Mercury General Corporation (MCY) vs White Mountains Insurance Group, Ltd. (WTM)

Mercury General Corporation and White Mountains Insurance Group, Ltd. are both Insurance Property & Casualty companies. White Mountains Insurance Group, Ltd. is the larger, with a market value of $5.5B against $4.7B — 1.2× the size. White Mountains Insurance Group, Ltd. trades at the lower P/E: 6.0× against 7.3×. White Mountains Insurance Group, Ltd. grew revenue faster over the last twelve months: 44.9% against 5.42%. White Mountains Insurance Group, Ltd. has the higher net margin (26.9% vs 10.5%) and the lower return on invested capital (0.00% vs 24.8%). Both pay a dividend; Mercury General Corporation yields more (1.50% vs 0.04%). Across the 21 metrics below, White Mountains Insurance Group, Ltd. leads on 11 and Mercury General Corporation on 10.

Valuation

Metric MCY WTM Insurance Property & Casualty median
P/E 7.28 6.04 12.17
P/S 0.76 1.49 1.26
P/B 1.67 0.88 1.85
Price to free cash flow 4.05 13.97 8.04
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 13.73% 16.55% 8.20%
Free cash flow yield 24.70% 7.16% 11.86%

Profitability

Metric MCY WTM Insurance Property & Casualty median
Gross margin 21.11% 0.00% 37.39%
Operating margin 13.37% 0.00% 14.67%
Net margin 10.47% 26.86% 10.16%
Free cash flow margin 18.84% 10.69% 18.60%
Return on equity 25.52% 16.59% 16.59%
Return on assets 6.52% 7.54% 3.38%
Return on invested capital 24.80% 0.00% 9.43%

Growth

Metric MCY WTM Insurance Property & Casualty median
Revenue growth (TTM) 5.42% 44.92% 5.70%
EPS growth (last fiscal year) 15.62% 379.05% 39.61%
Revenue growth, 5-year CAGR 9.63% 33.06% 9.23%
Net income growth, 5-year CAGR 7.63% 9.32% 10.09%

Health

Metric MCY WTM Insurance Property & Casualty median
Debt to equity 0.20 0.15 0.25
Current ratio 0.35 0.56 0.49
Net debt to EBITDA (0.97) 0.41 0.08

Dividend

Metric MCY WTM Insurance Property & Casualty median
Dividend yield 1.50% 0.04% 1.56%
Payout ratio 0.11 0.00 0.15

Size

Metric MCY WTM Insurance Property & Casualty median
Market cap 4.68b 5.48b 2.64b

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