Hartford Financial (HIG) AI Stock Analysis

• Market Cap: $37.87B
• Dividend Yield: 1.54%
• Average Volume (3M): 1.38M
• Price to Earnings (P/E): 12.1
• Beta (1Y): 0.52
• Revenue Growth: 7.67%
• EPS Growth: 15.99%
• Country: US
• Employees: 19,100
• Sector: Financial
• Sector Strength: 77
• Industry: Insurance - Diversified
• EPS (TTM): 3.41
• Shares Outstanding: 281,171,660
• 10 Day Avg. Volume: 1,175,082
• 30 Day Avg. Volume: 1,379,218
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.09
• Enterprise Value/Revenue: 1.51
• Enterprise Value/Gross Profit: 9.92
• Enterprise Value/Ebitda: 9.34
• 1Y Price Target: $141.57
• Price Target Upside: 7.52% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 16

• Rating: 80 Outperform
• Price Target: $154.00 ▲(16.96% Upside)

Hartford Financial's strong financial performance and strategic growth initiatives are the primary drivers of its high score. The company's robust profitability, efficient cash management, and strategic investments in technology position it well for future growth. Technical indicators suggest positive momentum, though caution is warranted due to overbought signals. Valuation metrics indicate the stock is fairly valued, providing a balanced outlook for investors.

Positive Factors

Earnings

The Hartford saw strong earnings driven by all segments, partially offset by slower growth.

Financial Performance

HIG reported better-than-expected results in Property & Casualty underlying results and Employee Benefits.

Insurance Underwriting

Strong Business Insurance underwriting and a path for expanding margins in Personal Insurance should provide a sense of calm and optimism for Hartford.

Negative Factors

Catastrophe Losses

Catastrophe losses came in higher than expected, with significant contributions from California fires.

Investment Income

Investment income missed expectations due to weaker results in limited partnerships.

Hartford Financial Business Overview & Revenue Model

Company Description

Hartford Financial Services Group, Inc. (HIG) is a leading provider of insurance and financial services in the United States. Founded in 1810 and headquartered in Hartford, Connecticut, the company operates primarily through its Property & Casualty, Group Benefits, and Mutual Funds segments. Hartford offers a wide range of products including auto, home, and business insurance, as well as employee benefits solutions such as group life and disability insurance. Additionally, the company provides investment products and services through its asset management division.

How the Company Makes Money

Hartford makes money primarily through premium collections from its insurance operations. The company generates revenue by underwriting various types of insurance policies, which include auto, homeowners, and commercial insurance. It also earns investment income from the assets it holds to back its insurance policies and from its investment management services. Key revenue streams include the sale of group benefits insurance products and mutual funds. The company benefits from partnerships with independent agents and brokers who distribute its insurance products, enhancing its market reach and client acquisition. Furthermore, Hartford strategically invests in its own portfolio, which allows for additional revenue through investment gains.

Hartford Financial Financial Statement Overview

Summary

Hartford Financial demonstrates strong profitability with solid margins and revenue growth. The balance sheet shows low leverage, and cash flow metrics indicate efficient cash utilization. Overall, the company is financially robust and well-positioned for future growth.

Income Statement

Hartford Financial exhibits solid profitability with a TTM Gross Profit Margin of 15.23%, and a Net Profit Margin of 11.90%. The company has maintained a healthy revenue growth rate of 3.37% from the previous year. EBIT and EBITDA margins stand at 14.87% and 15.83% respectively, indicating efficient cost management and operational effectiveness. The consistent revenue growth reflects strong market positioning in the insurance sector.

Balance Sheet

The company maintains a stable financial position with a Debt-to-Equity Ratio of 0.25, which indicates low leverage and a conservative approach in capital structure. The Return on Equity is robust at 18.52%, showcasing effective use of shareholder funds to generate profits. However, the Equity Ratio of 20.94% suggests a moderate degree of financial stability, with potential room for improving equity financing.

Cash Flow

Hartford Financial demonstrates strong cash flow management with a Free Cash Flow Growth Rate of -0.83% in the TTM period, which remains relatively stable. The Operating Cash Flow to Net Income Ratio is 1.80, indicating efficient conversion of earnings into cash. The Free Cash Flow to Net Income Ratio of 1.76 further supports the company's ability to generate cash, ensuring liquidity and operational flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	27.27B	26.38B	24.33B	21.85B	21.65B	20.32B
Gross Profit	4.15B	3.97B	3.17B	2.05B	2.47B	2.33B
EBITDA	4.41B	4.21B	3.60B	2.89B	3.58B	2.68B
Net Income	3.25B	3.11B	2.50B	1.82B	2.37B	1.74B
Balance Sheet
Total Assets	83.64B	80.92B	76.78B	73.02B	76.58B	74.11B
Cash, Cash Equivalents and Short-Term Investments	3.81B	4.25B	19.30B	4.09B	46.75B	48.47B
Total Debt	4.37B	4.37B	4.36B	4.36B	4.94B	4.35B
Total Liabilities	66.12B	64.47B	61.45B	59.39B	58.73B	55.55B
Stockholders Equity	17.52B	16.45B	15.33B	13.63B	17.84B	18.56B
Cash Flow
Free Cash Flow	5.72B	5.76B	4.00B	3.83B	3.96B	3.76B
Operating Cash Flow	5.83B	5.91B	4.22B	4.01B	4.09B	3.87B
Investing Cash Flow	-3.59B	-3.77B	-2.43B	-1.28B	-2.41B	-2.12B
Financing Cash Flow	-2.22B	-2.08B	-1.95B	-2.71B	-1.58B	-1.78B

Hartford Financial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 131.67
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HIG, the sentiment is Positive. The current price of 131.67 is above the 20-day moving average (MA) of 131.37, above the 50-day MA of 126.49, and above the 200-day MA of 119.68, indicating a bullish trend. The MACD of 1.83 indicates Positive momentum. The RSI at 55.22 is Neutral, neither overbought nor oversold. The STOCH value of 55.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HIG.

Hartford Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ACGL	81 Outperform	$34.42B	9.53	17.09%	―	23.79%	-32.09%
HIG	80 Outperform	$37.87B	12.07	19.55%	1.54%	7.67%	15.99%
PFG	73 Outperform	$17.81B	16.10	10.16%	3.71%	-3.34%	-3.32%
EQH	71 Outperform	$15.80B	42.55	34.30%	1.89%	5.05%	-47.26%
AIG	70 Outperform	$44.90B	15.02	7.61%	2.02%	-33.87%	-5.72%
AEG	69 Neutral	$11.82B	8.61	14.42%	5.84%	-6.19%	―
Sector *	68 Neutral	$18.06B	11.97	10.24%	3.74%	9.75%	1.30%

Hartford Financial Corporate Events

Hartford Financial Appoints Thomas Bartlett to Board

On June 10, 2025, The Hartford announced the appointment of Thomas Bartlett to its board of directors, effective July 1, 2025. Bartlett, a former CEO of American Tower Corp. and a veteran of Verizon Communications, brings extensive C-suite experience and financial acumen to the board. His appointment is expected to enhance the company’s strategic direction and shareholder growth through innovation and customer focus.