The Hanover Insurance Group (NYSE:THG) Shares Gap Up on Earnings Beat

The Hanover Insurance Group, Inc. (NYSE:THG) shares gapped up prior to trading on Wednesday following a better than expected earnings announcement. The stock had previously closed at $152.95, but opened at $159.11. The Hanover Insurance Group shares last traded at $159.57, with a volume of 19,552 shares trading hands.

The insurance provider reported $5.32 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.45 by $1.87. The Hanover Insurance Group had a net margin of 5.92% and a return on equity of 15.53%.

The Hanover Insurance Group Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, December 27th. Shareholders of record on Friday, December 13th were paid a dividend of $0.90 per share. This is a positive change from The Hanover Insurance Group’s previous quarterly dividend of $0.85. This represents a $3.60 dividend on an annualized basis and a yield of 2.27%. The ex-dividend date of this dividend was Friday, December 13th. The Hanover Insurance Group’s dividend payout ratio (DPR) is currently 35.71%.

Analyst Upgrades and Downgrades

A number of research firms have weighed in on THG. Morgan Stanley began coverage on shares of The Hanover Insurance Group in a research note on Thursday, December 5th. They set an “equal weight” rating and a $170.00 price objective for the company. Keefe, Bruyette & Woods raised their price target on shares of The Hanover Insurance Group from $170.00 to $176.00 and gave the company a “market perform” rating in a report on Friday, January 10th. Piper Sandler raised their price target on shares of The Hanover Insurance Group from $162.00 to $175.00 and gave the company an “overweight” rating in a report on Friday, November 1st. BMO Capital Markets raised their price target on shares of The Hanover Insurance Group from $161.00 to $180.00 and gave the company an “outperform” rating in a report on Thursday, December 19th. Finally, Oppenheimer raised their price objective on shares of The Hanover Insurance Group from $165.00 to $177.00 and gave the stock an “outperform” rating in a report on Friday, November 1st. Five analysts have rated the stock with a hold rating and four have assigned a buy rating to the company. According to data from MarketBeat, The Hanover Insurance Group currently has a consensus rating of “Hold” and a consensus target price of $174.88.

Insider Buying and Selling at The Hanover Insurance Group

In related news, EVP Jeffrey M. Farber sold 5,886 shares of the business’s stock in a transaction on Friday, November 8th. The shares were sold at an average price of $160.05, for a total value of $942,054.30. Following the sale, the executive vice president now owns 60,205 shares in the company, valued at approximately $9,635,810.25. The trade was a 8.91 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Insiders have sold 12,100 shares of company stock valued at $1,951,223 over the last 90 days. 2.50% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On The Hanover Insurance Group

Several large investors have recently bought and sold shares of the business. True Wealth Design LLC purchased a new stake in The Hanover Insurance Group in the third quarter worth about $25,000. V Square Quantitative Management LLC purchased a new stake in The Hanover Insurance Group in the third quarter worth about $26,000. Wilmington Savings Fund Society FSB purchased a new stake in The Hanover Insurance Group in the third quarter worth about $30,000. Venturi Wealth Management LLC lifted its stake in The Hanover Insurance Group by 49.5% in the fourth quarter. Venturi Wealth Management LLC now owns 272 shares of the insurance provider’s stock worth $42,000 after acquiring an additional 90 shares during the period. Finally, Eagle Bay Advisors LLC lifted its stake in The Hanover Insurance Group by 502.1% in the fourth quarter. Eagle Bay Advisors LLC now owns 283 shares of the insurance provider’s stock worth $44,000 after acquiring an additional 236 shares during the period. Institutional investors own 86.61% of the company’s stock.

The Hanover Insurance Group Trading Up 3.7 %

The firm has a market capitalization of $5.71 billion, a PE ratio of 15.83 and a beta of 0.72. The company’s 50-day simple moving average is $155.80 and its 200 day simple moving average is $149.62. The company has a quick ratio of 0.40, a current ratio of 0.40 and a debt-to-equity ratio of 0.27.

The Hanover Insurance Group Company Profile

The Hanover Insurance Group, Inc, through its subsidiaries, provides various property and casualty insurance products and services in the United States. The company operates through four segments: Core Commercial, Specialty, Personal Lines, and Other. The Commercial Lines segment offers commercial multiple peril, commercial automobile, workers' compensation, and other commercial lines coverage.