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White Mountains Insurance Group (BDA:WTM.BH) Intrinsic Value: Projected FCF : $941.83 (As of Apr. 29, 2024)


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What is White Mountains Insurance Group Intrinsic Value: Projected FCF?

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.

As of today (2024-04-29), White Mountains Insurance Group's Intrinsic Value: Projected FCF is $941.83. The stock price of White Mountains Insurance Group is $976.65. Therefore, White Mountains Insurance Group's Price-to-Intrinsic-Value-Projected-FCF of today is 1.0.

The historical rank and industry rank for White Mountains Insurance Group's Intrinsic Value: Projected FCF or its related term are showing as below:

BDA:WTM.BH' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 0.88   Med: 1.37   Max: 1.84
Current: 1.04

During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of White Mountains Insurance Group was 1.84. The lowest was 0.88. And the median was 1.37.

BDA:WTM.BH's Price-to-Projected-FCF is ranked worse than
70.92% of 392 companies
in the Insurance industry
Industry Median: 0.65 vs BDA:WTM.BH: 1.04

White Mountains Insurance Group Intrinsic Value: Projected FCF Historical Data

The historical data trend for White Mountains Insurance Group's Intrinsic Value: Projected FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

White Mountains Insurance Group Intrinsic Value: Projected FCF Chart

White Mountains Insurance Group Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Intrinsic Value: Projected FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - 646.91 867.67 1,106.64

White Mountains Insurance Group Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Intrinsic Value: Projected FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 867.67 963.07 1,018.26 1,044.26 1,106.64

Competitive Comparison of White Mountains Insurance Group's Intrinsic Value: Projected FCF

For the Insurance - Property & Casualty subindustry, White Mountains Insurance Group's Price-to-Projected-FCF, along with its competitors' market caps and Price-to-Projected-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


White Mountains Insurance Group's Price-to-Projected-FCF Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, White Mountains Insurance Group's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where White Mountains Insurance Group's Price-to-Projected-FCF falls into.



White Mountains Insurance Group Intrinsic Value: Projected FCF Calculation

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company.

The details of how we calculate the intrinsic value of stocks are described in detail here.

This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of Total Stockholders Equity.

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + 0.8 * Total Stockholders Equity (most recent) ) / Shares Outstanding (Diluted Average)

In the case of negative Total Stockholders Equity, the following formula is used (see Explanation section below for the reason):

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + Total Stockholders Equity (most recent) / 0.8 ) / Shares Outstanding (Diluted Average)


Add all the Free Cash Flow together and divide 6 will get White Mountains Insurance Group's Free Cash Flow(6 year avg) = $95.60.

White Mountains Insurance Group's Intrinsic Value: Projected FCF for today is calculated as

Intrinsic Value: Projected FCF=(Growth Multiple*Free Cash Flow (6 year avg)+Total Stockholders Equity (Dec23)*0.8)/Shares Outstanding (Diluted Average)
=(9.5203515959648*95.6+4240.5*0.8)/2.523
=1,705.33

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


White Mountains Insurance Group  (BDA:WTM.BH) Intrinsic Value: Projected FCF Explanation

The growth multiple is capped between 8.35 and 17.74.

Total Stockholders Equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy median after taking the above ideas into consideration.

White Mountains Insurance Group's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=976.65/1705.3292162403
=0.57

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


White Mountains Insurance Group Intrinsic Value: Projected FCF Related Terms

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White Mountains Insurance Group (BDA:WTM.BH) Business Description

Traded in Other Exchanges
Address
23 South Main Street, Suite 3B, Hanover, NH, USA, 03755-2053
White Mountains Insurance Group Ltd is engaged in the business of making opportunistic and value-oriented acquisitions of businesses and assets in the insurance, financial services and related sectors, operating these businesses and assets through its subsidiaries and, if and when attractive exit valuations become available, disposing of these businesses and assets. The company conducts its business in four areas: municipal bond insurance, property and casualty insurance and reinsurance, capital solutions for asset and wealth management firms and other operations. White Mountains's municipal bond insurance business is conducted through its subsidiary HG Global Ltd. and its reinsurance subsidiary HG Re Ltd.

White Mountains Insurance Group (BDA:WTM.BH) Headlines

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