Recent News
On July 15, 2025 the State of Michigan Retirement System disclosed a small increase to its Selective Insurance stake. On August 7, 2025 analysts published updated target guidance and the company disclosed an insider purchase by an executive on July 25, 2025. A September 9, 2025 commentary piece highlighted risk factors and revenue growth concerns for the company.
Technical Analysis
ADX sits at 20.91, signaling an emerging trend strength that supports the near-term price bias without indicating overextension.
DI+ at 27.12 shows an increasing directional-read advantage while DI- at 15.78 declined; those directional moves together indicate a bullish directional tilt for the stock.
MACD at 0.96 moved above its signal (0.31) and is increasing, which constitutes a bullish momentum cross and supports continued near-term upside pressure on price.
MRO at -10.08 (negative) indicates the current price sits below its internal target and therefore possesses potential to move higher; the MRO trend rising reinforces that corrective potential toward the target.
RSI at 53.14, rising, signals mild bullish momentum without overstretched readings, consistent with room for additional upside before overbought conditions.
Price trades above the 12-day EMA ($81.48), the 20-day average ($80.40) and the 50-day average ($78.85) while remaining slightly below the 200-day average ($84.94); near-term bias favors upside but the 200-day average represents a nearby resistance reference.
Price closed above the 1x upper Bollinger band ($83.03) and below the 2x upper band ($85.66), indicating an extension from the short-term mean with room to test higher bands as momentum confirms.
Ichimoku components (Tenkan $80.75, Kijun $80.58, Senkou A $79.44, Senkou B $81.29) sit below the price, which places the stock above the cloud and supports a bullish near-term structure.
SuperTrend lower support lies near $80.41 and recent volume (≈807,598) exceeds 10/50/200-day averages, giving conviction that moves to the upside carry participation rather than being light-volume blips.
Fundamental Analysis
WMDST’s current valuation reads as under-valued. Selective generated EBIT of $122,161,000 with an EBIT margin of 9.21%; that margin contracted QoQ by 20.30% and registered a YoY change of -251.06% (reflecting a material year-over-year swing in operating profitability).
EPS for the reported quarter equaled $1.31 versus an estimate of $1.52, an EPS surprise of -13.82%, which contributed to recent investor focus on profitability metrics.
Revenue showed strength: revenue growth YoY measured 21.55% with a QoQ increase of 41.12%, indicating top-line acceleration despite margin pressure.
Balance-sheet and cash metrics provide support for valuation: cash and short-term investments total $1,081,503,000 and free cash flow reached $159,698,000, producing a free cash flow yield of 3.22%, slightly above the industry peer mean free cash flow yield of 2.95%.
Capital structure remains conservative: debt-to-assets at 6.24% and debt-to-equity at 28.48%; the debt-to-assets figure sits modestly above the industry peer mean of 5.46% while interest coverage equals 9.22x, indicating adequate coverage though below the industry peer mean interest coverage figure.
Return metrics report return on equity of 2.71% and return on assets of 0.60%; both show QoQ declines (ROE down 24.52% QoQ, ROA down 24.34% QoQ) and YoY drops, signaling near-term pressure on returns even as revenue grows.
Market multiples: P/B at 1.56 trades below the industry peer mean of 3.04 and P/E sits at 66.57 with forward P/E around 44.74; the lower P/B and modest cash generation underpin WMDST’s under-valued determination while elevated P/E reflects compressed current earnings versus market capitalization.
Dividend metrics remain conservative: dividend yield about 0.51% with a payout ratio near 29.35% and dividend coverage of 3.41x, leaving room for continued distributions without stressing cash flow.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-06-30 |
| REPORT DATE: | 2025-07-23 |
| NEXT REPORT DATE: | 2025-10-22 |
| CASH FLOW | Begin Period Cash Flow | $ 108.3 M |
| Operating Cash Flow | $ 166.9 M | |
| Capital Expenditures | $ -7.25 M | |
| Change In Working Capital | $ 69.2 M | |
| Dividends Paid | $ -25.22 M | |
| Cash Flow Delta | $ -70.06 M | |
| End Period Cash Flow | $ 38.2 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 1.3 B | |
| Forward Revenue | $ 457.4 M | |
| COSTS | ||
| Cost Of Revenue | — | |
| Depreciation | $ 6.6 M | |
| Depreciation and Amortization | $ 6.6 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 1.2 B | |
| PROFITABILITY | ||
| Gross Profit | — | |
| EBITDA | — | |
| EBIT | $ 122.2 M | |
| Operating Income | — | |
| Interest Income | — | |
| Interest Expense | $ 13.3 M | |
| Net Interest Income | $ -13.26 M | |
| Income Before Tax | $ 108.9 M | |
| Tax Provision | $ 23.0 M | |
| Tax Rate | 21.5 % | |
| Net Income | $ 85.9 M | |
| Net Income From Continuing Operations | $ 85.9 M | |
| EARNINGS | ||
| EPS Estimate | $ 1.52 | |
| EPS Actual | $ 1.31 | |
| EPS Difference | $ -0.21 | |
| EPS Surprise | -13.816 % | |
| Forward EPS | $ 1.95 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 14.5 B | |
| Intangible Assets | $ 7.8 M | |
| Net Tangible Assets | $ 3.4 B | |
| Total Current Assets | — | |
| Cash and Short-Term Investments | $ 1.1 B | |
| Cash | $ 357.0 K | |
| Net Receivables | $ 2.5 B | |
| Inventory | — | |
| Long-Term Investments | — | |
| LIABILITIES | ||
| Accounts Payable | — | |
| Short-Term Debt | — | |
| Total Current Liabilities | — | |
| Net Debt | $ 897.5 M | |
| Total Debt | $ 902.7 M | |
| Total Liabilities | $ 11.1 B | |
| EQUITY | ||
| Total Equity | $ 3.2 B | |
| Retained Earnings | $ 3.3 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 52.15 | |
| Shares Outstanding | 60.850 M | |
| Revenue Per-Share | $ 21.83 | |
| VALUATION | Market Capitalization | $ 5.0 B |
| Enterprise Value | $ 4.8 B | |
| Enterprise Multiple | — | |
| Enterprise Multiple QoQ | — | |
| Enterprise Multiple YoY | — | |
| Enterprise Multiple IPRWA | — | |
| EV/R | 3.602 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 4.565 | |
| Asset To Liability | 1.304 | |
| Debt To Capital | 0.222 | |
| Debt To Assets | 0.062 | |
| Debt To Assets QoQ | -1.933 % | |
| Debt To Assets YoY | 54.087 % | |
| Debt To Assets IPRWA | high: 0.141 SIGI: 0.062 median: 0.058 mean: 0.055 low: 0.001 |
|
| Debt To Equity | 0.285 | |
| Debt To Equity QoQ | -3.549 % | |
| Debt To Equity YoY | 52.421 % | |
| Debt To Equity IPRWA | high: 0.818 SIGI: 0.285 mean: 0.232 median: 0.223 low: 0.003 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 1.565 | |
| Price To Book QoQ | -10.815 % | |
| Price To Book YoY | -26.283 % | |
| Price To Book IPRWA | high: 8.591 mean: 3.04 median: 2.405 SIGI: 1.565 low: 0.349 |
|
| Price To Earnings (P/E) | 66.571 | |
| Price To Earnings QoQ | 32.711 % | |
| Price To Earnings YoY | -177.126 % | |
| Price To Earnings IPRWA | high: 107.296 SIGI: 66.571 median: 54.538 mean: 51.467 low: -63.287 |
|
| PE/G Ratio | -2.604 | |
| Price To Sales (P/S) | 3.737 | |
| Price To Sales QoQ | -10.486 % | |
| Price To Sales YoY | -22.649 % | |
| Price To Sales IPRWA | high: 22.821 median: 6.744 mean: 6.699 SIGI: 3.737 low: 0.913 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 44.739 | |
| Forward PE/G | -1.75 | |
| Forward P/S | 10.854 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | -5.463 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.093 | |
| Asset Turnover Ratio QoQ | -0.194 % | |
| Asset Turnover Ratio YoY | -4.714 % | |
| Asset Turnover Ratio IPRWA | high: 0.263 mean: 0.119 SIGI: 0.093 median: 0.088 low: 0.007 |
|
| Receivables Turnover | 0.53 | |
| Receivables Turnover Ratio QoQ | 2.934 % | |
| Receivables Turnover Ratio YoY | -3.523 % | |
| Receivables Turnover Ratio IPRWA | high: 1.664 median: 0.699 mean: 0.697 SIGI: 0.53 low: 0.075 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 172.225 | |
| 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 | -0.005 | |
| CapEx To Depreciation | -1.098 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 4.3 B | |
| Net Invested Capital | $ 4.1 B | |
| Invested Capital | $ 4.1 B | |
| Net Tangible Assets | $ 3.4 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 | 1.158 % | |
| Interest Coverage Ratio | 9.216 | |
| Interest Coverage Ratio QoQ | -40.576 % | |
| Interest Coverage Ratio YoY | -191.048 % | |
| Interest Coverage Ratio IPRWA | high: 116.937 mean: 37.612 median: 28.03 SIGI: 9.216 low: -3.125 |
|
| Operating Cash Flow Ratio | — | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | — | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | 3.408 | |
| Dividend Payout Ratio | 0.293 | |
| Dividend Rate | $ 0.41 | |
| Dividend Yield | 0.005 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 1.908 % | |
| Revenue Growth | 3.243 % | |
| Revenue Growth QoQ | 41.123 % | |
| Revenue Growth YoY | 21.552 % | |
| Revenue Growth IPRWA | high: 26.578 % mean: 6.383 % median: 6.053 % SIGI: 3.243 % low: -14.462 % |
|
| Earnings Growth | -25.568 % | |
| Earnings Growth QoQ | -395.857 % | |
| Earnings Growth YoY | -86.006 % | |
| Earnings Growth IPRWA | high: 69.231 % mean: 24.116 % median: 4.946 % SIGI: -25.568 % low: -133.505 % |
|
| MARGINS | ||
| Gross Margin | — | |
| Gross Margin QoQ | — | |
| Gross Margin YoY | — | |
| Gross Margin IPRWA | — | |
| EBIT Margin | 9.207 % | |
| EBIT Margin QoQ | -20.3 % | |
| EBIT Margin YoY | -251.058 % | |
| EBIT Margin IPRWA | high: 56.115 % mean: 19.863 % median: 18.418 % SIGI: 9.207 % 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) | $ 159.7 M | |
| Free Cash Flow Yield | 3.221 % | |
| Free Cash Flow Yield QoQ | -36.218 % | |
| Free Cash Flow Yield YoY | -27.974 % | |
| Free Cash Flow Yield IPRWA | high: 9.624 % SIGI: 3.221 % mean: 2.952 % median: 2.719 % low: -2.404 % |
|
| Free Cash Growth | -41.065 % | |
| Free Cash Growth QoQ | 148.142 % | |
| Free Cash Growth YoY | -129.492 % | |
| Free Cash Growth IPRWA | high: 452.291 % mean: 7.864 % median: -13.226 % SIGI: -41.065 % low: -536.334 % |
|
| Free Cash To Net Income | 1.858 | |
| Cash Flow Margin | 1.002 % | |
| Cash Flow To Earnings | 0.155 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | 0.6 % | |
| Return On Assets QoQ | -24.338 % | |
| Return On Assets YoY | -216.732 % | |
| Return On Assets IPRWA | high: 3.613 % median: 1.8 % mean: 1.72 % SIGI: 0.6 % low: -2.104 % |
|
| Return On Capital Employed (ROCE) | — | |
| Return On Equity (ROE) | 0.027 | |
| Return On Equity QoQ | -24.52 % | |
| Return On Equity YoY | -216.595 % | |
| Return On Equity IPRWA | high: 0.129 mean: 0.066 median: 0.056 SIGI: 0.027 low: -0.085 |
|
| DuPont ROE | 2.76 % | |
| Return On Invested Capital (ROIC) | 2.37 % | |
| Return On Invested Capital QoQ | -19.851 % | |
| Return On Invested Capital YoY | -79.655 % | |
| Return On Invested Capital IPRWA | high: 11.32 % mean: 5.582 % median: 4.929 % SIGI: 2.37 % low: -2.574 % |
|