The Hanover Insurance Group (NYSE:THG) Reaches New 52-Week High – Here’s What Happened

The Hanover Insurance Group, Inc. (NYSE:THG)’s share price reached a new 52-week high during trading on Monday . The stock traded as high as $203.07 and last traded at $202.7250, with a volume of 31683 shares. The stock had previously closed at $197.93.

Wall Street Analysts Forecast Growth

Several equities analysts have recently issued reports on the company. Wall Street Zen lowered The Hanover Insurance Group from a “buy” rating to a “hold” rating in a report on Saturday, February 28th. Keefe, Bruyette & Woods boosted their price objective on The Hanover Insurance Group from $208.00 to $211.00 and gave the stock an “outperform” rating in a research report on Thursday, May 7th. Citigroup restated an “outperform” rating on shares of The Hanover Insurance Group in a research note on Thursday, April 30th. Royal Bank Of Canada raised their target price on The Hanover Insurance Group from $190.00 to $195.00 and gave the company a “sector perform” rating in a research report on Friday, May 1st. Finally, BMO Capital Markets cut The Hanover Insurance Group from an “outperform” rating to a “market perform” rating and lifted their target price for the stock from $194.00 to $203.00 in a research note on Tuesday, May 19th. Two equities research analysts have rated the stock with a Strong Buy rating, five have issued a Buy rating and three have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, The Hanover Insurance Group has an average rating of “Moderate Buy” and an average price target of $207.00.

The Hanover Insurance Group Stock Up 1.9%

The stock’s 50-day moving average price is $188.43 and its two-hundred day moving average price is $180.56. The company has a current ratio of 0.37, a quick ratio of 0.37 and a debt-to-equity ratio of 0.22. The stock has a market capitalization of $7.06 billion, a P/E ratio of 10.15 and a beta of 0.30.

The Hanover Insurance Group (NYSE:THG) last posted its quarterly earnings results on Wednesday, April 29th. The insurance provider reported $5.25 EPS for the quarter, topping analysts’ consensus estimates of $4.14 by $1.11. The Hanover Insurance Group had a net margin of 10.77% and a return on equity of 21.55%. The company had revenue of $1.70 billion for the quarter, compared to analysts’ expectations of $1.58 billion. During the same quarter in the previous year, the firm posted $3.87 EPS. The Hanover Insurance Group’s revenue was up 6.1% on a year-over-year basis. As a group, research analysts expect that The Hanover Insurance Group, Inc. will post 18.36 earnings per share for the current fiscal year.

The Hanover Insurance Group Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, June 26th. Shareholders of record on Friday, June 12th will be paid a $0.95 dividend. The ex-dividend date is Friday, June 12th. This represents a $3.80 annualized dividend and a dividend yield of 1.9%. The Hanover Insurance Group’s payout ratio is presently 19.12%.

The Hanover Insurance Group announced that its Board of Directors has initiated a stock buyback plan on Wednesday, May 13th that permits the company to repurchase $700.00 million in outstanding shares. This repurchase authorization permits the insurance provider to purchase up to 10.6% of its stock through open market purchases. Stock repurchase plans are usually an indication that the company’s board of directors believes its stock is undervalued.

Insider Activity

In related news, CEO John C. Roche sold 8,358 shares of The Hanover Insurance Group stock in a transaction dated Wednesday, May 20th. The stock was sold at an average price of $193.74, for a total value of $1,619,278.92. Following the completion of the sale, the chief executive officer owned 141,011 shares of the company’s stock, valued at approximately $27,319,471.14. This trade represents a 5.60% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, Director Francisco Aristeguieta sold 1,000 shares of the company’s stock in a transaction dated Thursday, May 21st. The shares were sold at an average price of $195.37, for a total transaction of $195,370.00. Following the sale, the director directly owned 4,053 shares in the company, valued at approximately $791,834.61. This trade represents a 19.79% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 29,508 shares of company stock worth $5,704,651. 2.80% of the stock is owned by company insiders.

Institutional Investors Weigh In On The Hanover Insurance Group

Hedge funds and other institutional investors have recently bought and sold shares of the business. First Trust Advisors LP raised its stake in shares of The Hanover Insurance Group by 28.5% during the 3rd quarter. First Trust Advisors LP now owns 639,264 shares of the insurance provider’s stock valued at $116,110,000 after purchasing an additional 141,835 shares during the period. Channing Capital Management LLC boosted its stake in The Hanover Insurance Group by 73.6% in the 3rd quarter. Channing Capital Management LLC now owns 68,641 shares of the insurance provider’s stock worth $12,467,000 after purchasing an additional 29,106 shares during the period. Legato Capital Management LLC purchased a new position in The Hanover Insurance Group during the 4th quarter valued at about $1,238,000. Capula Management Ltd bought a new stake in shares of The Hanover Insurance Group during the third quarter valued at about $1,877,000. Finally, Aptus Capital Advisors LLC boosted its position in shares of The Hanover Insurance Group by 15.0% in the third quarter. Aptus Capital Advisors LLC now owns 89,342 shares of the insurance provider’s stock valued at $16,227,000 after acquiring an additional 11,666 shares during the period. Institutional investors own 86.61% of the company’s stock.

The Hanover Insurance Group Company Profile

The Hanover Insurance Group, Inc (NYSE: THG) is a property and casualty insurance company that provides a range of commercial and personal insurance products. Through its subsidiary companies, Hanover offers coverage for businesses of all sizes, including workers’ compensation, general liability, commercial auto, and professional liability. On the personal lines side, the company underwrites homeowners, personal auto, flood, and umbrella policies designed to meet the needs of individuals and families.

In addition to its core commercial and personal insurance offerings, Hanover maintains a specialty arm that focuses on niche markets through tailored product solutions.