10 Most Undervalued Insurance Stocks to Buy Now

7. Willis Towers Watson Public Limited Company (NASDAQ:WTW)

Forward P/E: 18.94

No. of Hedge Fund Holders: 48

Willis Towers Watson Public Limited Company (NASDAQ:WTW) is a London-based insurance company that offers commercial insurance, brokerage services, and strategic risk investment solutions. The recently launched AI-powered assistant, Expert, adds to WTW’s competitive advantage. The AI assistant is designed to help midsize U.S. businesses in managing HR, compensation, and benefits tasks. The tool helps with research, regulatory guidance, writing, and secure document searches.

Willis Towers Watson Public Limited Company (NASDAQ:WTW) is focused on data-driven solutions to assist risk and capital management. In October 2024, the company launched a machine-led solution designed to transform insurance practices. This solution supports insurers and reinsurers to enhance accuracy and efficiency in P&C reserving.

The company recently announced that it has expanded its partnership with the Karlsruhe Institute of Technology (KIT) in partnership with NASA. This collaboration aims to improve hail risk assessment across Europe, focusing on their spatial and temporal distribution.

WTW continues to transform its operations, ending FY2024 with an operating cash flow of $1.5 billion and FCF of $1.4 billion. The company posted a 5% organic revenue growth, with an adjusted operating margin of 36.1%, showing strong financial performance. In addition, WTW’s Transformation program achieved $473 million in cumulative savings, enhancing operational efficiency.