Discounted Cash Flow

White Mountains Insurance Group Ltd.

WTM · Based on 10 years of SEC filings

Average annual growth rates

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Average annual growth is the mean year-over-year change across each period.

Endpoint CAGR (better for long term trend)

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Endpoint CAGR is the compound annual rate from the first to last year in each period.

Projections use average year-over-year growth. Change this in Settings.

Projected growth rate

Free cash flow growth
10-year: — 5-year: — 3-year: —
Averaged growth (FCF & NI)
10-year: — 5-year: — 3-year: —
Net income growth
10-year: — 5-year: — 3-year: —
Sales growth (not added to calculations)
10-year: — 5-year: — 3-year: —

Click a greyed-out slider to switch metrics. Slide between the 10-year, 5-year, and 3-year historic growth rates for FCF, net income, or their average.

%
%

Historical inputs (10 fiscal years)

YEAR Sales Net Income Free Cash Flow Net Margin EPS (diluted)
2016 $1.4b $412.5m $-155.3m 30.3% $82.24
2017 $373.8m (-72.5%) $627.2m (52.0%) $94.6m (160.9%) 167.8% (453.5%) $146.06 (77.6%)
2018 $369.1m (-1.3%) $-141.2m (-122.5%) $-31.1m (-132.9%) -38.3% (-122.8%) $-41.76 (-128.6%)
2019 $893.4m (142.0%) $414.5m (393.6%) $-120.5m (-287.5%) 46.4% (221.3%) $130.27 (411.9%)
2020 $1.2b (32.2%) $708.7m (71.0%) $-60.6m (49.7%) 60.0% (29.4%) $226.97 (74.2%)
2021 $944.8m (-20.0%) $-275.4m (-138.9%) $38.6m (163.7%) -29.1% (-148.6%) $-89.46 (-139.4%)
2022 $1.2b (22.6%) $792.8m (387.9%) $326.3m (745.3%) 68.5% (334.9%) $276.96 (409.6%)
2023 $2.2b (87.1%) $509.2m (-35.8%) $404.1m (23.8%) 23.5% (-65.7%) $198.60 (-28.3%)
2024 $2.2b (3.4%) $230.4m (-54.8%) $586.8m (45.2%) 10.3% (-56.2%) $89.79 (-54.8%)
2025 $3.7b (66.8%) $1.1b (380.2%) $550.5m (-6.2%) 29.6% (188.0%) $430.14 (379.1%)

Base FCF: (latest fiscal year)

Discount rate: %

Terminal growth:

Projection period: years

Alt A decline yrs:

Alt B total yrs:

Values abbreviated: b = billions, m = millions, k = thousands.

Projected cash flows

Year Projected cash flow Discount Factor Present Value

PV of projected FCF:

Terminal FCF:

Terminal value:

PV of terminal value:

Enterprise value (DCF):

DCF price per share:

Current price:

Alternative DCF Models

Model Fair Value Upside PV(FCFs) PV(Terminal) Total Years
Standard (10yr→TV) 10 + TV
Alt A (Gradual Decline)
Alt B (30yr Hard Stop) N/A

This is a simplified DCF model for illustration. It uses reported free cash flow, a single growth assumption, fixed WACC, and a Gordon Growth terminal value. It is not investment advice.

+ 10YR Financials Balance Sheet (10YR) Cash Flow (10YR) DCF Model