Hagerty, Inc. (HGTY) vs The Hanover Insurance Group, Inc. (THG)

Hagerty, Inc. and The Hanover Insurance Group, Inc. are both Insurance Property & Casualty companies. The Hanover Insurance Group, Inc. is the larger, with a market value of $8.0B against $5.3B — 1.5× the size. The Hanover Insurance Group, Inc. trades at the lower P/E: 11.0× against 95.6×. The Hanover Insurance Group, Inc. grew revenue faster over the last twelve months: 5.57% against 3.75%. The Hanover Insurance Group, Inc. has the higher net margin (11.2% vs 1.25%) and the higher return on invested capital (14.2% vs 0.00%). Across the 20 metrics below, Hagerty, Inc. leads on 10 and The Hanover Insurance Group, Inc. on 10.

Valuation

Metric HGTY THG Insurance Property & Casualty median
P/E 95.63 11.02 10.75
P/S 1.10 1.21 1.21
P/B 2.40 2.22 1.99
Price to free cash flow 5.59 6.51 7.76
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 1.05% 9.08% 9.08%
Free cash flow yield 17.88% 15.37% 12.11%

Profitability

Metric HGTY THG Insurance Property & Casualty median
Gross margin 100.00% 44.76% 41.16%
Operating margin 13.39% 14.98% 15.09%
Net margin 1.25% 11.17% 11.51%
Free cash flow margin 19.68% 18.52% 17.46%
Return on equity 2.88% 21.94% 17.34%
Return on assets 0.84% 4.64% 3.74%
Return on invested capital 0.00% 14.21% 12.06%

Growth

Metric HGTY THG Insurance Property & Casualty median
Revenue growth (TTM) 3.75% 5.57% 8.02%
EPS growth (last fiscal year) 270.00% 55.21% 39.61%
Revenue growth, 5-year CAGR 23.86% 6.45% 9.23%
Net income growth, 5-year CAGR 32.47% 13.06% 10.09%

Health

Metric HGTY THG Insurance Property & Casualty median
Debt to equity 0.40 0.23 0.25
Current ratio 1.53 0.37 0.42
Net debt to EBITDA (3.42) 0.11 0.08

Dividend

Metric HGTY THG Insurance Property & Casualty median
Dividend yield — 1.63% 1.50%
Payout ratio — 0.18 0.14

Size

Metric HGTY THG Insurance Property & Casualty median
Market cap 5.26b 7.95b 2.67b

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