Cincinnati Financial Corporation (CINF) vs W.R. Berkley Corporation (WRB)

Cincinnati Financial Corporation and W.R. Berkley Corporation are both Insurance Property & Casualty companies. Cincinnati Financial Corporation and W.R. Berkley Corporation are of similar size ($28.9B and $28.6B). Cincinnati Financial Corporation trades at the lower P/E: 10.9× against 16.2×. Cincinnati Financial Corporation grew revenue faster over the last twelve months: 9.91% against 1.45%. Cincinnati Financial Corporation has the higher net margin (20.1% vs 12.5%) and the lower return on invested capital (13.2% vs 14.9%). Both pay a dividend; Cincinnati Financial Corporation yields more (1.96% vs 0.25%). Across the 21 metrics below, Cincinnati Financial Corporation leads on 14 and W.R. Berkley Corporation on 7.

Valuation

Metric CINF WRB Insurance Property & Casualty median
P/E 10.90 16.20 12.17
P/S 2.17 2.01 1.26
P/B 1.78 3.11 1.85
Price to free cash flow 9.37 9.77 8.04
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 9.17% 6.17% 8.20%
Free cash flow yield 10.67% 10.23% 11.86%

Profitability

Metric CINF WRB Insurance Property & Casualty median
Gross margin 25.48% 47.25% 37.39%
Operating margin 25.21% 16.58% 14.67%
Net margin 20.07% 12.53% 10.16%
Free cash flow margin 23.19% 20.59% 18.60%
Return on equity 16.87% 19.18% 16.59%
Return on assets 6.41% 4.17% 3.38%
Return on invested capital 13.22% 14.89% 9.43%

Growth

Metric CINF WRB Insurance Property & Casualty median
Revenue growth (TTM) 9.91% 1.45% 5.70%
EPS growth (last fiscal year) 4.40% 2.06% 39.61%
Revenue growth, 5-year CAGR 10.88% 12.67% 9.23%
Net income growth, 5-year CAGR 14.50% 27.38% 10.09%

Health

Metric CINF WRB Insurance Property & Casualty median
Debt to equity 0.05 0.30 0.25
Current ratio 0.27 0.30 0.49
Net debt to EBITDA (0.17) 0.13 0.08

Dividend

Metric CINF WRB Insurance Property & Casualty median
Dividend yield 1.96% 0.25% 1.56%
Payout ratio 0.22 0.04 0.15

Size

Metric CINF WRB Insurance Property & Casualty median
Market cap 28.91b 28.60b 2.64b

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