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DCF valuation

What is Selective Insurance Group Inc worth?

With the base-case assumptions below, a discounted cash flow model on Selective Insurance Group Inc's reported free cash flow gives $575.92 per share. The share price was $86.12 on September 25, 2026, 85% below that value.

Inputs from the filings

Free cash flow, fiscal 2025
$1.19B
Average free cash flow, last 5 years
$905.1M
Cash
$10.9M
balance sheet of June 30, 2026
Debt
$0
not reported, counted as 0
Diluted shares, fiscal 2025
61,058,000
Revenue growth per year, last 5 years
12.8%

Three sets of assumptions

CaseGrowth yrs 1-5Growth yrs 6-10After year 10Discount rateValue per shareValue vs price
Bear8.0%5.0%2.0%10.0%$350.85+307%
Base13.0%8.0%2.5%9.0%$575.92+569%
Bull18.0%10.5%3.0%8.0%$995.34+1,056%

Sensitivity: base case value per share

Discount rate down the side, growth after year 10 across the top. Everything else as in the base case.

1.5%2.0%2.5%3.0%3.5%
7.0%$744.58$796.95$860.95$940.96$1,043.82
8.0%$618.05$652.01$692.15$740.31$799.17
9.0%$525.91$549.13$575.92$607.18$644.12
10.0%$455.98$472.49$491.21$512.59$537.27
11.0%$401.21$413.31$426.84$442.06$459.31

Where the presets come from

Base: years 1 to 5 grow at Selective Insurance Group Inc's revenue growth rate over the last 5 fiscal years (12.8% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.

Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.

Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.

This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.

Adjust the assumptions

Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.

Adjust the assumptions

Selective Insurance Group Inc company page