The Hanover Insurance Group (NYSE:THG) Releases Earnings Results, Beats Estimates By $1.47 EPS

The Hanover Insurance Group (NYSE:THGGet Free Report) released its quarterly earnings data on Tuesday. The insurance provider reported $5.31 earnings per share for the quarter, beating the consensus estimate of $3.84 by $1.47, Zacks reports. The company had revenue of $1.73 billion for the quarter, compared to the consensus estimate of $1.65 billion. The Hanover Insurance Group had a return on equity of 21.55% and a net margin of 10.77%.The Hanover Insurance Group’s revenue for the quarter was up 4.6% on a year-over-year basis. During the same quarter last year, the business posted $4.35 EPS.

The Hanover Insurance Group Trading Up 1.5%

Shares of THG stock opened at $227.51 on Wednesday. The company has a 50 day moving average of $204.67 and a 200-day moving average of $186.57. The Hanover Insurance Group has a 12-month low of $164.85 and a 12-month high of $225.29. The firm has a market cap of $7.96 billion, a P/E ratio of 11.29 and a beta of 0.28. The company has a quick ratio of 0.37, a current ratio of 0.37 and a debt-to-equity ratio of 0.22.

The Hanover Insurance Group Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, June 26th. Stockholders of record on Friday, June 12th were given a dividend of $0.95 per share. The ex-dividend date of this dividend was Friday, June 12th. This represents a $3.80 annualized dividend and a dividend yield of 1.7%. The Hanover Insurance Group’s dividend payout ratio (DPR) is currently 19.12%.

The Hanover Insurance Group declared that its board has authorized a stock buyback plan on Wednesday, May 13th that authorizes the company to buyback $700.00 million in shares. This buyback authorization authorizes the insurance provider to reacquire up to 10.6% of its stock through open market purchases. Stock buyback plans are typically an indication that the company’s board believes its shares are undervalued.

Insider Buying and Selling at The Hanover Insurance Group

In other news, Director Cynthia Egan sold 3,400 shares of the stock in a transaction dated Friday, May 1st. The shares were sold at an average price of $188.50, for a total value of $640,900.00. Following the sale, the director directly owned 9,359 shares of the company’s stock, valued at approximately $1,764,171.50. This represents a 26.65% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CEO John C. Roche sold 8,358 shares of the firm’s stock in a transaction dated Wednesday, May 20th. The shares were 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 directly owned 141,011 shares in the company, valued at approximately $27,319,471.14. The trade was a 5.60% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders have sold 29,508 shares of company stock worth $5,704,651. Company insiders own 2.80% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in THG. Invesco Ltd. grew its position in shares of The Hanover Insurance Group by 44.1% in the 4th quarter. Invesco Ltd. now owns 646,910 shares of the insurance provider’s stock worth $118,236,000 after buying an additional 197,930 shares during the period. Corient Private Wealth LLC boosted its holdings in The Hanover Insurance Group by 126.6% in the fourth quarter. Corient Private Wealth LLC now owns 7,613 shares of the insurance provider’s stock worth $1,391,000 after acquiring an additional 4,254 shares in the last quarter. Mercer Global Advisors Inc. ADV increased its holdings in shares of The Hanover Insurance Group by 29.8% during the fourth quarter. Mercer Global Advisors Inc. ADV now owns 10,231 shares of the insurance provider’s stock valued at $1,870,000 after acquiring an additional 2,348 shares in the last quarter. EP Wealth Advisors LLC purchased a new position in shares of The Hanover Insurance Group in the 4th quarter worth about $321,000. Finally, Mackenzie Financial Corp raised its position in shares of The Hanover Insurance Group by 7.4% in the 4th quarter. Mackenzie Financial Corp now owns 7,272 shares of the insurance provider’s stock worth $1,337,000 after purchasing an additional 498 shares during the last quarter. Hedge funds and other institutional investors own 86.61% of the company’s stock.

Analysts Set New Price Targets

A number of analysts have recently commented on THG shares. Morgan Stanley lifted their price target on The Hanover Insurance Group from $220.00 to $225.00 and gave the company an “equal weight” rating in a research note on Wednesday, July 8th. Keefe, Bruyette & Woods reiterated a “market perform” rating and set a $220.00 price target (up from $211.00) on shares of The Hanover Insurance Group in a report on Wednesday, July 8th. Zacks Research downgraded The Hanover Insurance Group from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, July 7th. Oppenheimer upped their price target on shares of The Hanover Insurance Group from $205.00 to $220.00 and gave the company an “outperform” rating in a research report on Thursday, May 21st. Finally, BMO Capital Markets lowered The Hanover Insurance Group from an “outperform” rating to a “market perform” rating and boosted their target price for the company from $194.00 to $203.00 in a research report on Tuesday, May 19th. One equities research analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and six have assigned a Hold rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $218.29.

Check Out Our Latest Analysis on The Hanover Insurance Group

The Hanover Insurance Group Company Profile

(Get Free Report)

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.

Recommended Stories

Earnings History for The Hanover Insurance Group (NYSE:THG)

Receive News & Ratings for The Hanover Insurance Group Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for The Hanover Insurance Group and related companies with MarketBeat.com's FREE daily email newsletter.