The Hartford Financial Services Group, Inc. (NYSE:HIG) Announces Dividend Increase – $0.52 Per Share

The Hartford Financial Services Group, Inc. (NYSE:HIG) declared a quarterly dividend on Thursday, October 24th, Zacks reports. Investors of record on Monday, December 2nd will be given a dividend of 0.52 per share by the insurance provider on Friday, January 3rd. This represents a $2.08 annualized dividend and a yield of 1.85%. The ex-dividend date is Monday, December 2nd. This is a positive change from The Hartford Financial Services Group’s previous quarterly dividend of $0.47.

The Hartford Financial Services Group has increased its dividend by an average of 10.3% annually over the last three years and has increased its dividend every year for the last 11 years. The Hartford Financial Services Group has a payout ratio of 16.3% meaning its dividend is sufficiently covered by earnings. Analysts expect The Hartford Financial Services Group to earn $11.45 per share next year, which means the company should continue to be able to cover its $1.88 annual dividend with an expected future payout ratio of 16.4%.

The Hartford Financial Services Group Trading Down 6.8 %

The Hartford Financial Services Group stock traded down $8.20 during trading hours on Friday, hitting $112.26. The company had a trading volume of 2,956,001 shares, compared to its average volume of 1,382,046. The company has a debt-to-equity ratio of 0.28, a quick ratio of 0.32 and a current ratio of 0.32. The firm has a market cap of $32.89 billion, a P/E ratio of 11.80, a P/E/G ratio of 0.99 and a beta of 0.93. The company has a 50-day moving average price of $116.27 and a two-hundred day moving average price of $106.81. The Hartford Financial Services Group has a 1 year low of $68.92 and a 1 year high of $123.23.

The Hartford Financial Services Group (NYSE:HIG) last announced its quarterly earnings results on Thursday, October 24th. The insurance provider reported $2.53 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.49 by $0.04. The firm had revenue of $4.67 billion during the quarter, compared to analyst estimates of $4.62 billion. The Hartford Financial Services Group had a return on equity of 21.20% and a net margin of 11.44%. On average, sell-side analysts anticipate that The Hartford Financial Services Group will post 10.02 earnings per share for the current year.

Analyst Upgrades and Downgrades

HIG has been the subject of a number of research reports. Argus raised shares of The Hartford Financial Services Group to a “strong-buy” rating in a research note on Friday, August 2nd. Jefferies Financial Group increased their price objective on shares of The Hartford Financial Services Group from $113.00 to $127.00 and gave the company a “hold” rating in a research note on Wednesday, October 9th. Royal Bank of Canada lifted their price objective on shares of The Hartford Financial Services Group from $105.00 to $115.00 and gave the company a “sector perform” rating in a report on Monday, July 29th. Piper Sandler upped their target price on The Hartford Financial Services Group from $112.00 to $125.00 and gave the stock an “overweight” rating in a report on Monday, July 29th. Finally, Wells Fargo & Company lifted their price target on The Hartford Financial Services Group from $122.00 to $134.00 and gave the company an “overweight” rating in a report on Tuesday, September 17th. Ten analysts have rated the stock with a hold rating, seven have assigned a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat, The Hartford Financial Services Group presently has an average rating of “Moderate Buy” and a consensus price target of $120.76.

The Hartford Financial Services Group declared that its board has initiated a share repurchase program on Thursday, July 25th that permits the company to buyback $3.30 billion in outstanding shares. This buyback authorization permits the insurance provider to reacquire up to 10.9% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s management believes its shares are undervalued.

The Hartford Financial Services Group Company Profile

The Hartford Financial Services Group, Inc, together with its subsidiaries, provides insurance and financial services to individual and business customers in the United States, the United Kingdom, and internationally. Its Commercial Lines segment offers insurance coverages, including workers' compensation, property, automobile, general and professional liability, package business, umbrella, fidelity and surety, marine, livestock, accident, health, and reinsurance through regional offices, branches, sales and policyholder service centers, independent retail agents and brokers, wholesale agents, and reinsurance brokers.