HIG

Hartford Financial Services GroupNYSE:HIG Stock Report

Market Cap

US$24.2b

7D

0.9%

1Y

86.7%

Updated

18 Sep, 2021

Data

Company Financials +
HIG fundamental analysis
Snowflake Score
Valuation3/6
Future Growth1/6
Past Performance3/6
Financial Health5/6
Dividends5/6

HIG Overview

The Hartford Financial Services Group, Inc.

Hartford Financial Services Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Hartford Financial Services Group
Historical stock prices
Current Share PriceUS$69.56
52 Week HighUS$34.69
52 Week LowUS$71.31
Beta1.11
1 Month Change5.51%
3 Month Change14.31%
1 Year Change86.74%
3 Year Change36.61%
5 Year Change62.64%
Change since IPO179.64%

Recent News & Updates

Sep 17
Is Now The Time To Put Hartford Financial Services Group (NYSE:HIG) On Your Watchlist?

Is Now The Time To Put Hartford Financial Services Group (NYSE:HIG) On Your Watchlist?

It's only natural that many investors, especially those who are new to the game, prefer to buy shares in 'sexy' stocks...

Aug 18

Hartford Financial: Making Its Go-It-Alone Case, But The Market Hasn't Really Rewarded It

Hartford posted significantly better than expected second quarter earnings, with a well-mixed contribution of higher investment income, better attritional losses, lower cats, reserve developments, premium growth, and expense efficiency. The Hartford Next efficiency program has a legitimate chance to drive meaningful cost savings, including pushing the expense ratio below 30% and driving ROE toward 13%-14% depending upon capital returns. Core long-term earnings growth of 5% and near-term ROE in the 11.5% to 12.75% range can support a fair value in the mid-$70s and double-digit longer-term returns.

Aug 18
Time To Worry? Analysts Just Downgraded Their The Hartford Financial Services Group, Inc. (NYSE:HIG) Outlook

Time To Worry? Analysts Just Downgraded Their The Hartford Financial Services Group, Inc. (NYSE:HIG) Outlook

One thing we could say about the analysts on The Hartford Financial Services Group, Inc. ( NYSE:HIG ) - they aren't...

Shareholder Returns

HIGUS InsuranceUS Market
7D0.9%-0.7%-0.6%
1Y86.7%35.9%33.8%

Return vs Industry: HIG exceeded the US Insurance industry which returned 35.9% over the past year.

Return vs Market: HIG exceeded the US Market which returned 33.8% over the past year.

Price Volatility

Is HIG's price volatile compared to industry and market?
HIG volatility
HIG Beta1.11
Industry Beta0.97
Market Beta1

Stable Share Price: HIG is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: HIG's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
n/a18,500Chris Swifthttps://www.thehartford.com

The Hartford Financial Services Group, Inc. provides insurance and financial services to individual and business customers in the United States, the United Kingdom, continental Europe, and internationally. Its Commercial Lines segment offers workers’ compensation, property, automobile, liability, umbrella, bond, marine, livestock, and reinsurance; and customized insurance products and risk management services, including professional liability, bond, surety, and specialty casualty coverages through regional offices, branches, sales and policyholder service centers, independent retail agents and brokers, wholesale agents, and reinsurance brokers. The company's Personal Lines segment provides automobile, homeowners, and personal umbrella coverages through direct-to-consumer channel and independent agents.

Hartford Financial Services Group Fundamentals Summary

How do Hartford Financial Services Group's earnings and revenue compare to its market cap?
HIG fundamental statistics
Market CapUS$24.15b
Earnings (TTM)US$2.13b
Revenue (TTM)US$21.35b

11.3x

P/E Ratio

1.1x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
HIG income statement (TTM)
RevenueUS$21.35b
Cost of RevenueUS$13.90b
Gross ProfitUS$7.45b
ExpensesUS$5.32b
EarningsUS$2.13b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)5.96
Gross Margin34.91%
Net Profit Margin9.97%
Debt/Equity Ratio24.2%

How did HIG perform over the long term?

See historical performance and comparison

Dividends

2.0%

Current Dividend Yield

23%

Payout Ratio

Valuation

Is Hartford Financial Services Group undervalued compared to its fair value and its price relative to the market?

49.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: HIG ($69.56) is trading below our estimate of fair value ($136.27)

Significantly Below Fair Value: HIG is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: HIG is poor value based on its PE Ratio (11.3x) compared to the US Insurance industry average (9.5x).

PE vs Market: HIG is good value based on its PE Ratio (11.3x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: HIG is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: HIG is overvalued based on its PB Ratio (1.3x) compared to the US Insurance industry average (1.1x).


Future Growth

How is Hartford Financial Services Group forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

8.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HIG's forecast earnings growth (8.7% per year) is above the savings rate (2%).

Earnings vs Market: HIG's earnings (8.7% per year) are forecast to grow slower than the US market (14.9% per year).

High Growth Earnings: HIG's earnings are forecast to grow, but not significantly.

Revenue vs Market: HIG's revenue (2.6% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: HIG's revenue (2.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: HIG's Return on Equity is forecast to be low in 3 years time (13.4%).


Past Performance

How has Hartford Financial Services Group performed over the past 5 years?

27.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HIG has high quality earnings.

Growing Profit Margin: HIG's current net profit margins (10%) are higher than last year (8.7%).


Past Earnings Growth Analysis

Earnings Trend: HIG's earnings have grown significantly by 27.7% per year over the past 5 years.

Accelerating Growth: HIG's earnings growth over the past year (18.4%) is below its 5-year average (27.7% per year).

Earnings vs Industry: HIG earnings growth over the past year (18.4%) underperformed the Insurance industry 76%.


Return on Equity

High ROE: HIG's Return on Equity (11.8%) is considered low.


Financial Health

How is Hartford Financial Services Group's financial position?


Financial Position Analysis

Short Term Liabilities: HIG's short term assets ($15.1B) exceed its short term liabilities ($7.4B).

Long Term Liabilities: HIG's short term assets ($15.1B) do not cover its long term liabilities ($49.1B).


Debt to Equity History and Analysis

Debt Level: HIG's debt to equity ratio (24.2%) is considered satisfactory.

Reducing Debt: HIG's debt to equity ratio has reduced from 31.3% to 24.2% over the past 5 years.

Debt Coverage: HIG's debt is well covered by operating cash flow (95.3%).

Interest Coverage: HIG's interest payments on its debt are well covered by EBIT (15.1x coverage).


Balance Sheet


Dividend

What is Hartford Financial Services Group current dividend yield, its reliability and sustainability?

2.01%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: HIG's dividend (2.01%) is higher than the bottom 25% of dividend payers in the US market (1.33%).

High Dividend: HIG's dividend (2.01%) is low compared to the top 25% of dividend payers in the US market (3.6%).


Stability and Growth of Payments

Stable Dividend: HIG's dividends per share have been stable in the past 10 years.

Growing Dividend: HIG's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (22.6%), HIG's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: HIG's dividends in 3 years are forecast to be well covered by earnings (21.4% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.7yrs

Average management tenure


CEO

Chris Swift (60 yo)

7.17yrs

Tenure

US$11,806,195

Compensation

Mr. Christopher Jerome Swift, also known as Chris, serves as the Director of Citizens Financial Group, Inc since February 1, 2021. He serves as Director of Citizens Bank, National Association. He has been...


CEO Compensation Analysis

Compensation vs Market: Chris's total compensation ($USD11.81M) is about average for companies of similar size in the US market ($USD11.36M).

Compensation vs Earnings: Chris's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: HIG's management team is seasoned and experienced (6.7 years average tenure).


Board Members

Experienced Board: HIG's board of directors are considered experienced (5.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: HIG insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

The Hartford Financial Services Group, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: The Hartford Financial Services Group, Inc.
  • Ticker: HIG
  • Exchange: NYSE
  • Founded: NaN
  • Industry: Multi-line Insurance
  • Sector: Insurance
  • Market Cap: US$24.150b
  • Shares outstanding: 347.19m
  • Website: https://www.thehartford.com

Number of Employees


Location

  • The Hartford Financial Services Group, Inc.
  • One Hartford Plaza
  • Hartford
  • Connecticut
  • 6155
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/18 22:02
End of Day Share Price2021/09/17 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.