Hagerty, Inc.

Hagerty, Inc.

HGTYยทNYSE

$10.09

-1.9%
Financial ServicesInsurance - Property & Casualty

Hagerty, Inc. provides insurance agency services worldwide. It offers automobile and boat insurance products; and reinsurance products. The company also provides Hagerty Media, which publishes contents through the HDC Magazine, video content, YouTube channel; HDC that offers subscription based products and services, including HDC Magazine, automotive enthusiast events, proprietary vehicle valuation tools, emergency roadside services, and special vehicle-related discounts; HVT, a valuation tool used by the customer to access current and historic pricing data of collector car, truck, SUV, and motorcycle models; and Hagerty Events, an eclectic mix of small and large events. In addition, it offers DriveShare, a peer-to-peer rental platform for collector and cool vehicles; Motorsport Reg, a motorsport membership, licensing, and event online management system that automates event listings, registration, and payment processing for various motorsport events; and Hagerty Garage + Social, a platform that provides clubhouses and car storage facilities. The company is headquartered in Traverse City, Michigan.

At a Glance

Live Snapshot
Market Cap$3.46B
EPS0.4400
P/E Ratio22.93
Earnings Date08/03/2026

Intrinsic Alpha Methodology

Thesis Lenses

Signal ยท Driver ยท Risk

Signal

High confidence

Valuation multiple is mid-range (P/E 22.9).

Valuation inputs: P/E 22.9, earnings yield +4.4%, momentum -1.9%.

If multiples stay elevated while momentum fades, downside repricing risk rises.

Driver

High confidence

Return profile is acceptable (ROE +15.9%, ROIC +6.7%).

Profitability stack: net margin +3.4%, ROE +15.9%, ROIC +6.7%.

Quality deterioration often appears in margins before it shows up in headline EPS.

Risk

High confidence

Risk profile is balanced but has notable pressure points to monitor.

Risk factors: liabilities/assets +63.9%, momentum -1.9%, net margin +3.4%.

Higher leverage with weak momentum and thin margins can amplify drawdown severity.

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Hagerty, Inc. Market vs Earnings Trajectory

HGTY ยท NYSE

Loading price and EPS data...

Hagerty, Inc.

Hagerty, Inc. Fair Value Envelope

HGTY ยท NYSE

Our analysis suggests that HGTY has a fair value of HIDDEN per share in the Base Case projection. With shares currently trading at $10.09, this represents a potential HIDDEN relative to our calculated worth for Hagerty, Inc..

Intrinsic Value
Current Price: $10.09
3Y+13.0%
5Y+1367.0%
10Y+340.0%
3Y+76.0%
5Y+192.0%
10Y+383.0%
3Y+53.0%
5Y+382.0%
10Y+478.0%
3Y+296.0%
5Y+159.0%
10Y+375.0%
3Y+1675.0%
5Y+320.0%
10Y+408.0%
3Y+61.0%
5Y+239.0%
10Y+367.0%
Hagerty, Inc.

Hagerty, Inc. Profit Bridge

HGTY ยท NYSE
Revenue1.46B
Cost of Goods Sold (285.39M)
Gross Profit1.17B
Operating Expenses (1.03B)
Operating Income139.18M
Interest Expense (8.70M)
Other Income/Expense0.00
Pretax Income139.18M
Income Tax (-10.04M)
Net Income49.02M
Net Income
49.02M

Profitability Analysis

Gross Margin

80.4%

Exceptional pricing power and cost management. The company retains over half of revenue after direct costs.

Operating Margin

9.6%

Acceptable margins but limited operational leverage. Operating expense control is important.

Net Profit Margin

3.4%

Minimal profitability after all expenses. Limited financial flexibility for reinvestment or shareholder returns.

Effective Tax Rate

-7.2%

Below-average tax rate suggests effective tax planning, favorable jurisdictions, or tax credits.

Profitability Insight

Margin squeeze alert: Healthy gross margins but weak operating margins suggest excessive operating expenses. Cost optimization could unlock significant value.

80.40%
Gross Profit Margin
7%
3Y+46.0%
5Y-20.0%
10Y+48.0%
9.56%
Operating Profit Margin
22%
3Y+614.0%
5Y+201.0%
10Y+235.0%
3.37%
Net Profit Margin
136%
3Y-13.0%
5Y+65.0%
10Y+20.0%
15.92%
Return on Equity
120%
3Y-71.0%
5Y+84.0%
10Y-
2.37%
Return on Assets
133%
3Y-5.0%
5Y+42.0%
10Y-
6.69%
Return on Invested Capital
44%
3Y+2024.0%
5Y+41.0%
10Y-
HGTY

Hagerty, Inc. Cash Conversion Engine

HGTY ยท NYSE
Net Income49.02M
Depreciation & Amortization37.52M
Stock-Based Compensation0.00
Change in Working Capital42.92M
Others89.52M
Capital Expenditures-24.54M
Free Cash Flow194.45M

Cash Flow Quality Analysis

FCF Conversion Rate

396.7%

Excellent cash generation. The company converts earnings to cash at or above 100%, indicating high-quality earnings.

CapEx Intensity

11.2%

Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.

FCF Growth Trend

+24.9%

Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.

Working Capital Impact

+$42.92M

Working capital inflow boosted cash flow. Efficient management of receivables, inventory, and payables contributing positively.

Cash Flow Quality Insight

Exceptional cash generation: High-quality earnings converting to growing free cash flow. The company demonstrates strong pricing power, efficient operations, and disciplined capital allocation.

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Hagerty, Inc. Funding & Solvency Profile

HGTY ยท NYSE
Cash & Cash Equivalents366.73M
Net Receivables27.99M
Inventory0.00
Other Current Assets0.00
Total Current Assets1 B
Property, Plant & Equipment0.00
Goodwill & Intangible Assets203.28M
Long-Term Investments0.00
Other Non-Current Assets0.00
Total Non-Current Assets0
Total Assets
2.02B

Financial Health Analysis

Debt-to-Equity Ratio

1.76x

Elevated leverage. Debt exceeds equity, which amplifies both gains and risks. Monitor debt servicing ability.

Working Capital

1 B

Strong working capital position provides significant operational flexibility and financial cushion.

Asset Composition

53% Current

Balanced asset mix between current and non-current assets, typical of many stable businesses.

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Hagerty, Inc. Street Expectations Map

HGTY ยท NYSE

Wall Street analysts project that HGTY stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 14.33, with estimates ranging from a low of 13.00 to a high of 15.00.

Lowest Target
13.00
28.84%
Consensus Target
14.33
42.02%
Highest Target
15.00
48.66%

The consensus 1-year price target stands at 14.33, with estimates ranging from a low of 13.00 to a high of 15.00.

Analyst Consensus Analysis

Upside Potential

+42.0%

Substantial upside potential. Analysts see significant value gap, suggesting the stock may be materially undervalued at current levels.

Analyst Agreement

14.0% spread

High analyst agreement. Narrow target range indicates strong consensus on valuation, suggesting clear investment thesis and predictable outlook.

Analyst Conviction

Very High

Strong buy conviction: High upside with tight consensus suggests compelling investment opportunity backed by analyst confidence.

Market Sentiment Insight

Rare opportunity: Exceptional upside potential with strong analyst consensus creates a compelling setup. The combination of significant price target premium and tight agreement suggests high-conviction undervaluation that may attract institutional capital.

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Hagerty, Inc. Insider Positioning

HGTY ยท NYSE

During the last 12 months, insiders have purchased $310K and sold $119.54M worth of HGTY shares, resulting in $119.23M of net selling activity.

3 Months

Bought

13.5K

137.37K

Sold

5.5K

60.90K

Net Activity

+76K

+$76K

3-6 Months

Bought

15.0K

160.80K

Sold

451.4K

5.75M

Net Activity

-5.6M

-$5.59M

6-9 Months

Bought

0

0.00

Sold

390.4K

4.64M

Net Activity

-4.6M

-$4.64M

9-12 Months

Bought

1.0K

11.62K

Sold

12.1M

109.08M

Net Activity

-109.1M

-$109.07M

Top Buyers

1
KAJ

Kuczinski Anthony J

Director

29.5K sharesโ€ข4 transactions

$310K

Top Sellers

1
HHC

Hagerty Holding Corp.

10 Percent Owner

9.5M sharesโ€ข2 transactions

$84.57M

2
KRI

Kauffman Robert I

Director

3.0M sharesโ€ข70 transactions

$29.15M

3
AK

Ahn Kenneth

Officer: President, Hagerty Marketplace

451.4K sharesโ€ข8 transactions

$5.75M

4
HL

Harris Laurie

Director

5.5K sharesโ€ข1 transactions

$61K

Insider Activity Analysis

Net Insider Sentiment

Bearish

Strong bearish signal with $119.23M net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.

Buy/Sell Ratio

0.00:1

Very poor ratio. Heavy selling with minimal buying suggests insiders may be concerned about valuation or outlook.

Recent Trend (3 Months)

$76K

Very strong recent buying momentum. Recent insider purchases significantly outpace sales, suggesting near-term optimism.

Insider Participation

High Selling

4 insider sellers vs. 1 buyers. Widespread selling across multiple insiders may signal concerns.

0.00%
Dividend Yield
3Y-
5Y-
10Y-
ย 

hgty Dividend History

HGTY
10Y CAGR +0%
Latest $0
Annual $0
Stable dividend payments
Last Period: +0%