Bob Huang, an analyst from Morgan Stanley, maintained the Hold rating on Hartford Financial. The associated price target remains the same with $130.00.
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Bob Huang has given his Hold rating due to a combination of factors that reflect both strengths and challenges for Hartford Financial. The company’s recent earnings report showed robust performance across all segments, particularly in the SMID insurance market, with underwriting income and favorable prior year development exceeding expectations. However, despite these positive results, the growth in net written premiums was slightly below consensus, indicating a potential slowdown in momentum.
Moreover, while the Personal Insurance segment showed improvement in profit margins, the overall pricing environment is experiencing a deceleration, which could impact future growth prospects. The Employee Benefits segment also performed well, with core earnings above target margins, yet the market’s modest expectations and the need to monitor new business growth and retention levels suggest a cautious outlook. These mixed signals contribute to the Hold rating, as the stock’s potential upside appears limited in the near term.
In another report released on July 15, Evercore ISI also maintained a Hold rating on the stock with a $133.00 price target.
HIG’s price has also changed slightly for the past six months – from $113.420 to $121.240, which is a 6.89% increase.