Recent News
On July 30, 2025 the company released second-quarter 2025 results, reporting higher net premiums earned, a rise in loss and loss adjustment expenses, record policies in-force, $20.9M of net realized and unrealized investment gains, and a regular quarterly dividend of $0.32 per share; management also disclosed $31.4M returned to stockholders via dividends and repurchases and affirmed continued share repurchase capacity.
Technical Analysis
Directional indicators show limited trend strength: ADX at 9.44 signals no established trend. The lack of trend strength implies price action can remain range-bound unless one of the directional inputs strengthens materially.
DI+ exhibits a dip-and-reversal while DI- trends lower; that combination indicates a bullish directional shift that could support near-term upside relative to current valuation levels.
MACD sits at -0.10 with a recent dip-and-reversal and has crossed above its signal line (MACD signal -0.19), producing a bullish momentum signal that favors short-term positive price movement.
MRO at -11.4 indicates the price sits below the model target and therefore shows potential for upward pressure; the negative MRO suggests mean-reversion toward target value over the near term.
RSI at 47.19 with a dip-and-reversal points to resumed upward bias from a recently lower momentum state, consistent with the MACD and DI+ signals for near-term strength.
Price relationships remain mixed for trend confirmation: the close at $42.58 sits above short-term averages (20/50-day ~ $42.29) and the 12-day EMA (~$42.31) but below the 200-day average ($46.62), indicating short-term bullishness coexisting with longer-term resistance near the 200-day level. Low 42-day volatility and subdued volume relative to multi-month averages suggest breakouts may need stronger participation to persist.
Fundamental Analysis
Profitability and margin metrics: EBIT of $37,000,000 yields an EBIT margin of 15.02%, below the industry peer mean of 19.77% and below the industry peer median of 18.42%. QoQ, EBIT margin rose by 90.22%; YoY, EBIT margin decreased by 18.51%, reflecting mixed operating leverage and timing effects.
Earnings and estimates: Reported adjusted EPS of $0.48 missed the consensus estimate of $0.97, producing an EPS surprise of -50.52%. Forward EPS sits at $0.93 with a forward P/E of 51.66, while the trailing P/E reads 98.40, indicating elevated multiples relative to recent reported earnings.
Balance sheet and liquidity: Cash and short-term investments total $1,014,500,000 against a market capitalization of $1,053,757,393, representing roughly 96% of market cap and signaling substantial liquidity on the balance sheet. Total debt remains minimal at $3,400,000, and the interest coverage ratio of 370.0 sits above the industry peer mean of 37.33, reflecting ample capacity to service interest obligations.
Returns and growth: Return on equity stands at 2.74% and return on assets at 0.84%, both below typical peer centroids; revenue growth reads 21.57% while revenue per share equals $10.37. Earnings growth metrics show QoQ strength (earnings growth QoQ +84.11%) but negative longer-term comparisons (earnings growth YoY -169.85% and earnings growth -44.83%), indicating recent operating volatility across periods.
Capital allocation: Dividend yield sits at 0.75% with a dividend payout ratio of 26.60% and dividend coverage of 3.76. The company declared the quarterly $0.32 dividend on July 30, 2025 and executed share repurchases during the quarter while retaining a substantial repurchase authorization, reflecting ongoing shareholder distributions funded alongside strong liquidity.
Valuation posture: The current valuation as determined by WMDST classifies the stock as over-valued, driven by elevated trailing multiples, a high trailing P/E, and mixed earnings quality despite strong liquidity and negligible leverage.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-06-30 |
| REPORT DATE: | 2025-07-30 |
| NEXT REPORT DATE: | 2025-10-30 |
| CASH FLOW | Begin Period Cash Flow | $ 100.6 M |
| Operating Cash Flow | $ 26.9 M | |
| Capital Expenditures | $ -900.00 K | |
| Change In Working Capital | $ -19.20 M | |
| Dividends Paid | $ -7.90 M | |
| Cash Flow Delta | $ -31.30 M | |
| End Period Cash Flow | $ 69.3 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 246.3 M | |
| Forward Revenue | $ 45.8 M | |
| COSTS | ||
| Cost Of Revenue | — | |
| Depreciation | $ 900.0 K | |
| Depreciation and Amortization | $ -1.70 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 209.3 M | |
| PROFITABILITY | ||
| Gross Profit | — | |
| EBITDA | — | |
| EBIT | $ 37.0 M | |
| Operating Income | — | |
| Interest Income | — | |
| Interest Expense | — | |
| Net Interest Income | — | |
| Income Before Tax | $ 37.0 M | |
| Tax Provision | $ 7.3 M | |
| Tax Rate | 19.7 % | |
| Net Income | $ 29.7 M | |
| Net Income From Continuing Operations | $ 29.7 M | |
| EARNINGS | ||
| EPS Estimate | $ 0.97 | |
| EPS Actual | $ 0.48 | |
| EPS Difference | $ -0.49 | |
| EPS Surprise | -50.515 % | |
| Forward EPS | $ 0.93 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 3.5 B | |
| Intangible Assets | $ 49.8 M | |
| Net Tangible Assets | $ 1.0 B | |
| Total Current Assets | — | |
| Cash and Short-Term Investments | $ 1.0 B | |
| Cash | $ 69.1 M | |
| Net Receivables | $ 789.3 M | |
| Inventory | — | |
| Long-Term Investments | — | |
| LIABILITIES | ||
| Accounts Payable | $ 17.0 M | |
| Short-Term Debt | — | |
| Total Current Liabilities | — | |
| Net Debt | — | |
| Total Debt | $ 3.4 M | |
| Total Liabilities | $ 2.5 B | |
| EQUITY | ||
| Total Equity | $ 1.1 B | |
| Retained Earnings | $ 1.5 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 45.62 | |
| Shares Outstanding | 23.741 M | |
| Revenue Per-Share | $ 10.37 | |
| VALUATION | Market Capitalization | $ 1.1 B |
| Enterprise Value | $ 42.7 M | |
| Enterprise Multiple | — | |
| Enterprise Multiple QoQ | — | |
| Enterprise Multiple YoY | — | |
| Enterprise Multiple IPRWA | — | |
| EV/R | 0.173 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 3.271 | |
| Asset To Liability | 1.44 | |
| Debt To Capital | 0.003 | |
| Debt To Assets | 0.001 | |
| Debt To Assets QoQ | -10.28 % | |
| Debt To Assets YoY | 284.0 % | |
| Debt To Assets IPRWA | high: 0.141 median: 0.06 mean: 0.055 low: 0.005 EIG: 0.001 |
|
| Debt To Equity | 0.003 | |
| Debt To Equity QoQ | -11.048 % | |
| Debt To Equity YoY | 256.818 % | |
| Debt To Equity IPRWA | high: 0.818 mean: 0.233 median: 0.223 low: 0.014 EIG: 0.003 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 0.973 | |
| Price To Book QoQ | -12.015 % | |
| Price To Book YoY | -6.53 % | |
| Price To Book IPRWA | high: 8.591 mean: 3.031 median: 2.405 EIG: 0.973 low: 0.349 |
|
| Price To Earnings (P/E) | 98.402 | |
| Price To Earnings QoQ | 74.251 % | |
| Price To Earnings YoY | 153.101 % | |
| Price To Earnings IPRWA | high: 107.296 EIG: 98.402 median: 54.538 mean: 51.517 low: -63.287 |
|
| PE/G Ratio | -2.195 | |
| Price To Sales (P/S) | 4.278 | |
| Price To Sales QoQ | -27.128 % | |
| Price To Sales YoY | -12.803 % | |
| Price To Sales IPRWA | high: 22.821 median: 6.744 mean: 6.676 EIG: 4.278 low: 0.913 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 51.657 | |
| Forward PE/G | -1.152 | |
| Forward P/S | 23.02 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 6.085 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.069 | |
| Asset Turnover Ratio QoQ | 21.549 % | |
| Asset Turnover Ratio YoY | 13.7 % | |
| Asset Turnover Ratio IPRWA | high: 0.263 mean: 0.119 median: 0.088 EIG: 0.069 low: 0.007 |
|
| Receivables Turnover | 0.312 | |
| Receivables Turnover Ratio QoQ | 20.786 % | |
| Receivables Turnover Ratio YoY | 17.421 % | |
| Receivables Turnover Ratio IPRWA | high: 1.664 mean: 0.696 median: 0.57 EIG: 0.312 low: 0.075 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 292.534 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | — | |
| Cash Conversion Cycle Days QoQ | — | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | — | |
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | — | |
| CapEx To Revenue | -0.004 | |
| CapEx To Depreciation | -1.0 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 1.1 B | |
| Net Invested Capital | $ 1.1 B | |
| Invested Capital | $ 1.1 B | |
| Net Tangible Assets | $ 1.0 B | |
| Net Working Capital | — | |
| LIQUIDITY | ||
| Cash Ratio | — | |
| Current Ratio | — | |
| Current Ratio QoQ | — | |
| Current Ratio YoY | — | |
| Current Ratio IPRWA | — | |
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | — | |
| Cost Of Debt | 2.23 % | |
| Interest Coverage Ratio | 370.0 | |
| Interest Coverage Ratio QoQ | 131.25 % | |
| Interest Coverage Ratio YoY | 455.0 % | |
| Interest Coverage Ratio IPRWA | EIG: 370.0 high: 116.937 mean: 37.327 median: 28.03 low: -3.125 |
|
| Operating Cash Flow Ratio | — | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | — | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | 3.759 | |
| Dividend Payout Ratio | 0.266 | |
| Dividend Rate | $ 0.33 | |
| Dividend Yield | 0.007 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | -0.382 % | |
| Revenue Growth | 21.57 % | |
| Revenue Growth QoQ | -433.694 % | |
| Revenue Growth YoY | -888.954 % | |
| Revenue Growth IPRWA | high: 26.578 % EIG: 21.57 % mean: 6.323 % median: 6.053 % low: -14.462 % |
|
| Earnings Growth | -44.828 % | |
| Earnings Growth QoQ | 84.114 % | |
| Earnings Growth YoY | -169.848 % | |
| Earnings Growth IPRWA | high: 69.231 % mean: 23.705 % median: 4.946 % EIG: -44.828 % low: -133.505 % |
|
| MARGINS | ||
| Gross Margin | — | |
| Gross Margin QoQ | — | |
| Gross Margin YoY | — | |
| Gross Margin IPRWA | — | |
| EBIT Margin | 15.022 % | |
| EBIT Margin QoQ | 90.224 % | |
| EBIT Margin YoY | -18.505 % | |
| EBIT Margin IPRWA | high: 56.115 % mean: 19.767 % median: 18.418 % EIG: 15.022 % low: -6.456 % |
|
| Return On Sales (ROS) | — | |
| Return On Sales QoQ | — | |
| Return On Sales YoY | — | |
| Return On Sales IPRWA | — | |
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ -900.00 K | |
| Free Cash Flow Yield | -0.085 % | |
| Free Cash Flow Yield QoQ | -107.173 % | |
| Free Cash Flow Yield YoY | -108.458 % | |
| Free Cash Flow Yield IPRWA | high: 9.624 % mean: 2.961 % median: 2.916 % EIG: -0.085 % low: -2.404 % |
|
| Free Cash Growth | -106.383 % | |
| Free Cash Growth QoQ | -549.177 % | |
| Free Cash Growth YoY | -93.468 % | |
| Free Cash Growth IPRWA | high: 452.291 % mean: 7.603 % median: -22.541 % EIG: -106.383 % low: -536.334 % |
|
| Free Cash To Net Income | -0.03 | |
| Cash Flow Margin | 10.922 % | |
| Cash Flow To Earnings | 0.906 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | 0.837 % | |
| Return On Assets QoQ | 131.856 % | |
| Return On Assets YoY | -6.061 % | |
| Return On Assets IPRWA | high: 3.613 % median: 1.769 % mean: 1.711 % EIG: 0.837 % low: -2.104 % |
|
| Return On Capital Employed (ROCE) | — | |
| Return On Equity (ROE) | 0.027 | |
| Return On Equity QoQ | 130.42 % | |
| Return On Equity YoY | -11.52 % | |
| Return On Equity IPRWA | high: 0.129 mean: 0.066 median: 0.056 EIG: 0.027 low: -0.085 |
|
| DuPont ROE | 2.751 % | |
| Return On Invested Capital (ROIC) | 2.742 % | |
| Return On Invested Capital QoQ | 129.073 % | |
| Return On Invested Capital YoY | -174.048 % | |
| Return On Invested Capital IPRWA | high: 11.32 % mean: 5.556 % median: 4.929 % EIG: 2.742 % low: -2.574 % |
|