1.1B1.6B2.1B2.5B2.9B3.1B
Other Non Cash Items2.0M2.3M8.5M(278.9M)(34.6M)(36.3M)
Dividends Paid308.2M84.1M355.7M235.2M(501.5M)(476.4M)
Capital Expenditures60.5M38.2M66.6M52.7M53.1M39.8M
Net Income681.9M530.7M1.0B1.4B1.4B1.5B
End Period Cash Flow1.0B2.4B1.6B1.4B1.4B799.6M
Depreciation113.4M135.1M129.7M55.9M(20.9M)(19.8M)
Change To Netincome(158.0M)(207.3M)(516.5M)(412.2M)(371.0M)(352.4M)
Investments(415.2M)8.5M(2.8B)(2.4B)(1.7B)(1.7B)
Change Receivables(355.0M)(487.1M)(798.0M)(534.5M)(481.0M)(505.1M)
Net Borrowings(165.4M)88.9M529.2M(429.8M)(386.8M)(367.5M)

W R Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to W R or Insurance sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that W R's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a WRB stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over NYSE Composite
0.34
β
Beta against NYSE Composite0.12
σ
Overall volatility
1.33
Ir
Information ratio 0.18

W R Volatility Alert

W R Berkley has low volatility with Treynor Ratio of 2.91, Maximum Drawdown of 9.34 and kurtosis of 11.51. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure W R's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact W R's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.

W R Fundamentals Vs Peers

Comparing W R's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze W R's direct or indirect competition across all of the common fundamentals between W R and the related equities. This way, we can detect undervalued stocks with similar characteristics as W R or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of W R's fundamental indicators could also be used in its relative valuation, which is a method of valuing W R by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare W R to competition
FundamentalsW RPeer Average
Return On Equity0.19-0.31
Return On Asset0.0337-0.14
Profit Margin0.11 %(1.27) %
Operating Margin0.18 %(5.51) %
Current Valuation24.1 B16.62 B
Shares Outstanding256.55 M571.82 M
Shares Owned By Insiders24.80 %10.09 %
Shares Owned By Institutions70.50 %39.21 %
Number Of Shares Shorted3.15 M4.71 M
Price To Earning16.21 X28.72 X
Price To Book3.03 X9.51 X
Price To Sales1.86 X11.42 X
Revenue12.14 B9.43 B
Gross Profit4.81 B27.38 B
EBITDA1.75 B3.9 B
Net Income1.38 B570.98 M
Cash And Equivalents1.45 B2.7 B
Cash Per Share8.65 X5.01 X
Total Debt3.06 B5.32 B
Debt To Equity0.48 %48.70 %
Current Ratio0.42 X2.16 X
Book Value Per Share29.06 X1.93 K
Cash Flow From Operations2.98 B971.22 M
Short Ratio2.74 X4.00 X
Earnings Per Share5.05 X3.12 X
Price To Earnings To Growth2.67 X4.89 X
Target Price86.13
Number Of Employees8.33 K18.84 K
Beta0.57-0.15
Market Capitalization22.62 B19.03 B
Total Asset32.91 B29.47 B
Retained Earnings11.04 B9.33 B
Z Score5.468.72
Note: Disposition of 202 shares by Richard Baio of W R at 74.345 subject to Rule 16b-3 [view details]

W R Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as WRB . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About W R Buy or Sell Advice

When is the right time to buy or sell W R Berkley? Buying financial instruments such as WRB Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2021 2022 2023 2024 (projected)
Short and Long Term Debt Total3.3B2.8B3.1B3.2B
Total Assets32.1B33.9B32.9B34.6B

Use Investing Ideas to Build Portfolios

In addition to having W R in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Biotech Thematic Idea Now

Biotech
Biotech Theme
Companies specialized in biotechnology production and delivery of pharmaceuticals services. The Biotech theme has 47 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Biotech Theme or any other thematic opportunities.
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When determining whether W R Berkley offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of W R's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of W R Berkley Stock. Outlined below are crucial reports that will aid in making a well-informed decision on W R Berkley Stock:
Check out W R Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
You can also try the Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.

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Is W R's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of W R. If investors know WRB will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about W R listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
0.066
Dividend Share
0.43
Earnings Share
5.05
Revenue Per Share
44.808
Quarterly Revenue Growth
0.069
The market value of W R Berkley is measured differently than its book value, which is the value of WRB that is recorded on the company's balance sheet. Investors also form their own opinion of W R's value that differs from its market value or its book value, called intrinsic value, which is W R's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because W R's market value can be influenced by many factors that don't directly affect W R's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between W R's value and its price as these two are different measures arrived at by different means. Investors typically determine if W R is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, W R's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.