Hartford Financial Services Group

NYSE:HIG Stock Report

Mkt Cap: US$24.3b

We’ve recently updated our valuation analysis.

Hartford Financial Services Group Valuation

Is HIG undervalued compared to its fair value, analyst forecasts and its price relative to the market?

[object Object] Score

5/6

Valuation Score 5/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for HIG?

Other financial metrics that can be useful for relative valuation.

HIG key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.3x
Enterprise Value/EBITDA8.7x
PEG Ratio0.6x

Price to Earnings Ratio vs Peers

How does HIG's PE Ratio compare to its peers?

The above table shows the PE ratio for HIG vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average19.3x
AIG American International Group
3.4x-19.9%US$46.9b
AIZ Assurant
19.7x33.3%US$6.8b
HMN Horace Mann Educators
27.7x58.2%US$1.6b
WTW Willis Towers Watson
26.2x12.6%US$26.7b
HIG Hartford Financial Services Group
12.4x21.1%US$24.1b

Price-To-Earnings vs Peers: HIG is good value based on its Price-To-Earnings Ratio (12.4x) compared to the peer average (19.3x).


Price to Earnings Ratio vs Industry

How does HIG's PE Ratio compare vs other companies in the US Insurance Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a23.1%
n/an/an/a

Price-To-Earnings vs Industry: HIG is good value based on its Price-To-Earnings Ratio (12.4x) compared to the US Insurance industry average (14.7x)


Price to Earnings Ratio vs Fair Ratio

What is HIG's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

HIG PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio12.4x
Fair PE Ratio16.8x

Price-To-Earnings vs Fair Ratio: HIG is good value based on its Price-To-Earnings Ratio (12.4x) compared to the estimated Fair Price-To-Earnings Ratio (16.7x).


Share Price vs Fair Value

What is the Fair Price of HIG when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: HIG ($75.63) is trading below our estimate of fair value ($155.32)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst HIG forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$75.63
US$85.12
+12.5%
9.4%US$104.00US$70.00n/a17
Nov ’23US$73.74
US$84.59
+14.7%
9.3%US$104.00US$70.00n/a17
Oct ’23US$61.94
US$82.35
+33.0%
9.9%US$104.00US$70.00n/a17
Sep ’23US$65.16
US$82.35
+26.4%
9.9%US$104.00US$70.00n/a17
Aug ’23US$63.43
US$81.94
+29.2%
10.1%US$104.00US$70.00n/a17
Jul ’23US$66.24
US$84.44
+27.5%
9.6%US$104.00US$73.00n/a18
Jun ’23US$71.28
US$83.61
+17.3%
8.8%US$101.00US$69.00n/a18
May ’23US$69.93
US$83.94
+20.0%
8.1%US$101.00US$74.00n/a17
Apr ’23US$72.54
US$82.65
+13.9%
6.1%US$93.00US$74.00n/a17
Mar ’23US$66.49
US$82.53
+24.1%
6.3%US$93.00US$74.00n/a17
Feb ’23US$72.12
US$82.18
+13.9%
5.4%US$93.00US$76.00n/a17
Jan ’23US$69.04
US$82.06
+18.9%
4.8%US$93.00US$77.00n/a17
Dec ’22US$64.97
US$82.06
+26.3%
4.8%US$93.00US$77.00US$75.6317
Nov ’22US$73.14
US$81.13
+10.9%
5.9%US$93.00US$74.00US$73.7415
Oct ’22US$71.01
US$77.00
+8.4%
7.6%US$93.00US$68.00US$61.9414
Sep ’22US$67.82
US$75.80
+11.8%
5.1%US$82.00US$68.00US$65.1615
Aug ’22US$63.62
US$75.33
+18.4%
5.5%US$82.00US$68.00US$63.4315
Jul ’22US$62.69
US$73.73
+17.6%
7.2%US$82.00US$60.00US$66.2415
Jun ’22US$65.49
US$74.07
+13.1%
7.1%US$82.00US$60.00US$71.2815
May ’22US$65.96
US$74.00
+12.2%
7.3%US$82.00US$60.00US$69.9314
Apr ’22US$68.28
US$67.86
-0.6%
10.3%US$82.00US$55.00US$72.5414
Mar ’22US$51.96
US$58.29
+12.2%
8.8%US$70.00US$48.00US$66.4917
Feb ’22US$48.34
US$55.76
+15.4%
10.4%US$67.00US$43.00US$72.1217
Jan ’22US$48.98
US$53.53
+9.3%
8.8%US$64.00US$43.00US$69.0417
Dec ’21US$45.43
US$53.24
+17.2%
9.4%US$64.00US$43.00US$64.9717

Analyst Forecast: Target price is less than 20% higher than the current share price.


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