Hagerty (NYSE:HGTY) Lowered to Sell Rating by Wall Street Zen

Key Points

• Hagerty was downgraded by Wall Street Zen from “hold” to “sell”, adding to a softer analyst tone around the stock.
• Wells Fargo also cut its price target on Hagerty from $13 to $11 and kept an equal weight rating, while the broader analyst consensus remains Moderate Buy with a target of $13.71.
• The company reported mixed quarterly results, missing EPS estimates with -$0.04 per share but beating revenue expectations at $311.83 million; the stock was trading down 2.7% around $10.02.

Hagerty (NYSE:HGTY - Get Free Report) was downgraded by analysts at Wall Street Zen from a "hold" rating to a "sell" rating in a report released on Saturday.

Separately, Wells Fargo & Company dropped their price target on Hagerty from $13.00 to $11.00 and set an "equal weight" rating on the stock in a research report on Thursday, April 9th. Four research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus target price of $13.71.

Hagerty Trading Down 2.7%

NYSE HGTY opened at $10.02 on Friday. The company has a quick ratio of 1.63, a current ratio of 1.63 and a debt-to-equity ratio of 0.27. Hagerty has a twelve month low of $8.81 and a twelve month high of $14.00. The firm has a market capitalization of $3.43 billion, a PE ratio of 50.12 and a beta of 0.83. The stock's 50 day moving average is $10.65 and its 200 day moving average is $11.89.

Hagerty (NYSE:HGTY - Get Free Report) last released its quarterly earnings results on Wednesday, May 6th. The company reported ($0.04) earnings per share for the quarter, missing the consensus estimate of $0.01 by ($0.05). Hagerty had a net margin of 5.11% and a return on equity of 12.05%. The firm had revenue of $311.83 million for the quarter, compared to the consensus estimate of $284.88 million. Research analysts forecast that Hagerty will post 0.27 earnings per share for the current fiscal year.

Insider Buying and Selling at Hagerty

In other Hagerty news, Director Laurie Harris sold 5,531 shares of the stock in a transaction on Tuesday, April 7th. The stock was sold at an average price of $11.01, for a total transaction of $60,896.31. Following the sale, the director directly owned 36,689 shares in the company, valued at approximately $403,945.89. This trade represents a 13.10% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Anthony J. Kuczinski bought 4,000 shares of the business's stock in a transaction on Thursday, March 12th. The shares were acquired at an average price of $9.50 per share, for a total transaction of $38,000.00. Following the completion of the purchase, the director owned 47,277 shares in the company, valued at approximately $449,131.50. The trade was a 9.24% increase in their position. The disclosure for this purchase is available in the SEC filing. Company insiders own 16.70% of the company's stock.

Institutional Trading of Hagerty

Several institutional investors have recently added to or reduced their stakes in HGTY. Goldman Sachs Group Inc. boosted its stake in Hagerty by 24.9% during the 1st quarter. Goldman Sachs Group Inc. now owns 37,383 shares of the company's stock valued at $338,000 after purchasing an additional 7,459 shares during the last quarter. Geode Capital Management LLC boosted its stake in Hagerty by 2.0% during the 2nd quarter. Geode Capital Management LLC now owns 254,634 shares of the company's stock valued at $2,576,000 after purchasing an additional 5,077 shares during the last quarter. Marshall Wace LLP grew its position in Hagerty by 37.2% in the 2nd quarter. Marshall Wace LLP now owns 22,405 shares of the company's stock worth $227,000 after purchasing an additional 6,072 shares during the period. Bank of America Corp DE grew its position in Hagerty by 46.6% in the 2nd quarter. Bank of America Corp DE now owns 8,571 shares of the company's stock worth $87,000 after purchasing an additional 2,726 shares during the period. Finally, Osaic Holdings Inc. grew its position in Hagerty by 2,374.5% in the 2nd quarter. Osaic Holdings Inc. now owns 4,949 shares of the company's stock worth $50,000 after purchasing an additional 4,749 shares during the period. 20.51% of the stock is currently owned by hedge funds and other institutional investors.

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.

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