Should I Buy HIPO? HIPO 2026 Analysis

Should You Buy Hippo Holdings Inc (HIPO) Today? Analysis, Price Targets, and 2026 Outlook.

Conclusion

Hold

Latest Price

30.500

1 Day change

-0.49%

52 Week Range

38.980

Analysis Updated At

2026/01/29

HIPO is not a good buy right now for a beginner long-term investor who wants to enter immediately. The chart is still broadly bullish (stacked moving averages), but momentum is weakening (MACD histogram positive but contracting, RSI ~45) and the latest quarter shows sharp profitability deterioration (net income/EPS down massively YoY), which increases uncertainty for a long-term, lower-experience investor. With analysts only at Market Perform and no proprietary buy signals today, the risk/reward does not justify buying now versus waiting for clearer earnings stability or stronger momentum.

Technical Analysis

Price is 30.65 (closed), slightly below the pivot (30.863), which implies near-term hesitation. Trend structure remains positive with bullish moving averages (SMA_5 > SMA_20 > SMA_200), signaling the broader uptrend is intact. Momentum is not strong: RSI_6 = 44.741 (neutral-to-soft) and MACD histogram is above zero (0.0567) but positively contracting, suggesting upside momentum is fading. Key levels: Support S1 ~29.858 (then S2 ~29.237); Resistance R1 ~31.867 (then R2 ~32.488). Near-term pattern stats provided imply modest upside bias over 1W–1M, but not a high-conviction entry at this exact level.

Options Data

Bullish

Open Interest Put-Call Ratio

Bullish

Option Volume Put-Call Ratio

Options positioning is strongly call-skewed (very low put/call ratios), which is typically bullish sentiment. Call open interest (4,777) greatly exceeds put open interest (390). However, today’s options volume is very small (17 total contracts; 16 calls vs 1 put), so sentiment is directionally bullish but not strongly confirmed by heavy trading activity. Implied volatility (30D IV ~61.22) is above historical volatility (~45.19), implying the market is pricing meaningful movement; IV rank/percentile (15.27 / 28) suggests IV is not extremely elevated relative to its own history.

Technical Summary

Sell

Buy

Positive Catalysts

AM Best affirmed Spinnaker Insurance Company at A- (Excellent), citing strong balance sheet strength and stable operating performance. Hippo’s capital support since acquiring Spinnaker (surplus growth of ~$50M over five years) reinforces balance-sheet narrative. Spinnaker has reportedly outperformed the personal property industry in pre-tax operating earnings and is pursuing diversification via a partnership with The Baldwin Group—overall positive credit/operating sentiment.

Neutral/Negative Catalysts

Latest quarter profitability is the main negative: net income and EPS fell dramatically YoY, which can weigh on long-term confidence and valuation. Analyst commentary flags that strong growth targets embed risk into a softening market. Technically, momentum is weakening near the pivot (MACD contracting; RSI below 50), raising the chance of a drift toward support (~29.86) before any breakout.

Financial Performance

2025/Q3: Revenue rose to $120.6M (+26.15% YoY), showing solid top-line growth. However, Net Income fell to $98.1M (down -1254.12% YoY) and EPS dropped to 3.77 (down -1208.82% YoY), indicating a sharp deterioration in profitability versus last year’s quarter. For a long-term beginner, the revenue growth is encouraging, but the magnitude of the earnings decline makes the current fundamental trend too unstable to justify an immediate buy.

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

Most recent update (2025-12-10): Keefe Bruyette raised the price target to $34 from $33 and maintained a Market Perform rating. Wall Street ‘pros’ view: modest upside implied vs ~$30.65 and acknowledgment of growth potential. ‘Cons’ view: concerns that medium-term growth targets are aggressive and carry risk in a softening market. Overall, the analyst stance supports a neutral/hold posture rather than a strong buy.

3 Analyst Rating

Wall Street analysts forecast HIPO stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for HIPO is 39.5 USD with a low forecast of 34 USD and a high forecast of 45 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

1 Buy

2 Hold

0 Sell

Moderate Buy

Current: 30.650

Low

Averages

39.5

High

Current: 30.650

Low

Averages

39.5

High

Keefe Bruyette

Market Perform

maintain

$33 -> $34

AI Analysis

2025-12-10

Reason

Keefe Bruyette

Price Target

$33 -> $34

AI Analysis

2025-12-10

maintain

Market Perform

Reason

Keefe Bruyette raised the firm's price target on Hippo to $34 from $33 and keeps a Market Perform rating on the shares. The very strong growth embedded in Hippo's medium-term targets presents risks into a softening market, the analyst tells investors in a research note.

Citizens JMP

Outperform

maintain

$40 -> $45

2025-10-14

Reason

Citizens JMP

Price Target

$40 -> $45

2025-10-14

maintain

Outperform

Reason

Citizens JMP raised the firm's price target on Hippo to $45 from $40 and keeps an Outperform rating on the shares. The firm expects Q3 results for the insurance sector to be highlighted by lighter-than-typical catastrophe losses, modest mark to market book value tailwinds, and potential for continued issues around casualty loss reserves, but thinks focus will be zeroed in on the pricing environment, the analyst tells investors in a research note.

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HIPO Should I Buy

HIPO Should I Buy

Should You Buy Hippo Holdings Inc (HIPO) Today? Analysis, Price Targets, and 2026 Outlook.

Technical Analysis

Options Data

Technical Summary

Positive Catalysts

Neutral/Negative Catalysts

Financial Performance

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

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