The Hartford Financial Services Group, Inc. (HIG) Q2 2024 Earnings Call Transcript
The Hartford Financial Services Group, Inc. (NYSE:HIG ) Q2 2024 Earnings Conference Call July 26, 2024 9:00 AM ET Company Participants Susan Spivak - Senior Vice President, Investor Relations Chris Swift - Chairman and Chief Executive Officer Beth Costello - Chief Financial Officer Morris Tooker - Head of Enterprise Sales & Distribution, Global Specialty, and Middle & Large Commercial Jonathan Bennett - Head of Group Benefits Conference Call Participants Elyse Greenspan - Wells Fargo Andrew Kligerman - TD Cowen Brian Meredith - UBS Financial Gregory Peters - Raymond James Josh Shanker - Bank of America Yaron Kinar - Jefferies Peter Knudsen - Evercore ISI Operator Thank you for standing by, and welcome to The Hartford Financial Second Quarter 2024 Results Conference Call and Webcast. All lines have been placed on mute to prevent any background noise.
The Hartford (HIG) Q2 Earnings: Taking a Look at Key Metrics Versus Estimates
While the top- and bottom-line numbers for The Hartford (HIG) give a sense of how the business performed in the quarter ended June 2024, it could be worth looking at how some of its key metrics compare to Wall Street estimates and year-ago values.
Can Hartford Financial (HIG) Counter Rising Costs in Q2 Earnings?
Hartford Financial's (HIG) Q2 results are likely to reflect benefits of new business growth and favorable retention rates in the Commercial Lines unit, partly offset by an elevated expense level.
Travelers Stock Was Down 8% In A Day. Why?
Travelers' stock (NYSE: TRV) dropped 8% on 19th July (Friday) vs a nearly 1% rise in the S&P500 index. In comparison, Travelers' peer, Hartford Financial (NYSE: HIG), was down 4% on the 19th.
Hartford Financial (HIG) Up 40% in Past Year: What Lies Ahead?
Hartford Financial (HIG) remains well-poised for growth on the back of improved premiums, solid performance of Commercial Lines business and a sound financial stand.
HIG Stock Is Up 26% YTD, Is It Now Fairly Valued?
Hartford Financial's stock (NYSE: HIG) has gained approximately 26% YTD as compared to the 11% rise in the S&P500 index over the same period. In sharp contrast, Hartford Financial's peer Travelers (NYSE: TRV) stock was up only 10% YTD.
Hartford Financial (HIG), Marvin Partner to Boost Mental Health
Hartford Financial (HIG) collaborates with Marvin to offer specialized mental health resources to the insurer's healthcare clients, enhancing employees' well-being and productivity levels.
Quadrant Capital Group LLC Buys 151 Shares of The Hartford Financial Services Group, Inc. (NYSE:HIG)
Quadrant Capital Group LLC increased its stake in shares of The Hartford Financial Services Group, Inc. (NYSE:HIG – Free Report) by 4.5% in the fourth quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 3,505 shares of the insurance provider’s stock after purchasing an additional 151 shares during the quarter. Quadrant Capital Group LLC’s holdings in The Hartford Financial Services Group were worth $282,000 as of its most recent SEC filing. Other institutional investors also recently added to or reduced their stakes in the company. MV Capital Management Inc. lifted its position in shares of The Hartford Financial Services Group by 8.9% during the fourth quarter. MV Capital Management Inc. now owns 1,416 shares of the insurance provider’s stock valued at $114,000 after buying an additional 116 shares during the last quarter. Realta Investment Advisors lifted its position in The Hartford Financial Services Group by 3.7% during the fourth quarter. Realta Investment Advisors now owns 3,635 shares of the insurance provider’s stock valued at $292,000 after acquiring an additional 129 shares during the last quarter. Perigon Wealth Management LLC boosted its stake in The Hartford Financial Services Group by 4.7% in the fourth quarter. Perigon Wealth Management LLC now owns 3,204 shares of the insurance provider’s stock valued at $258,000 after acquiring an additional 143 shares in the last quarter. Moors & Cabot Inc. grew its holdings in The Hartford Financial Services Group by 1.5% in the third quarter. Moors & Cabot Inc. now owns 10,490 shares of the insurance provider’s stock worth $744,000 after purchasing an additional 150 shares during the last quarter. Finally, CI Investments Inc. increased its position in shares of The Hartford Financial Services Group by 2.9% during the third quarter. CI Investments Inc. now owns 5,473 shares of the insurance provider’s stock worth $388,000 after purchasing an additional 153 shares in the last quarter. Institutional investors own 93.42% of the company’s stock. Insider Buying and Selling at The Hartford Financial Services Group In other news, SVP Allison G. Niderno sold 1,516 shares of the stock in a transaction dated Monday, March 4th. The shares were sold at an average price of $94.55, for a total transaction of $143,337.80. Following the sale, the senior vice president now directly owns 630 shares of the company’s stock, valued at approximately $59,566.50. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. In other news, SVP Allison G. Niderno sold 1,516 shares of the company’s stock in a transaction that occurred on Monday, March 4th. The stock was sold at an average price of $94.55, for a total transaction of $143,337.80. Following the completion of the transaction, the senior vice president now directly owns 630 shares of the company’s stock, valued at approximately $59,566.50. The sale was disclosed in a filing with the SEC, which is available at this link. Also, EVP Robert W. Paiano sold 14,528 shares of The Hartford Financial Services Group stock in a transaction on Tuesday, February 20th. The shares were sold at an average price of $93.97, for a total transaction of $1,365,196.16. Following the completion of the sale, the executive vice president now directly owns 46,792 shares in the company, valued at approximately $4,397,044.24. The disclosure for this sale can be found here. Over the last quarter, insiders sold 180,580 shares of company stock valued at $17,711,492. Corporate insiders own 1.60% of the company’s stock. The Hartford Financial Services Group Stock Up 1.0 % Shares of HIG opened at $103.17 on Monday. The stock’s 50-day moving average price is $99.81 and its 200-day moving average price is $89.41. The company has a quick ratio of 0.31, a current ratio of 0.31 and a debt-to-equity ratio of 0.29. The company has a market capitalization of $30.51 billion, a price-to-earnings ratio of 11.72, a PEG ratio of 1.48 and a beta of 0.90. The Hartford Financial Services Group, Inc. has a 52 week low of $67.42 and a 52 week high of $103.64. The Hartford Financial Services Group (NYSE:HIG – Get Free Report) last released its quarterly earnings data on Thursday, April 25th. The insurance provider reported $2.34 EPS for the quarter, missing the consensus estimate of $2.43 by ($0.09). The company had revenue of $6.42 billion during the quarter, compared to analysts’ expectations of $6.51 billion. The Hartford Financial Services Group had a return on equity of 20.64% and a net margin of 10.87%. The company’s revenue for the quarter was up 8.6% on a year-over-year basis. During the same quarter in the prior year, the company posted $1.68 EPS. On average, sell-side analysts predict that The Hartford Financial Services Group, Inc. will post 9.94 EPS for the current year. The Hartford Financial Services Group Dividend Announcement The company also recently declared a quarterly dividend, which will be paid on Tuesday, July 2nd. Investors of record on Monday, June 3rd will be given a dividend of $0.47 per share. The ex-dividend date is Friday, May 31st. This represents a $1.88 annualized dividend and a yield of 1.82%. The Hartford Financial Services Group’s dividend payout ratio is presently 21.36%. Wall Street Analyst Weigh In Several research analysts recently weighed in on HIG shares. Evercore ISI boosted their target price on The Hartford Financial Services Group from $96.00 to $104.00 and gave the stock an “in-line” rating in a research note on Thursday, April 11th. Citigroup upped their price objective on shares of The Hartford Financial Services Group from $113.00 to $116.00 and gave the company a “neutral” rating in a report on Monday, May 13th. Raymond James reaffirmed an “outperform” rating and issued a $120.00 price objective (up from $100.00) on shares of The Hartford Financial Services Group in a research report on Monday, April 1st. Piper Sandler reissued an “overweight” rating and set a $115.00 target price on shares of The Hartford Financial Services Group in a research report on Monday, April 1st. Finally, JPMorgan Chase & Co. raised their price target on shares of The Hartford Financial Services Group from $91.00 to $104.00 and gave the stock a “neutral” rating in a report on Monday, April 8th. Eight research analysts have rated the stock with a hold rating and nine have issued a buy rating to the company. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $105.88. Read Our Latest Stock Analysis on HIG About The Hartford Financial Services Group (Free Report) The Hartford Financial Services Group, Inc, together with its subsidiaries, provides insurance and financial services to individual and business customers in the United States, the United Kingdom, and internationally. Its Commercial Lines segment offers insurance coverages, including workers' compensation, property, automobile, general and professional liability, package business, umbrella, fidelity and surety, marine, livestock, accident, health, and reinsurance through regional offices, branches, sales and policyholder service centers, independent retail agents and brokers, wholesale agents, and reinsurance brokers.
