The Hartford Insurance Group, Inc. (HIG) Stock Valuation — PE Analysis
Insurance - Diversified · NYSE
Current Price
$144.41
PE Ratio (TTM)
9.3x
Intrinsic Value
$169.18
+14.6% margin of safety
COMPETITIVE MOAT
↑Strong Brand Recognition
The Hartford has a long-standing reputation for reliability and customer service. This brand equity fosters trust and customer loyalty in a competitive insurance market.
↑Diversified Product Portfolio
Offering a wide range of insurance products, including P&C, group benefits, and individual life, creates cross-selling opportunities. This diversification reduces reliance on any single product line.
↑Scale and Underwriting Expertise
The company's significant scale allows for data-driven underwriting and risk management. This expertise leads to more accurate pricing and improved profitability.
INVESTMENT RISKS
↓Catastrophe and Climate Risk
The Hartford, like all insurers, faces significant exposure to natural disasters. Increased frequency and severity of catastrophes can lead to substantial claims and impact profitability.
↓Interest Rate Sensitivity
While rising investment income is a positive, the company's investment portfolio is sensitive to interest rate fluctuations. Significant rate changes can impact investment returns.
↓Competition and Pricing Pressure
The insurance market is highly competitive, with both established players and new entrants. This can lead to pricing wars and pressure on profit margins.
Base case
HIG base case PE valuation
A base case PE valuation for HIG estimates a fair value of about $169.18 per share, against a current price of $144.41. The model assumes 3.4% annual earnings growth, a 9x target PE multiple, and a 10% discount rate.
Intrinsic Value
$169.18
Margin of safety
+14.6%
Expected annual return
+3.2%
Base case assumptions: 3.4% annual earnings growth, 9x target PE, 10% discount rate, 5 year projection. Data as of 2026-07-30.
This base case uses default assumptions and is not financial advice. The fair value changes significantly when the target PE or earnings growth rate changes. Open the calculator to set your own assumptions and see the full sensitivity range.
Customize the HIG PE valuation
Adjust the target PE, earnings growth, and discount rate to see how the fair value and margin of safety for The Hartford Insurance Group, Inc. respond.
Open PE Calculator for HIGCompany Overview
The Hartford Insurance 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. It operates through Business Insurance, Personal Insurance, Property & Casualty Other Operations, Employee Benefits and Hartford Funds. The company offers insurance coverage, 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. The company also provides automobiles, homeowners, and personal umbrella coverages. The Property & Casualty Other Operations segment offers coverage for asbestos and environmental exposures. In addition, it provides group life, disability, and other group coverages to members of employer groups, associations, and affinity groups through direct insurance policies; reinsurance to other insurance companies; employer paid and voluntary product coverages; disability underwriting, administration, and claims processing to self-funded employer plans; leave management solution; distributes its group insurance products and services through brokers, consultants, third-party administrators, trade associations, and private exchanges. Further, the company offers managed mutual funds across various asset classes; and exchange-traded funds through broker-dealer organizations, independent financial advisers, defined contribution plans, financial consultants, bank trust, and registered investment advisers, as well as investment management, distribution, and administrative services, such as product design, implementation, and oversight. The company was founded in 1810 and is headquartered in Hartford, Connecticut.
Financial Metrics — HIG PE Stock Valuation Data
PE Ratio (TTM)
9.3x
PEG Ratio
0.23
Earnings Yield
10.86%
ROE (TTM)
23.0%
Revenue/Share (TTM)
$104.32
Dividend Yield
1.61%
Debt/Equity
0.22x
Frequently Asked Questions
What is the PE ratio of HIG?
The trailing twelve-month PE ratio of HIG reflects how much investors pay per dollar of The Hartford Insurance Group, Inc.'s earnings. This metric is most useful when compared to Insurance - Diversified peers and the company's own historical range.
Is HIG overvalued based on PE ratio?
HIG's PE of 9.3x combined with a PEG ratio of 0.23 provides a growth-adjusted perspective. A PEG below 1.0 means the P/E is low relative to the earnings growth rate. Keep in mind that PE-based valuation works best for profitable, mature companies — for high-growth or cyclical Insurance - Diversified, a DCF analysis may be more appropriate.
How do I value HIG stock using PE ratio?
To value The Hartford Insurance Group, Inc. using PE: (1) Compare the current PE (9.3x) against the Insurance - Diversified median to assess relative pricing, (2) check the PEG ratio (0.23) to adjust for growth expectations, (3) review the 5-year PE range to identify where the stock sits historically, and (4) estimate fair value by multiplying a target PE by forward EPS estimates. This relative approach complements DCF's absolute valuation.
What is the PEG ratio of HIG?
HIG's PEG ratio is 0.23, calculated by dividing the PE ratio (9.3x) by the expected earnings growth rate. A PEG below 1.0 means the P/E is low relative to the expected earnings growth rate. Note that PEG accuracy depends on the reliability of growth estimates.
Should I use PE ratio or DCF for HIG stock valuation?
PE ratio gives a quick relative read — how HIG is priced versus Insurance - Diversified peers. DCF provides an absolute value based on projected free cash flows. For HIG, with a strong ROE of 23.0%, both methods are worth using — PE for a market-relative check, DCF to stress-test whether fundamentals justify the price. Each method has blind spots: PE ignores capital structure and cash flow quality, while DCF is sensitive to growth and discount rate assumptions.
Learn More
- See HIG DCF Valuation → — Intrinsic value via Discounted Cash Flow analysis
- PE Methodology — Step-by-step guide to PE ratio stock valuation
- DCF Methodology — Guide to discounted cash flow analysis
- PE Ratio — Understanding the price-to-earnings ratio
- Intrinsic Value — How to evaluate stock fair value
Related PE Valuations
All Financial Services valuationsP/E and DCF value HIG with different methods and assumptions, so the two conclusions can differ. Compare the DCF intrinsic value.
Price as of 2026-07-30. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.
This is an estimate, not investment advice.