The Hanover Insurance Group (NYSE:THG) Rating Increased to Strong-Buy at Zacks Research

Zacks Research upgraded shares of The Hanover Insurance Group (NYSE:THG) from a hold rating to a strong-buy rating in a research report report published on Wednesday morning,Zacks.com reports.

Several other brokerages have also issued reports on THG. Royal Bank Of Canada raised their target price on The Hanover Insurance Group from $215.00 to $235.00 and gave the company a “sector perform” rating in a research report on Thursday, July 30th. Keefe, Bruyette & Woods boosted their price target on shares of The Hanover Insurance Group from $220.00 to $222.00 and gave the stock a “market perform” rating in a report on Thursday. Oppenheimer increased their price target on shares of The Hanover Insurance Group from $205.00 to $220.00 and gave the company an “outperform” rating in a research report on Thursday, May 21st. Morgan Stanley raised their price objective on shares of The Hanover Insurance Group from $220.00 to $225.00 and gave the stock an “equal weight” rating in a report on Wednesday, July 8th. Finally, Citigroup reaffirmed an “outperform” rating on shares of The Hanover Insurance Group in a research report on Friday, July 10th. Two investment analysts have rated the stock with a Strong Buy rating, three have assigned a Buy rating and five have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $223.57.

The Hanover Insurance Group Stock Performance

THG stock opened at $231.63 on Wednesday. The firm has a market cap of $8.07 billion, a PE ratio of 11.06 and a beta of 0.27. The company has a quick ratio of 0.38, a current ratio of 0.38 and a debt-to-equity ratio of 0.22. The business has a 50 day moving average of $209.87 and a 200-day moving average of $189.49. The Hanover Insurance Group has a 12-month low of $165.50 and a 12-month high of $236.07.

The Hanover Insurance Group (NYSE:THG) last issued its quarterly earnings results on Tuesday, July 28th. The insurance provider reported $5.31 EPS for the quarter, topping analysts’ consensus estimates of $3.84 by $1.47. The Hanover Insurance Group had a return on equity of 21.72% and a net margin of 11.17%.The business had revenue of $1.73 billion for the quarter, compared to analyst estimates of $1.65 billion. During the same period last year, the company posted $4.35 earnings per share. The Hanover Insurance Group’s quarterly revenue was up 4.6% compared to the same quarter last year. As a group, sell-side analysts expect that The Hanover Insurance Group will post 20.15 earnings per share for the current year.

The Hanover Insurance Group Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, June 26th. Stockholders of record on Friday, June 12th were issued a $0.95 dividend. The ex-dividend date of this dividend was Friday, June 12th. This represents a $3.80 annualized dividend and a dividend yield of 1.6%. The Hanover Insurance Group’s dividend payout ratio is presently 18.14%.

The Hanover Insurance Group announced that its Board of Directors has initiated a share buyback program on Wednesday, May 13th that allows the company to repurchase $700.00 million in outstanding shares. This repurchase authorization allows the insurance provider to buy up to 10.6% of its stock through open market purchases. Stock repurchase programs are typically a sign that the company’s board believes its stock is undervalued.

Insider Activity at The Hanover Insurance Group

In related news, CEO John C. Roche sold 8,358 shares of the business’s stock in a transaction dated Wednesday, May 20th. The stock was sold at an average price of $193.74, for a total transaction of $1,619,278.92. Following the completion of the transaction, the chief executive officer directly owned 141,011 shares in the company, valued at $27,319,471.14. The trade was a 5.60% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Jane D. Carlin sold 1,000 shares of the business’s stock in a transaction dated Monday, August 3rd. The stock was sold at an average price of $231.50, for a total value of $231,500.00. Following the transaction, the director directly owned 2,270 shares of the company’s stock, valued at $525,505. The trade was a 30.58% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 26,046 shares of company stock valued at $5,095,138 in the last ninety days. 2.80% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On The Hanover Insurance Group

Large investors have recently added to or reduced their stakes in the business. JPL Wealth Management LLC purchased a new stake in The Hanover Insurance Group during the third quarter valued at about $26,000. Clearstead Trust LLC bought a new position in shares of The Hanover Insurance Group during the second quarter valued at about $36,000. McMillan Office Inc. purchased a new position in shares of The Hanover Insurance Group in the fourth quarter worth about $31,000. Entrust Financial LLC purchased a new position in shares of The Hanover Insurance Group in the fourth quarter worth about $33,000. Finally, Root Financial Partners LLC lifted its stake in shares of The Hanover Insurance Group by 69.3% in the 1st quarter. Root Financial Partners LLC now owns 237 shares of the insurance provider’s stock valued at $41,000 after acquiring an additional 97 shares during the last quarter. Hedge funds and other institutional investors own 86.61% of the company’s stock.

About The Hanover Insurance Group

The Hanover Insurance Group, Inc (NYSE: THG) is a property and casualty insurance company that provides a range of commercial and personal insurance products. Through its subsidiary companies, Hanover offers coverage for businesses of all sizes, including workers’ compensation, general liability, commercial auto, and professional liability. On the personal lines side, the company underwrites homeowners, personal auto, flood, and umbrella policies designed to meet the needs of individuals and families.

In addition to its core commercial and personal insurance offerings, Hanover maintains a specialty arm that focuses on niche markets through tailored product solutions.