Morgan Stanley Upgrades The Hartford Insurance Group’s Stock Target

On Tuesday, Morgan Stanley raised its price target for The Hartford Insurance Group (NYSE:HIG) from $135.00 to $140.00. This adjustment reflects the firm’s current equal weight rating on the stock, as reported by Benzinga. The positive outlook from Morgan Stanley is part of a broader trend, with several other analysts also weighing in on the insurance provider’s performance.

In a research note dated August 13, Citigroup initiated coverage on The Hartford, rating it as neutral with a price target of $138.00. Similarly, Raymond James Financial reaffirmed an outperform rating, increasing its target price to $140.00 from a previous $135.00 on August 1. In another significant move, JPMorgan Chase & Co. lifted its target from $140.00 to $142.00 on July 29, maintaining a neutral rating. Wells Fargo & Company also adjusted its target price, increasing it from $138.00 to $139.00 with an overweight rating.

Moreover, Cantor Fitzgerald initiated coverage on The Hartford on August 13, setting an overweight rating with a target price of $152.00. Currently, one equity research analyst has given the stock a Strong Buy rating, seven analysts have issued a Buy rating, and nine have opted for a Hold rating. According to MarketBeat.com, the stock enjoys a consensus rating of Moderate Buy and an average target price of $138.27.

Stock Performance and Recent Earnings

The Hartford Insurance Group’s stock opened at $133.64 on Tuesday. Over the past year, the stock has fluctuated, reaching a low of $104.93 and a high of $135.17. The company’s fifty-day moving average stands at $131.05, while the 200-day moving average is $126.16. The firm has a market capitalization of $37.57 billion, a price-to-earnings (PE) ratio of 12.12, and a price-to-earnings-growth (PEG) ratio of 1.28. The stock’s beta is 0.69, indicating lower volatility compared to the market.

On July 28, The Hartford announced its quarterly earnings, reporting an earnings per share (EPS) of $3.41, surpassing the consensus estimate of $2.83 by $0.58. The company recorded a return on equity of 19.60% with a net margin of 11.83%. Revenue for the quarter was $6.99 billion, slightly below analyst expectations of $7.02 billion, but representing a year-over-year increase of 7.7%. Analysts project that The Hartford will post an EPS of $11.11 for the current fiscal year.

Dividends and Insider Activity

The Hartford also announced a quarterly dividend of $0.52 per share, which was paid on October 2 to shareholders of record as of September 2. This dividend translates to an annualized yield of 1.6% and a payout ratio of 18.86%.

In terms of insider activity, CFO Beth Ann Costello sold 35,340 shares on August 4 at an average price of $123.50, totaling approximately $4.36 million. Following this transaction, her remaining shares are valued at approximately $9.58 million, reflecting a 31.30% decrease in her ownership position. Additionally, EVP Donald Christian Hunt sold 2,124 shares on September 5 for around $284,339.88. Insiders currently own 1.60% of the stock.

Changes in institutional investments have also been noteworthy. Hedge funds have recently adjusted their stakes in The Hartford, with NorthRock Partners LLC increasing its holdings by 2.6% in the first quarter. Other firms, such as Wayfinding Financial LLC and Chicago Partners Investment Group LLC, also raised their positions in the company. Overall, institutional investors hold approximately 93.42% of The Hartford’s stock.

The Hartford Financial Services Group, Inc., along with its subsidiaries, delivers a variety of insurance and financial services to customers in the United States, the United Kingdom, and beyond. Its offerings include comprehensive commercial lines that cover workers’ compensation, property, automobile, and various liability insurances, among others.