Orin
WTWNasdaq·Insurance - Brokers

Willis Towers Watson Public Limited Company WTW

Market cap $27.5BP/E 18.0× trailingGross margin 53.8%Reports Thu 29 Oct, before the open
$296.53
+2.90 (+0.99%)live 11:25 ET
52-wk $240.61 – $352.79
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Orin's take
0.62conviction · moderate
Refreshed 17 Aug · take v6. A new filing or a print queues the next refresh.

WTW's operational recovery is genuine — FY2025 diluted EPS rebounded to $16.26 from -$0.96, FCF improved to $1.546B, and Q2 2026 delivered 5% organic revenue growth with 100bps of margin expansion and 17% adjusted EPS growth — but the stock at $331.59 still trades at a 36% PE premium and 58% P/S premium to the peer median, with total debt having risen to $6.905B from $5.931B two years ago. Smart money flows remain slightly negative at -0.020 as of June 2026, and while RSI has cooled from 80 to 63, the MACD histogram has turned negative (-1.19), suggesting near-term momentum is fading.

The fundamental story is improving but the valuation already discounts much of that improvement.

What could go wrong

  • Valuation compression. WTW trades at 20.3x PE vs peer median 14.9x and 3.05x P/S vs 1.92x; any disappointment in growth could trigger multiple contraction toward peer levels.
  • Leverage deterioration. Total debt rose to $6.905B in FY2025 from $5.479B in FY2021 while equity declined from $13.26B to $7.976B, increasing balance sheet risk.
  • Revenue trajectory. FY2025 revenue of $9.708B declined from $9.93B in FY2024 and $9.483B in FY2023, raising questions about whether organic growth can sustainably reaccelerate.
  • Insider selling pressure. Over 24 months, insider net value is -$36.7M despite a positive net share count of +45,661, indicating dollar-weighted disposition pressure from executives.

What would change my mind

Sustained organic growth acceleration. Two consecutive quarters of organic revenue growth above 6% with margin expansionbullish
Debt reduction. Total debt declines below $6.0B with FCF deployment toward deleveraging rather than buybacksbullish
Valuation mean reversion. PE premium to peer median narrows below 20% without corresponding EPS upgradesbearish
Smart money outflows. Smart money score deteriorates below -0.05 with fund count declining quarter-over-quarterbearish

Where this comes from: FMP annual fundamentals · MarketBeat Q2 earnings call highlights · peer_relative composite · FMP annual fundamentals. Orin's read on WTW; not advice.

Twelve months actual closes to 2026-09-24 · actual filings

Sept 25Nov 25Jan 26Mar 26May 26Jul 26

50-day average 200-day average · volume below

Largest holders · 13F Q2 2026

Money flow
FilerPositionOf fund
Massachusetts Financial Services /Ma/$2.3B0.7% of fund
Vanguard Capital Management$1.6B0.0% of fund
Harris Associates L P$1.5B2.0% of fund
State Street$1.1B0.0% of fund
Vanguard Portfolio Management$1.1B0.0% of fund
Geode Capital Management$677.4M0.0% of fund

73 filers · quarter ended Q2 2026 · positions, not flows

Insiders, last 24 months: 410 Form 4 filings, net −$36.7M. Of the 50 on hand, 0 were open-market purchases and 1 a sale— the rest are grants, option exercises and tax withholding.

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Where it trades

vs its own 5y · Financial Services
MetricNowOwn medianSector
P/E18.0×—21.6×
EV/EBITDA12.2×14.8×—
P/S2.70×3.22×—
P/B3.6×2.7×—

Its P/E sits 40th percentile of its own last 5 years (+0.49σ from its own mean).

What the price assumes

6.0%

free-cash-flow growth every year for 10 years, discounted at 10%, is what today’s price implies — starting from $1.5B of trailing free cash flow. It is an assumption the market is making, not a forecast Orin is making.

What Wall Street published

29 firms · 2026-09-24
Consensus target

$354

$300 – $405 · +19% against today's price

How they rate it
  • 18 buy or overweight
  • 10 hold
  • 1 underweight or sell

The analysts’ consensus and their own ratings, not Orin’s. A target is a twelve-month opinion published by the firm that wrote it.

Against the companies it is compared to

median P/E 13.7× of 6 peers
CompanyMarket capP/EEV/EBITDAGrossNetROE
WTWWillis Towers Watson Public Limited Company$27B18.0×12.2×53.8%15.5%20%
ACGLArch Capital Group Ltd.$33B7.3×6.5×46.2%24.4%20%
BROBrown & Brown, Inc.$20B16.7×11.2×59.0%17.6%10%
HIGThe Hartford Financial Services Group, Inc.$34B8.1×7.9×43.9%15.0%23%
RJFRaymond James Financial, Inc.$30B13.6×7.9×83.5%13.6%18%
STTState Street Corporation$50B15.7×14.8×65.3%15.0%12%
WRBW. R. Berkley Corporation$25B13.8×10.3×44.8%10.7%20%

The median is of the 6 peers listed above and nothing else — check it against the column. This company trades 31.7% above it. The peer set is the vendor’s, so a company can appear here that a person would not have chosen.

What it has traded at

P/E by fiscal year
FY14 22.1×FY25 20.1×

What its sector has traded at

Financial Services
FY14 29.6×FY26 23.8×

Two scales, drawn separately on purpose: a sector median and one company’s multiple are not the same number and putting them on one axis invites a comparison neither series supports.

Every estimate on one scale

price $296.53
52-week range$241 – $353
Analyst targets$300 – $405
At own 5y-median P/E (20×)$327
At 5y P/E range (-326–27×)$-5317 – $443
At sector P/E (22×)$352

The vertical rule is the current price. Ranges and point estimates are the backend’s, published as they were calculated; an arrow means the estimate sits beyond this scale, and its number is on the right.