Heritage Insurance (NYSE:HRTG) Share Price Crosses Above Fifty Day Moving Average - Here's Why

Key Points

• Heritage Insurance's shares recently traded above their 50-day moving average, reaching a high of $28.78 and closing at $27.16, indicating positive stock momentum.
• Wall Street analysts have generally rated Heritage Insurance as a "Buy," with Zacks Research upgrading the stock to a "strong-buy" and a target price increase by Truist Financial from $30.00 to $35.00.
• Insider selling activity has been noted, with the chief accounting officer and CEO both reducing their shareholdings in the company, raising questions about insider confidence.

Heritage Insurance Holdings, Inc. (NYSE:HRTG - Get Free Report)'s share price passed above its 50-day moving average during trading on Monday . The stock has a 50-day moving average of $22.48 and traded as high as $28.78. Heritage Insurance shares last traded at $27.16, with a volume of 805,314 shares trading hands.

Wall Street Analysts Forecast Growth

HRTG has been the topic of a number of research analyst reports. Zacks Research raised shares of Heritage Insurance to a "strong-buy" rating in a research note on Monday, August 11th. Truist Financial upped their target price on shares of Heritage Insurance from $30.00 to $35.00 and gave the stock a "buy" rating in a research note on Friday. Finally, Wall Street Zen downgraded shares of Heritage Insurance from a "strong-buy" rating to a "buy" rating in a research note on Saturday, August 9th. One research analyst has rated the stock with a Strong Buy rating and two have issued a Buy rating to the company. According to data from MarketBeat.com, Heritage Insurance has an average rating of "Buy" and an average target price of $31.50.

Heritage Insurance Stock Performance

The firm's 50-day moving average is $22.48 and its 200 day moving average is $20.84. The stock has a market cap of $842.35 million, a PE ratio of 7.83 and a beta of 1.05. The company has a debt-to-equity ratio of 0.24, a quick ratio of 0.82 and a current ratio of 0.82.

Heritage Insurance (NYSE:HRTG - Get Free Report) last released its quarterly earnings results on Tuesday, August 5th. The insurance provider reported $1.55 EPS for the quarter, beating the consensus estimate of $1.03 by $0.52. Heritage Insurance had a net margin of 12.71% and a return on equity of 33.36%. The firm had revenue of $208.04 million during the quarter, compared to the consensus estimate of $212.12 million. As a group, research analysts anticipate that Heritage Insurance Holdings, Inc. will post 1.86 EPS for the current year.

Insiders Place Their Bets

In other news, CAO Sharon Binnun sold 21,000 shares of the stock in a transaction dated Friday, September 5th. The shares were sold at an average price of $24.47, for a total value of $513,870.00. Following the completion of the transaction, the chief accounting officer owned 176,006 shares in the company, valued at $4,306,866.82. This trade represents a 10.66% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CEO Ernie J. Garateix sold 25,000 shares of the stock in a transaction dated Monday, September 15th. The shares were sold at an average price of $24.61, for a total transaction of $615,250.00. Following the completion of the transaction, the chief executive officer owned 1,245,808 shares of the company's stock, valued at $30,659,334.88. This represents a 1.97% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 166,000 shares of company stock worth $4,027,520. Insiders own 14.00% of the company's stock.

Institutional Investors Weigh In On Heritage Insurance

Several hedge funds have recently modified their holdings of HRTG. USA Financial Formulas acquired a new stake in shares of Heritage Insurance during the 2nd quarter worth about $25,000. Nisa Investment Advisors LLC raised its holdings in Heritage Insurance by 2,413.6% in the second quarter. Nisa Investment Advisors LLC now owns 1,106 shares of the insurance provider's stock valued at $28,000 after buying an additional 1,062 shares during the period. BNP Paribas Financial Markets raised its holdings in Heritage Insurance by 77.3% in the second quarter. BNP Paribas Financial Markets now owns 3,035 shares of the insurance provider's stock valued at $76,000 after buying an additional 1,323 shares during the period. AlphaQuest LLC raised its holdings in Heritage Insurance by 252.3% in the second quarter. AlphaQuest LLC now owns 3,259 shares of the insurance provider's stock valued at $81,000 after buying an additional 2,334 shares during the period. Finally, Strs Ohio purchased a new position in Heritage Insurance in the first quarter valued at approximately $127,000. 59.03% of the stock is owned by institutional investors and hedge funds.

About Heritage Insurance

Heritage Insurance Holdings, Inc, through its subsidiaries, provides personal and commercial residential insurance products. The company offers personal residential insurance in Alabama, California, Connecticut, Delaware, Florida, Georgia, Hawaii, Maryland, Massachusetts, Mississippi, New Jersey, New York, North Carolina, Rhode Island, South Carolina, and Virginia; commercial residential insurance for properties in Florida, New Jersey, and New York; and licensed in the state of Pennsylvania, as well as personal residential and wind-only property insurance.

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