Hartford Financial (HIG) AI Stock Analysis

• Market Cap: $35.42B
• Dividend Yield: 1.64%
• Average Volume (3M): 1.55M
• Price to Earnings (P/E): 12.4
• Beta (1Y): 0.49
• Revenue Growth: 7.55%
• EPS Growth: 14.16%
• Country: US
• Employees: 19,100
• Sector: Financial
• Sector Strength: 79
• Industry: Insurance - Diversified
• EPS (TTM): 2.20
• Shares Outstanding: 284,103,000
• 10 Day Avg. Volume: 1,743,204
• 30 Day Avg. Volume: 1,550,019
• PEG Ratio: -0.03
• Price to Book (P/B): 2.15
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 6.33
• Enterprise Value/Market Cap: 1.13
• Enterprise Value/Revenue: 0.38
• Enterprise Value/Gross Profit: 1.98
• Enterprise Value/Ebitda: 2.34
• 1Y Price Target: $134.27
• Price Target Upside: 6.06% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 12

• Rating: 78 Outperform
• Price Target: $145.00 ▲(14.53%Upside)

Hartford Financial's strong financial performance and promising earnings call insights are the main drivers of the score. The company's valuation is reasonable, offering a stable investment opportunity with ongoing growth potential. While the technical analysis suggests a neutral position, the company’s strategic initiatives and leadership enhancements provide additional long-term confidence.

Positive Factors

Earnings

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

Share Repurchases

Share repurchases of $400 million came in above expectations.

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

The Hartford Financial Services Group, Inc. provides insurance and financial services to individual and business customers in the United States, the United Kingdom, and internationally. Its Commercial Lines segment offers workers' compensation, property, automobile, liability, umbrella, bond, marine, livestock, and reinsurance; and customized insurance products and risk management services, including professional liability, bond, surety, and specialty casualty coverages through regional offices, branches, sales and policyholder service centers, independent retail agents and brokers, wholesale agents, and reinsurance brokers. The company's Personal Lines segment provides automobile, homeowners, and personal umbrella coverages through direct-to-consumer channel and independent agents. Its Property & Casualty Other Operations segment offers coverage for asbestos and environmental exposures. The company's Group Benefits segment provides group life, disability, and other group coverages to members of employer groups, associations, and affinity groups through direct insurance policies; reinsurance to other insurance companies; employer paid and voluntary product coverages; disability underwriting, administration, and claims processing to self-funded employer plans; and a single-company leave management solution. This segment distributes its group insurance products and services through brokers, consultants, third-party administrators, trade associations, and private exchanges. Its Hartford Funds segment offers investment products for retail and retirement accounts; exchange-traded products through broker-dealer organizations, independent financial advisers, defined contribution plans, financial consultants, bank trust groups, and registered investment advisers; and investment management and administrative services, such as product design, implementation, and oversight. The company was founded in 1810 and is headquartered in Hartford, Connecticut.

How the Company Makes Money

The Hartford generates revenue primarily through insurance premiums, investment income, and fees. The company's main revenue streams include premiums collected for property and casualty insurance policies, which cover areas like workers' compensation, auto, and home insurance. Additionally, The Hartford earns income from investment activities, where it manages and invests the premiums collected until claims are paid out. The Group Benefits segment contributes to revenue by providing life and disability insurance, as well as other employee benefits, to corporate clients. Hartford Funds generates revenue through asset management fees from the mutual funds it offers. These activities, combined with strategic partnerships and a focus on maintaining efficient operations and selective underwriting, contribute to The Hartford's financial performance.

Hartford Financial Financial Statement Overview

Summary

Hartford Financial exhibits strong financial performance with consistent revenue and profit growth. Efficient cost management is evident from a high gross profit margin of 75.76% TTM, and a solid net profit margin of 11.14% TTM. The balance sheet shows moderate leverage with a debt-to-equity ratio of 0.26 TTM. Cash flow is robust with a high free cash flow to net income ratio of 1.90 TTM.

Income Statement

The income statement shows strong performance with a consistent revenue growth over the years, particularly a 9.30% increase in 2024 and a 6.20% increase in TTM. The gross profit margin stands at 75.76% TTM, indicating efficient cost management. Net profit margin is solid at 11.14% TTM, although slightly decreased from the previous year. EBIT and EBITDA margins are healthy, reflecting robust core operations despite minor fluctuations.

Balance Sheet

The balance sheet reflects a stable financial position with an equity ratio of 20.47% TTM, showing reliance on equity financing. The debt-to-equity ratio is moderate at 0.26 TTM, indicating manageable leverage within the industry norms. Return on Equity is strong at 17.74% TTM, suggesting efficient use of equity to generate profits. However, consistent monitoring of liabilities is advised.

Cash Flow

Cash flow statements reveal solid cash generation capabilities with a stable operating cash flow. The free cash flow to net income ratio is high at 1.90 TTM, indicating strong free cash flow generation relative to net income. While free cash flow growth rate shows a slight decrease, the overall cash flow position remains healthy and supports future growth initiatives.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	26.77B	26.38B	24.53B	22.36B	22.39B	20.52B
Gross Profit	20.27B	26.38B	24.53B	17.53B	17.61B	16.04B
EBITDA	3.88B	4.05B	3.80B	3.10B	3.81B	2.92B
Net Income	2.99B	3.11B	2.50B	1.82B	2.37B	1.74B
Balance Sheet
Total Assets	82.31B	80.92B	76.78B	73.02B	76.58B	74.11B
Cash, Cash Equivalents and Short-Term Investments	3.50B	4.25B	126.00M	40.32B	46.75B	48.47B
Total Debt	4.37B	4.37B	4.36B	4.36B	4.94B	4.35B
Total Liabilities	65.46B	64.47B	54.77B	59.39B	4.94B	4.35B
Stockholders Equity	16.84B	16.45B	15.33B	13.63B	17.84B	18.56B
Cash Flow
Free Cash Flow	5.66B	5.76B	4.00B	3.83B	3.96B	3.76B
Operating Cash Flow	5.80B	5.91B	4.22B	4.01B	4.09B	3.87B
Investing Cash Flow	-3.73B	-3.77B	-2.43B	-1.28B	-2.47B	-2.07B
Financing Cash Flow	-2.15B	-2.08B	-1.95B	-2.71B	-1.58B	-1.78B

Hartford Financial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 126.60
• 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 126.6 is above the 20-day moving average (MA) of 126.31, above the 50-day MA of 125.88, and above the 200-day MA of 117.38, indicating a bullish trend. The MACD of -0.19 indicates Positive momentum. The RSI at 51.50 is Neutral, neither overbought nor oversold. The STOCH value of 56.81 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
HIG	78 Outperform	$35.42B	12.43	18.49%	1.64%	7.55%	14.16%
PFG	75 Outperform	$17.75B	16.97	9.70%	3.84%	5.84%	-10.64%
ACGL	73 Outperform	$33.85B	9.34	18.42%	―	25.29%	-23.19%
EQH	71 Outperform	$17.01B	15.21	56.67%	1.93%	12.41%	14.76%
AEG	70 Neutral	$11.37B	15.95	9.36%	5.15%	-5.03%	―
AIG	68 Neutral	$48.75B	18.90	6.13%	2.10%	-44.30%	-33.09%
Sector *	67 Neutral	$16.85B	11.65	9.71%	3.90%	11.61%	-9.60%

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.

The most recent analyst rating on (HIG) stock is a Hold with a $105.00 price target. To see the full list of analyst forecasts on Hartford Financial stock, see the HIG Stock Forecast page.

Hartford Financial Confirms Board and Auditor for 2025

On May 21, 2025, Hartford Financial held its annual meeting of shareholders where several key decisions were made. The election of the Board of Directors was confirmed, with nominees elected to serve until the 2026 meeting. Additionally, the appointment of Deloitte & Touche LLP as the independent auditor for 2025 was ratified, and the compensation of named executive officers was approved. The 2025 Long Term Incentive Stock Plan was also approved, while a proposal for special meeting rights for shareholders at 10% was not passed.

The most recent analyst rating on (HIG) stock is a Hold with a $105.00 price target. To see the full list of analyst forecasts on Hartford Financial stock, see the HIG Stock Forecast page.