Property and casualty insurer The Hanover Insurance Group (NYSE: THG) will be reporting results this Wednesday after market close. Here’s what to look for.
The Hanover Insurance Group missed analysts’ revenue expectations last quarter, reporting revenues of $1.72 billion, up 4% year on year. It was a mixed quarter for the company, with a beat of analysts’ EPS estimates but a significant miss of analysts’ book value per share estimates.
Is The Hanover Insurance Group a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting The Hanover Insurance Group’s revenue to grow 4.6% year on year, slowing from the 6.1% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings.
Looking at The Hanover Insurance Group’s peers in the property & casualty insurance segment, some have already reported their Q3 results, giving us a hint as to what we can expect. RLI delivered year-on-year revenue growth of 5.3%, beating analysts’ expectations by 0.5%, and Travelers reported flat revenue, topping estimates by 0.7%. RLI traded up 2.5% following the results while Travelers’s stock price was unchanged.
Read our full analysis of RLI’s results here and Travelers’s results here.
There has been positive sentiment among investors in the property & casualty insurance segment, with share prices up 5.7% on average over the last month. The Hanover Insurance Group is up 10% during the same time and is heading into earnings with an average analyst price target of $235.88 (compared to the current share price of $239.24).
ONE MORE THING: The $21 AI Application Stock Wall Street Forgot. While Wall Street obsesses over who’s building AI, one company is already using it to print money. And nobody’s paying attention.
AI chip stocks trade at ridiculous valuations. This company processes a trillion consumer signals monthly using AI and trades at a third of the price. The gap won’t last. The institutions will figure it out. You need to see this first. Read the FREE Report Before They Notice.
