Morgan Stanley Issues Positive Forecast for The Hanover Insurance Group (NYSE:THG) Stock Price

The Hanover Insurance Group (NYSE:THG) had its price target upped by Morgan Stanley from $230.00 to $235.00 in a research note issued to investors on Friday,Benzinga reports. Morgan Stanley currently has an equal weight rating on the insurance provider’s stock.

A number of other equities analysts have also issued reports on the company. Weiss Ratings upgraded The Hanover Insurance Group from a “buy (a)” rating to a “buy (a+)” rating in a research note on Thursday, October 8th. Oppenheimer reaffirmed an “outperform” rating and set a $260.00 target price on shares of The Hanover Insurance Group in a report on Tuesday, October 13th. Keefe, Bruyette & Woods upped their target price on The Hanover Insurance Group from $222.00 to $232.00 and gave the company a “market perform” rating in a research report on Friday, September 18th. Zacks Research upgraded shares of The Hanover Insurance Group from a “hold” rating to a “strong-buy” rating in a report on Wednesday, August 5th. Finally, Citizens Jmp increased their price target on shares of The Hanover Insurance Group from $240.00 to $250.00 and gave the stock a “market outperform” rating in a report on Thursday. Two analysts have rated the stock with a Strong Buy rating, three have given a Buy rating and five have given a Hold rating to the company’s stock. According to data from MarketBeat.com, The Hanover Insurance Group has an average rating of “Moderate Buy” and a consensus price target of $235.00.

The Hanover Insurance Group Stock Up 2.8%

NYSE:THG opened at $241.75 on Friday. The company’s 50 day moving average is $226.42 and its two-hundred day moving average is $200.05. The company has a market cap of $8.42 billion, a PE ratio of 10.94 and a beta of 0.23. The Hanover Insurance Group has a twelve month low of $166.54 and a twelve month high of $242.54. The company has a current ratio of 0.39, a quick ratio of 0.38 and a debt-to-equity ratio of 0.23.

The Hanover Insurance Group (NYSE:THG) last posted its quarterly earnings data on Wednesday, October 28th. The insurance provider reported $5.15 EPS for the quarter, topping the consensus estimate of $4.62 by $0.53. The Hanover Insurance Group had a net margin of 10.97% and a return on equity of 21.63%. The business had revenue of $1.74 billion during the quarter, compared to the consensus estimate of $1.81 billion. During the same period in the previous year, the firm posted $5.09 earnings per share. Analysts anticipate that The Hanover Insurance Group will post 20.35 EPS for the current year.

The Hanover Insurance Group Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, September 25th. Shareholders of record on Friday, September 11th were given a dividend of $0.95 per share. This represents a $3.80 annualized dividend and a yield of 1.6%. The ex-dividend date of this dividend was Friday, September 11th. The Hanover Insurance Group’s dividend payout ratio (DPR) is currently 18.14%.

Insider Transactions at The Hanover Insurance Group

In related news, Director Jane Carlin sold 1,000 shares of the firm’s stock in a transaction dated Monday, August 3rd. The stock was sold at an average price of $231.50, for a total transaction of $231,500.00. Following the sale, the director directly owned 2,270 shares of the company’s stock, valued at $525,505. This trade represents a 30.58% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, EVP Dennis Kerrigan sold 6,551 shares of the firm’s stock in a transaction dated Wednesday, August 19th. The stock was sold at an average price of $220.79, for a total value of $1,446,395.29. Following the sale, the executive vice president directly owned 12,003 shares in the company, valued at approximately $2,650,142.37. This trade represents a 35.31% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 9,655 shares of company stock valued at $2,145,846 in the last quarter. Company insiders own 2.80% of the company’s stock.

Institutional Investors Weigh In On The Hanover Insurance Group

Several hedge funds have recently bought and sold shares of the stock. BlackRock Inc. acquired a new position in shares of The Hanover Insurance Group in the 2nd quarter valued at $756,471,000. Bank of New York Mellon Corp acquired a new stake in The Hanover Insurance Group during the second quarter valued at $69,481,000. Bank of America Corp DE acquired a new stake in The Hanover Insurance Group during the second quarter valued at $47,734,000. Primecap Management Co. CA acquired a new stake in The Hanover Insurance Group during the second quarter valued at $37,844,000. Finally, William Blair Investment Management LLC purchased a new position in The Hanover Insurance Group in the second quarter valued at $33,034,000. Hedge funds and other institutional investors own 86.61% of the company’s stock.

Key Stories Impacting The Hanover Insurance Group

Here are the key news stories impacting The Hanover Insurance Group this week:

• Positive Sentiment: Third-quarter adjusted earnings were $5.15 per share, exceeding consensus estimates of $4.62, while earnings also improved from $5.09 in the year-ago quarter. The earnings beat supports confidence in THG’s profitability and helped reinforce recent stock momentum. Hanover Insurance Group Q3 Earnings and Revenues Surpass Estimates
• Positive Sentiment: Management expects the full-year combined ratio to clearly outperform its original guidance, indicating stronger-than-anticipated underwriting performance. Although the company anticipates a 5.2% catastrophe load in the fourth quarter, the improved full-year outlook is a favorable signal for investors. Hanover Outlines Q4 Catastrophe Load and Full-Year Combined Ratio Outlook
• Positive Sentiment: Citizens JMP raised its price target from $240 to $250 and assigned a “market outperform” rating, implying additional upside from the stock’s current level. Citizens JMP THG Recommendation
• Positive Sentiment: RBC increased its target from $235 to $245 while maintaining a “sector perform” rating, reflecting a modestly higher valuation view despite a neutral stance. Royal Bank of Canada THG Recommendation
• Neutral Sentiment: Revenue of $1.74 billion fell short of the $1.81 billion analyst estimate, and reported profit declined according to some coverage, tempering the otherwise strong earnings reaction. The Hanover Insurance Group Reports Sales Below Estimates
• Negative Sentiment: Morgan Stanley raised its price target from $230 to $235 but retained an “equal weight” rating; the revised target remains below the current share price, signaling limited near-term upside in its view. Morgan Stanley THG Recommendation

The Hanover Insurance Group Company Profile

The Hanover Insurance Group, Inc is a holding company that provides property and casualty insurance products and services through a network of independent agents. Its principal operating subsidiary is The Hanover Insurance Company, which traces its roots to 1852 and is headquartered in Worcester, Massachusetts.

The company offers personal insurance products such as automobile, homeowners, condominium, renters and umbrella coverage. Its commercial insurance business serves small and midsize businesses with products that include commercial property, general liability, commercial automobile, workers’ compensation and other specialized coverages.

The Hanover also provides specialty insurance solutions for select industries and risks, including professional liability, management liability, marine and other niche commercial exposures.