SafetyMargin.ioSafetyMargin.io
BlogWatchlistCompare
Compare Stocks › BAC vs WRB

Bank of America Corporation (BAC) vs W. R. Berkley Corporation (WRB): Which Is the Better Buy in 2026?

As of 2026-09-17, BAC is undervalued at $58, with a DCF intrinsic value of $142 and a margin of safety of 59%. WRB is fairly valued at $70, with an intrinsic value of $76 and a margin of safety of 7%. Of the two, BAC has the wider margin of safety.

BAC
Bank of America Corporation
$58.15
VS
WRB
W. R. Berkley Corporation
$70.15

Rewards

BAC
  • ★Bank of America Corporation scores 100/100 on the Economic Moat Score (Wide Moat), with revenue predictability as the strongest competitive dimension.
  • ★PEG ratio of 0.90 suggests the stock is undervalued relative to its growth rate — paying less than 1x for each unit of earnings growth.
WRB
  • ★W. R. Berkley Corporation scores 99/100 on the Economic Moat Score (Wide Moat), with revenue predictability as the strongest competitive dimension.
  • ★Free cash flow has grown at a 10.7% CAGR over the past 4 years, demonstrating strong earnings power growth.
  • ★Each dollar of retained earnings has created $1.38 of earning power — management is creating shareholder value.

Risks

BAC
  • ⚠Gross margin of 0.0% is low, suggesting a competitive or commodity-like market with limited pricing power.
  • ⚠Altman Z-Score of 0.22 places the company in the distress zone — financial patterns resemble those of companies that experienced bankruptcy.
WRB
  • ⚠PEG ratio of 4.61 indicates the stock is expensive relative to its expected growth — the market may be pricing in more growth than analysts project.
  • ⚠Altman Z-Score of 1.22 places the company in the distress zone — financial patterns resemble those of companies that experienced bankruptcy.

Key Valuation Metrics

Learn more →
BAC
WRB
Valuation
N/A
Free Cash Flow
$3.05B
N/A
FCF Yield
11.69%
13.43
Trailing P/E
14.43
10.99
Forward P/E
14.49
Quality & Moat
4.37%
ROIC
14.89%
11.20%
ROE
20.21%
0.00%
Gross Margin
43.79%
0.90
PEG Ratio
4.61
Balance Sheet Safety
N/A
Net Debt / Equity
Net cash
N/A
Interest Coverage
N/A
N/A
Net Debt / EBITDA
-0.31
2.21%
Dividend Yield
0.57%
BAC: 4Ties: 1WRB: 3
BACWRB

Historical Fundamentals

Learn more →
BAC

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

WRB

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

$1 Retained Earnings Test

Learn more →
BAC
$2.37
created per $1 retained over 3 years
Exceptional Value Creator
Σ Retained
$55.63B
Δ Market Cap
+$131.83B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
WRB
$2.28
created per $1 retained over 3 years
Exceptional Value Creator
Σ Retained
$3.18B
Δ Market Cap
+$7.25B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Discounted Cash Flow (DCF) Analysis

Learn more →
BAC
59.1% Margin of Safety
Price is 59.1% below estimated fair value
Current Price: $58.15
Fair Value: $142.10
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
WRB
7.1% Margin of Safety
Price is 7.1% below estimated fair value
Current Price: $70.15
Fair Value: $75.52
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued

Reverse DCF — Market-Implied Growth

Learn more →
BAC

Requires positive FCF to compute implied growth rate.

WRB

What growth rate is the market pricing in at $70?

+3.0%
Market-Implied Owner Earnings Growth
Standard FCF implies -4.5%

The market implies +3.0% Owner Earnings growth, below historical trends — potential opportunity.

Standard FCF implies a more demanding -4.5%, reflecting heavy growth investment expected to generate future returns.

Economic Moat Score

Learn more →
BAC
100/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None

Wide moat driven primarily by revenue predictability. Reinvestment Efficiency is the area most vulnerable to competitive pressure.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
WRB
99/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None

Wide moat driven primarily by revenue predictability. Margin Stability is the area most vulnerable to competitive pressure.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.

Forensic Accounting

Learn more →
BAC
-2.31
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
WRB
-2.63
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Ownership Breakdown

Learn more →
BAC
Insiders 7.0%Institutions 71.3%Retail & Other 21.7%
No. of Institutional Holders4,542
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
WRB
Insiders 26.4%Institutions 76.5%
No. of Institutional Holders1,286
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.

High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.

Insider Buying Activity

Learn more →
BAC
0
Buys (3M)
0
Buys (12M)
No open market insider purchases found.
Open market purchases · includes direct & indirect ownership · excludes option exercises
WRB
0
Buys (3M)
19
Buys (12M)
Total value (12M): $665.29M
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$18.75M
@ $72.61 · 2026-03-03
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$21.49M
@ $71.65 · 2026-02-27
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$39.38M
@ $71.13 · 2026-02-25
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$35.74M
@ $70.70 · 2026-02-20
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$2.84M
@ $70.93 · 2026-02-13
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$6.83M
@ $69.68 · 2026-02-11
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$2.84M
@ $70.88 · 2026-02-06
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$21.45M
@ $68.05 · 2026-02-04
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$33.09M
@ $68.22 · 2026-01-30
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$69.30M
@ $67.35 · 2026-01-28
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$46.90M
@ $67.19 · 2026-01-23
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$42.61M
@ $67.64 · 2026-01-21
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$36.64M
@ $68.49 · 2026-01-16
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$55.62M
@ $68.58 · 2026-01-14
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$32.64M
@ $69.45 · 2026-01-09
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$47.42M
@ $69.61 · 2026-01-07
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$47.17M
@ $70.11 · 2026-01-02
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$62.04M
@ $70.53 · 2025-12-29
MITSUI SUMITOMO INSURANCE CO., LTD.
Beneficial Owner of more than 10% of a Class of Security
$42.55M
@ $69.71 · 2025-12-22
Open market purchases · includes direct & indirect ownership · excludes option exercises

Open market purchases · includes direct & indirect ownership · excludes option exercises.

Insider Selling Activity

Learn more →
BAC
0
Sells (3M)
5
Sells (12M)
Total value (12M): $20.17M
MENSAH BERNARD AMPONSAH
Officer
$4.41M
@ $46.94 · 2026-03-12
BRONSTEIN SHERI B
Officer
$2.99M
@ $49.91 · 2026-03-05
SCRIVENER THOMAS M
Officer
$2.49M
@ $49.82 · 2026-03-05
ATHANASIA DEAN C
President
$6.86M
@ $50.21 · 2026-03-03
BORTHWICK ALASTAIR M.
Chief Financial Officer
$3.42M
@ $50.24 · 2026-02-27
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
WRB
0
Sells (3M)
0
Sells (12M)
No open market insider sales found.
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives

Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.

🎭 Mr. Market's Mood

Learn more →
BAC
FearGreed
😐Neutral(54/100)

"Market is pricing this stock without strong emotion in either direction"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
WRB
FearGreed
😐Neutral(60/100)

"Market is pricing this stock without strong emotion in either direction"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

⚖️ Buffett Signal

Learn more →
BAC
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Neutral (54)
WRB
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Neutral (60)
View BAC Full AnalysisView WRB Full Analysis

Frequently Asked Questions: BAC vs WRB

Is Bank of America Corporation or W. R. Berkley Corporation more undervalued in 2026?▼

Based on our discounted cash flow model, BAC trades at a 59.1% margin of safety (intrinsic value $142 vs. price $58), compared to WRB's 7.1% margin of safety (intrinsic $76 vs. $70).

Which stock has a wider economic moat, Bank of America Corporation or W. R. Berkley Corporation?▼

BAC scores 100/100 (Wide moat), while WRB scores 99/100 (Wide moat). The moat score measures competitive advantage durability across ROIC consistency, margin stability, revenue predictability, and reinvestment efficiency.

Is Bank of America Corporation in financial distress?▼

BAC's Altman Z-Score of 0.2 places it in the Distress zone, signaling elevated bankruptcy risk. WRB scores 1.2 (Distress zone). The Altman Z-Score is a five-factor model that predicts insolvency within two years; scores below 1.81 indicate significant distress.

Which stock has higher return on invested capital, Bank of America Corporation or W. R. Berkley Corporation?▼

WRB earns 14.9% ROIC versus BAC's 4.4%. A higher ROIC means the company generates more profit per dollar of capital employed, a hallmark of durable competitive advantage in Buffett-style analysis.

Which dividend is safer, Bank of America Corporation's or W. R. Berkley Corporation's?▼

WRB's dividend earns a safety score of 94/100 (Very Safe), compared to BAC's 79/100 (Safe). WRB has raised its dividend for 3 consecutive years.

BAC vs WRB: Which Is the Better Buy in 2026? | SafetyMargin.io