Markel Group Inc. (MKL) vs W.R. Berkley Corporation (WRB)

Markel Group Inc. and W.R. Berkley Corporation are both Insurance Property & Casualty companies. W.R. Berkley Corporation is the larger, with a market value of $28.6B against $23.9B — 1.2× the size. Markel Group Inc. trades at the lower P/E: 13.8× against 16.2×. W.R. Berkley Corporation grew revenue faster over the last twelve months: 1.45% against −0.64%. W.R. Berkley Corporation has the higher net margin (12.5% vs 11.1%) and the higher return on invested capital (14.9% vs 8.25%). Across the 20 metrics below, W.R. Berkley Corporation leads on 12 and Markel Group Inc. on 8.

Valuation

Metric MKL WRB Insurance Property & Casualty median
P/E 13.79 16.20 12.17
P/S 1.50 2.01 1.26
P/B 1.31 3.11 1.85
Price to free cash flow 13.42 9.77 8.04
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 7.25% 6.17% 8.20%
Free cash flow yield 7.45% 10.23% 11.86%

Profitability

Metric MKL WRB Insurance Property & Casualty median
Gross margin 50.23% 47.25% 37.39%
Operating margin 15.31% 16.58% 14.67%
Net margin 11.13% 12.53% 10.16%
Free cash flow margin 11.19% 20.59% 18.60%
Return on equity 9.81% 19.18% 16.59%
Return on assets 2.57% 4.17% 3.38%
Return on invested capital 8.25% 14.89% 9.43%

Growth

Metric MKL WRB Insurance Property & Casualty median
Revenue growth (TTM) (0.64%) 1.45% 5.70%
EPS growth (last fiscal year) (15.10%) 2.06% 39.61%
Revenue growth, 5-year CAGR 11.25% 12.67% 9.23%
Net income growth, 5-year CAGR 21.14% 27.38% 10.09%

Health

Metric MKL WRB Insurance Property & Casualty median
Debt to equity 0.24 0.30 0.25
Current ratio 0.59 0.30 0.49
Net debt to EBITDA (0.09) 0.13 0.08

Dividend

Metric MKL WRB Insurance Property & Casualty median
Dividend yield — 0.25% 1.56%
Payout ratio — 0.04 0.15

Size

Metric MKL WRB Insurance Property & Casualty median
Market cap 23.85b 28.60b 2.64b

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