Hagerty (NYSE:HGTY) Posts Earnings Results, Beats Expectations By $0.07 EPS

Hagerty (NYSE:HGTY) announced its quarterly earnings data on Wednesday. The company reported ($0.02) EPS for the quarter, topping analysts’ consensus estimates of ($0.09) by $0.07, FiscalAI reports. Hagerty had a net margin of 1.81% and a return on equity of 5.16%. The business had revenue of $354.82 million for the quarter, compared to analyst estimates of $316.21 million.

Here are the key takeaways from Hagerty’s conference call:

• Hagerty raised its 2026 outlook, now expecting written premium growth of 16%–17%, GAAP net income of $18 million–$30 million, and adjusted EBITDA of $270 million–$280 million, citing strong first-half momentum and better cost flow-through.
• First-half written premium rose 19%, adjusted EBITDA increased 32% to $160 million, and the company added a record 279,000 members while surpassing 3 million insured vehicles. State Farm conversions and new business contributed significantly, with the State Farm transition still expected to run through 2028.
• Hagerty reported an 88% first-half combined ratio and highlighted continued expansion through State Farm, Progressive, Liberty Mutual, independent agents, and its Enthusiast Plus program. Marketplace sales grew 17% to $65 million, led by a 74% increase in Broad Arrow auction sales.
• Reported GAAP revenue declined 6% and first-half GAAP net loss was $5 million because of accounting effects from the new Markel fronting arrangement and deferred acquisition-cost timing. Management expects these transition effects to diminish by year-end, with a cleaner, normalized P&L in 2027.
• Retention declined modestly to 88%, primarily reflecting a slight deterioration in the core book, although management said it remains within historical ranges. Hagerty also said shareholder capital returns are not a near-term priority, favoring reinvestment and selective acquisitions such as the recently announced Bennetts purchase.

Hagerty Stock Performance

Shares of HGTY stock traded up $0.14 on Friday, reaching $13.63. The stock had a trading volume of 77,903 shares, compared to its average volume of 154,454. Hagerty has a 12 month low of $9.36 and a 12 month high of $14.00. The firm has a market capitalization of $4.68 billion, a price-to-earnings ratio of 151.44 and a beta of 0.79. The firm’s 50-day moving average is $11.50 and its two-hundred day moving average is $11.24. The company has a quick ratio of 1.65, a current ratio of 1.65 and a debt-to-equity ratio of 0.35.

Insider Buying and Selling

In other Hagerty news, CAO Kevin M. Delaney sold 9,440 shares of the business’s stock in a transaction that occurred on Wednesday, July 1st. The stock was sold at an average price of $12.10, for a total transaction of $114,224.00. Following the transaction, the chief accounting officer owned 89,610 shares of the company’s stock, valued at $1,084,281. The trade was a 9.53% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 13,458 shares of company stock worth $163,227 in the last three months. Company insiders own 3.70% of the company’s stock.

Institutional Trading of Hagerty

A number of hedge funds have recently made changes to their positions in the business. Schonfeld Strategic Advisors LLC boosted its position in Hagerty by 107.0% during the fourth quarter. Schonfeld Strategic Advisors LLC now owns 26,718 shares of the company’s stock worth $359,000 after purchasing an additional 13,808 shares during the period. AQR Capital Management LLC acquired a new position in shares of Hagerty in the fourth quarter valued at $315,000. Jane Street Group LLC bought a new position in shares of Hagerty in the fourth quarter valued at about $405,000. California State Teachers Retirement System raised its position in shares of Hagerty by 44.0% in the third quarter. California State Teachers Retirement System now owns 33,406 shares of the company’s stock valued at $402,000 after purchasing an additional 10,214 shares during the period. Finally, Legal & General Group Plc lifted its stake in shares of Hagerty by 25.1% during the 3rd quarter. Legal & General Group Plc now owns 29,827 shares of the company’s stock worth $359,000 after buying an additional 5,975 shares during the last quarter. 20.51% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

Several equities research analysts have issued reports on the stock. Wells Fargo & Company lifted their price target on shares of Hagerty from $11.00 to $13.00 and gave the company an “equal weight” rating in a research note on Thursday, July 9th. Truist Financial increased their price objective on shares of Hagerty from $11.00 to $13.00 and gave the stock a “hold” rating in a research note on Friday. Weiss Ratings upgraded shares of Hagerty from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Wednesday, June 17th. JPMorgan Chase & Co. raised their price objective on Hagerty from $12.00 to $13.00 and gave the company a “neutral” rating in a report on Tuesday, July 14th. Finally, Keefe, Bruyette & Woods lifted their target price on Hagerty from $14.00 to $15.00 and gave the company an “outperform” rating in a research report on Wednesday, July 8th. Four investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the company. According to MarketBeat, the company has an average rating of “Hold” and an average price target of $13.89.

Hagerty Company Profile

Hagerty is a specialized automotive lifestyle and insurance company that caters primarily to collectible car enthusiasts. Its core business centers on offering classic vehicle insurance policies designed to protect antique, vintage and specialty automobiles, motorcycles and boats. These policies typically feature agreed-value coverage, flexible usage options and access to restoration services, aligning with the unique needs of collectors and hobbyists.

Beyond insurance, Hagerty operates a comprehensive suite of community and content services under its automotive lifestyle brand.