WallStSmart

The Hanover Insurance Group Inc (THG)vsW. R. Berkley Corp (WRB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

W. R. Berkley Corp generates 123% more annual revenue ($14.71B vs $6.59B). WRB leads profitability with a 12.1% profit margin vs 10.1%. THG appears more attractively valued with a PEG of 0.34. THG earns a higher WallStSmart Score of 76/100 (B+).

THG

Strong Buy

76

out of 100

Grade: B+

Growth: 6.7Profit: 7.0Value: 10.0Quality: 8.3
Piotroski: 6/9

WRB

Buy

55

out of 100

Grade: C-

Growth: 4.0Profit: 7.0Value: 4.7Quality: 4.8
Piotroski: 2/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

THGUndervalued (+75.3%)

Margin of Safety

+75.3%

Fair Value

$700.16

Current Price

$170.50

$529.66 discount

UndervaluedFair: $700.16Overvalued
WRBSignificantly Overvalued (-136.4%)

Margin of Safety

-136.4%

Fair Value

$30.26

Current Price

$64.49

$34.23 premium

UndervaluedFair: $30.26Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

THG4 strengths · Avg: 9.3/10
PEG RatioValuation
0.3410/10

Growing faster than its price suggests

P/E RatioValuation
9.5x10/10

Attractively priced relative to earnings

Return on EquityProfitability
20.6%9/10

Every $100 of equity generates 21 in profit

Price/BookValuation
1.7x8/10

Reasonable price relative to book value

WRB2 strengths · Avg: 8.0/10
P/E RatioValuation
14.5x8/10

Attractively priced relative to earnings

Price/BookValuation
2.5x8/10

Reasonable price relative to book value

Areas to Watch

THG0 concerns · Avg: 0/10

No major concerns identified

WRB4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
1.5%4/10

1.5% revenue growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
10.112/10

Expensive relative to growth rate

EPS GrowthGrowth
-21.8%2/10

Earnings declined 21.8%

Comparative Analysis Report

WallStSmart Research

Bull Case : THG

The strongest argument for THG centers on PEG Ratio, P/E Ratio, Return on Equity. PEG of 0.34 suggests the stock is reasonably priced for its growth.

Bull Case : WRB

The strongest argument for WRB centers on P/E Ratio, Price/Book.

Bear Case : THG

No major red flags identified for THG, but monitor valuation.

Bear Case : WRB

The primary concerns for WRB are Revenue Growth, Piotroski F-Score, PEG Ratio.

Key Dynamics to Monitor

WRB carries more volatility with a beta of 0.34 — expect wider price swings.

THG is growing revenue faster at 5.5% — sustainability is the question.

WRB generates stronger free cash flow (896M), providing more financial flexibility.

Monitor INSURANCE - PROPERTY & CASUALTY industry trends, competitive dynamics, and regulatory changes.

Bottom Line

THG scores higher overall (76/100 vs 55/100). Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

The Hanover Insurance Group Inc

FINANCIAL SERVICES · INSURANCE - PROPERTY & CASUALTY · USA

Hanover Insurance Group, Inc. offers a variety of property and casualty insurance products and services in the United States. The company is headquartered in Worcester, Massachusetts.

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W. R. Berkley Corp

FINANCIAL SERVICES · INSURANCE - PROPERTY & CASUALTY · USA

W. R. Berkley Corporation is a commercial lines property & casualty insurance holding company organized in Delaware and based in Greenwich, Connecticut.

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