Based on the provided financial data and recent analyst reports, here is a concise analysis of HIG's valuation:
Valuation Metrics
The stock currently shows moderate valuation levels with:
- P/E ratio of 10.57 (Q4 2024)
- EV/EBITDA of 9.11
- P/B ratio of 1.95
- Dividend yield of 1.76%
Financial Performance
Revenue and earnings show steady growth through 2024:
- Q4 2024 revenue reached $6.88B, up from $6.42B in Q1
- Net income improved to $848M in Q4 from $748M in Q1
- ROE remains strong at 19.87%
- Net margin expanded to 12.4% in Q4 2024
Analyst Sentiment
Recent analyst coverage shows mixed views:
- Barclays maintains Buy rating with $135 PT
- Evercore ISI holds Hold rating with $125 PT
- KBW maintains Buy rating
- Insider sentiment is negative with increased selling activity
Market Position
The stock appears fairly valued considering:
- Strong financial metrics and improving margins
- Consistent revenue/earnings growth
- Mixed analyst sentiment
- Negative insider activity signals potential concerns
- Trading below most analyst price targets
The current valuation suggests HIG is appropriately priced given its financial performance, market position, and growth trajectory.