The Hanover Insurance Group (NYSE:THG) Reaches New 1-Year High – Still a Buy?

The Hanover Insurance Group, Inc. (NYSE:THG)’s share price reached a new 52-week high on Thursday. The stock traded as high as $236.57 and last traded at $236.1430, with a volume of 44,039 shares changing hands. The stock had previously closed at $231.93.

Wall Street Analysts Forecast Growth

THG has been the topic of a number of research analyst reports. Weiss Ratings raised The Hanover Insurance Group from a “buy (a)” rating to a “buy (a+)” rating in a research report on Thursday, October 8th. Royal Bank Of Canada raised their price target on The Hanover Insurance Group from $215.00 to $235.00 and gave the stock a “sector perform” rating in a research report on Thursday, July 30th. Piper Sandler lowered The Hanover Insurance Group from an “overweight” rating to a “neutral” rating and set a $220.00 price target for the company. in a research report on Wednesday, July 15th. Morgan Stanley dropped their price objective on The Hanover Insurance Group from $240.00 to $230.00 and set an “equal weight” rating for the company in a research note on Tuesday, October 6th. Finally, Citigroup reiterated an “outperform” rating on shares of The Hanover Insurance Group in a report on Friday, July 10th. Two investment analysts have rated the stock with a Strong Buy rating, three have issued a Buy rating and five have issued a Hold rating to the company. According to MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $231.43.

The Hanover Insurance Group Price Performance

The firm has a market cap of $8.34 billion, a price-to-earnings ratio of 11.44 and a beta of 0.23. The company has a quick ratio of 0.38, a current ratio of 0.38 and a debt-to-equity ratio of 0.22. The company’s 50-day moving average price is $224.44 and its 200-day moving average price is $208.78.

The Hanover Insurance Group (NYSE:THG) last posted its quarterly earnings data on Tuesday, July 28th. The insurance provider reported $5.31 EPS for the quarter, beating the consensus estimate of $3.84 by $1.47. The business had revenue of $1.73 billion during the quarter, compared to analyst estimates of $1.65 billion. The Hanover Insurance Group had a net margin of 11.17% and a return on equity of 21.72%. The business’s revenue for the quarter was up 4.6% compared to the same quarter last year. During the same quarter last year, the firm posted $4.35 earnings per share. On average, equities research analysts forecast that The Hanover Insurance Group, Inc. will post 20.25 EPS for the current year.

The Hanover Insurance Group Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, September 25th. Shareholders of record on Friday, September 11th were issued a dividend of $0.95 per share. The ex-dividend date was Friday, September 11th. This represents a $3.80 dividend on an annualized basis and a yield of 1.6%. The Hanover Insurance Group’s dividend payout ratio is 18.14%.

Insider Buying and Selling

In other The Hanover Insurance Group news, Director Jane Carlin sold 1,000 shares of the business’s stock in a transaction on Monday, August 3rd. The shares were sold at an average price of $231.50, for a total value of $231,500.00. Following the completion of the transaction, the director owned 2,270 shares in the company, valued at $525,505. The trade was a 30.58% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, EVP Dennis Kerrigan sold 2,104 shares of the business’s stock in a transaction on Thursday, August 20th. The stock was sold at an average price of $222.41, for a total transaction of $467,950.64. Following the completion of the transaction, the executive vice president owned 12,003 shares of the company’s stock, valued at approximately $2,669,587.23. This trade represents a 14.91% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders have sold 9,655 shares of company stock worth $2,145,846. 2.80% of the stock is owned by company insiders.

Institutional Trading of The Hanover Insurance Group

Several hedge funds have recently modified their holdings of the stock. Root Financial Partners LLC purchased a new position in The Hanover Insurance Group in the third quarter valued at $89,000. Quadrant Capital Group LLC increased its holdings in The Hanover Insurance Group by 0.8% during the 3rd quarter. Quadrant Capital Group LLC now owns 6,841 shares of the insurance provider’s stock worth $1,522,000 after purchasing an additional 56 shares during the period. Nisa Investment Advisors LLC increased its holdings in The Hanover Insurance Group by 25.1% during the 3rd quarter. Nisa Investment Advisors LLC now owns 15,437 shares of the insurance provider’s stock worth $3,305,000 after purchasing an additional 3,095 shares during the period. Robeco Institutional Asset Management B.V. increased its holdings in The Hanover Insurance Group by 129.1% during the 3rd quarter. Robeco Institutional Asset Management B.V. now owns 37,744 shares of the insurance provider’s stock worth $8,082,000 after purchasing an additional 21,272 shares during the period. Finally, IFP Advisors Inc raised its position in The Hanover Insurance Group by 101.7% in the 3rd quarter. IFP Advisors Inc now owns 1,289 shares of the insurance provider’s stock valued at $276,000 after purchasing an additional 650 shares in the last quarter. 86.61% of the stock is currently owned by institutional investors and hedge funds.

About The Hanover Insurance Group

The Hanover Insurance Group, Inc is a holding company that provides property and casualty insurance products and services through a network of independent agents. Its principal operating subsidiary is The Hanover Insurance Company, which traces its roots to 1852 and is headquartered in Worcester, Massachusetts.

The company offers personal insurance products such as automobile, homeowners, condominium, renters and umbrella coverage. Its commercial insurance business serves small and midsize businesses with products that include commercial property, general liability, commercial automobile, workers’ compensation and other specialized coverages.

The Hanover also provides specialty insurance solutions for select industries and risks, including professional liability, management liability, marine and other niche commercial exposures.