Hartford Financial (HIG) has seen 40% growth, strong performance and strategic positioning for success.

From NASDAQ.: 2024-07-05 12:49:00

The Hartford Financial (HIG) has outperformed the industry and S&P 500, gaining 37.6% in the last year. With a market cap of $29.5 billion, the stock trades at an average volume of 1.6 million. Commercial Lines and Group Benefits lead the company’s premium growth, enhancing financial stability and profit margins.

Hartford Financial’s Zacks Rank #3 (Hold) comes with a track record of beating estimates 75% of the time. With a Return-on-Equity of 20.6%, the company outperforms the industry average of 14.1%. Expectations for 2024 include earnings of $9.88 per share, projecting 11.3% growth, and $18.1 billion in revenues, a 9.7% improvement.

HIG’s premiums rise as its Commercial Lines segment sees a 25% year-over-year increase in the first quarter. Despite challenges from catastrophe losses, policy renewal rates remain high, ensuring a steady premium flow. The Group Benefits section shows strong performance, with a 19% core earnings increase in the first quarter.

Inorganic growth through acquisitions and strategic divestments position Hartford Financial for success. Restructuring efforts to cut costs and surpass savings targets support margin growth. With a cash balance of $274 million as of March 31, 2024, the company continues strategic capital deployment through buybacks and dividends, maintaining a strong financial position.

Better-ranked stocks in the insurance industry include HCI Group (HCI), Skyward Specialty Insurance Group (SKWD), and RLI Corp (RLI). HCI boasts a Zacks Rank #1, while Skyward Specialty and RLI hold a Zacks Rank #2. HCI’s 2024 earnings are estimated to climb 57.6%, with a stock rise of 50.7% in the past year.

Skyward Specialty and RLI both show strong earnings growth potential for 2024, estimated at 31.8% and 18.4%, respectively. Skyward Specialty’s shares rose by 37.2%, and RLI by 1.2% in the past year. For insightful stock picks for explosive growth potential, Zacks Investment Research offers detailed analysis and recommendations.



Read more at NASDAQ.: Hartford Financial (HIG) Up 40% in Past Year: What Lies Ahead?