Hannover Rueck SE (HVRRY) AI Stock Analysis

• Market Cap: $35.26B
• Dividend Yield: 3.82%
• Average Volume (3M): 1.17K
• Price to Earnings (P/E): 13.0
• Beta (1Y): 0.34
• Revenue Growth: 8.06%
• EPS Growth: 24.07%
• Country: US
• Employees: 3,895
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Reinsurance
• EPS (TTM): 1.34
• Shares Outstanding: 723,582,800
• 10 Day Avg. Volume: 1,549
• 30 Day Avg. Volume: 1,170
• PEG Ratio: 0.02
• Price to Book (P/B): 2.46
• Price to Sales (P/S): 1.10
• P/FCF Ratio: 5.11
• Enterprise Value/Market Cap: 1.24
• Enterprise Value/Revenue: 6.06
• Enterprise Value/Gross Profit: 1.53
• Enterprise Value/Ebitda: 12.67
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 75 Outperform
• Price Target: $56.00 ▲(14.40% Upside)

Hannover Rueck SE's strong financial performance and attractive valuation are the primary drivers of its stock score. The company's robust revenue growth and profitability, combined with a reasonable P/E ratio and solid dividend yield, make it a compelling investment. However, technical indicators suggest a neutral trend, and the company should monitor cash flow and debt levels to maintain financial stability.

Hannover Rueck SE Business Overview & Revenue Model

Company Description

Hannover Rück SE, together with its subsidiaries, provides reinsurance products and services worldwide. It operates through Property & Casualty Reinsurance, and Life & Health Reinsurance segments. The company offers property, casualty, facultative, catastrophe XL, structured reinsurance, and insurance-linked securities. It also provides risk solutions for agricultural, livestock, and bloodstock businesses; aviation and space business; and marine and offshore energy business, as well as credit, surety, and political risks reinsurance products. In addition, the company offers group and individual credit life, enhanced annuities, group life and health, and Takaful reinsurance products; and risk solutions in the areas of critical illness, disability, health, longevity, long term care, mortality, and morbidity. Further, it provides various financial solutions, including new-business financing; monetization of embedded value; reserve and solvency relief; and divestiture of non-core businesses. The company was formerly known as Hannover Rückversicherung AG and changed its name to Hannover Rück SE in March 2013. The company was founded in 1966 and is headquartered in Hanover, Germany. Hannover Rück SE is a subsidiary of Talanx AG.

How the Company Makes Money

Hannover Rueck generates revenue primarily through its reinsurance operations, which involve underwriting insurance policies from primary insurers and accepting the risks associated with those policies. The company earns premium income by providing coverage for various types of risks, including natural disasters, health-related claims, and other liabilities. Additionally, Hannover Rueck invests the premiums it receives in a diversified portfolio of assets, generating investment income. Key revenue streams include the underwriting profits from its reinsurance business and the returns on its investment portfolio. The company also engages in strategic partnerships with insurance companies and other financial institutions, enhancing its market presence and contributing to its earnings through collaborative risk management solutions.

Hannover Rueck SE Financial Statement Overview

Summary

Hannover Rueck SE presents a strong financial profile with consistent revenue growth, improved profitability, and effective cash flow management. The balance sheet is well-managed with a healthy equity position and controlled leverage.

Income Statement

Hannover Rueck SE has demonstrated strong revenue growth with a 2.85% increase from 2023 to 2024. The company maintains a robust gross profit margin, as all revenue translates into gross profit. The net profit margin improved significantly to 8.80% in 2024, indicating enhanced profitability. EBIT and EBITDA margins also show positive trends, reflecting efficient operational management.

Balance Sheet

The balance sheet reflects a solid equity position with a debt-to-equity ratio of 0.40 in 2024, indicating prudent leverage management. The return on equity (ROE) improved to 19.74%, showcasing effective use of equity to generate profits. The equity ratio is stable at 16.35%, suggesting a balanced capital structure.

Cash Flow

The company exhibits strong cash flow management with a stable free cash flow of $5.68 billion in 2024. The operating cash flow to net income ratio is 2.44, indicating efficient cash generation relative to net income. The free cash flow to net income ratio is also favorable, reflecting the company's ability to convert earnings into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	7.20B	26.46B	25.72B	24.16B	26.15B	23.28B
Gross Profit	28.59B	26.46B	25.72B	24.16B	26.15B	23.28B
EBITDA	3.44B	3.21B	2.13B	1.66B	1.76B	1.30B
Net Income	2.48B	2.33B	1.82B	780.80M	1.23B	883.07M
Balance Sheet
Total Assets	69.36B	72.13B	65.67B	86.95B	82.90B	71.44B
Cash, Cash Equivalents and Short-Term Investments	54.67B	57.39B	1.05B	46.65B	47.59B	40.97B
Total Debt	4.11B	4.67B	4.77B	5.51B	4.37B	3.43B
Total Liabilities	57.40B	59.44B	54.65B	78.20B	70.15B	59.60B
Stockholders Equity	11.10B	11.79B	10.13B	9.06B	11.89B	11.00B
Cash Flow
Free Cash Flow	5.26B	5.68B	5.79B	5.16B	4.60B	2.86B
Operating Cash Flow	5.26B	5.68B	5.79B	5.16B	4.94B	3.23B
Investing Cash Flow	-3.32B	-4.41B	-4.51B	-5.38B	-5.26B	-2.24B
Financing Cash Flow	-1.82B	-1.10B	-1.50B	133.25M	277.51M	-726.04M

Hannover Rueck SE Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 48.95
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HVRRY, the sentiment is Negative. The current price of 48.95 is below the 20-day moving average (MA) of 50.05, below the 50-day MA of 49.11, and below the 200-day MA of 49.15, indicating a bearish trend. The MACD of -0.09 indicates Positive momentum. The RSI at 43.78 is Neutral, neither overbought nor oversold. The STOCH value of 39.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HVRRY.

Hannover Rueck SE Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RNR	―	$11.65B	6.38	15.12%	0.64%	-4.26%	-47.61%
HVRRY	―	$35.26B	13.05	22.23%	3.82%	8.06%	24.07%
ACGL	―	$32.04B	8.04	17.81%	―	16.68%	-28.54%
Sector *	―	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
AIG	―	$43.20B	14.53	7.61%	2.18%	-33.87%	-5.72%
RGA	―	$12.53B	16.26	7.07%	1.90%	1.53%	-10.27%
EG	―	$12.98B	22.62	3.59%	2.59%	8.62%	-78.92%

Hannover Rueck SE Corporate Events

Hannover Rueck SE Reports Strong H1 2025 Performance

Hannover Rueck SE (ADR) is a leading global reinsurance company, specializing in property and casualty as well as life and health reinsurance, known for its robust business model and adaptability to changing risk landscapes. In its latest earnings report for the first half of 2025, Hannover Re reported a solid performance with a 3.3% increase in reinsurance revenue, reaching EUR 13.3 billion, and a significant 13.2% rise in group net income to EUR 1.3 billion. The company also achieved a return on equity of 23.0%, reflecting strong profitability despite slightly higher-than-expected large loss expenditures. Key financial metrics highlighted include a 6.3% improvement in operating profit (EBIT) to EUR 1.76 billion and a 3.6% increase in investment results to EUR 1.05 billion. The company’s solvency ratio remains robust at 261%, comfortably above its target, ensuring financial stability. Looking ahead, Hannover Re remains focused on profitable growth and maintaining its position as a reliable partner in the reinsurance industry, with management expressing confidence in achieving full-year targets despite ongoing geopolitical and economic challenges.