Analyst Bob Huang of Morgan Stanley maintained a Hold rating on Hartford Financial, retaining the price target of $140.00.
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Bob Huang has given his Hold rating due to a combination of factors related to Hartford Financial’s recent performance. The company demonstrated strong growth in its Business Insurance segment, with premiums increasing significantly, driven by new business and stable retention rates. This growth is notable given the broader industry trend of slowing commercial line expansion. However, the core loss ratio in Business Insurance experienced a slight deterioration, which, although manageable, presents a concern.
Additionally, while the Personal Insurance segment showed solid underwriting profitability, it faced growth pressures due to heightened competition. The investment income was robust, exceeding expectations, and reserve development was favorable. Despite these positive aspects, the strong year-to-date share price performance suggests that expectations were high, leading to the decision to maintain an Equal-weight rating on the stock.
In another report released on October 13, Bank of America Securities also maintained a Hold rating on the stock with a $135.00 price target.
Based on the recent corporate insider activity of 72 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of HIG in relation to earlier this year.