Hippo (NYSE:HIPO) Downgraded by Wall Street Zen to Hold

Key Points

• Hippo Holdings Inc has been downgraded by Wall Street Zen from a "buy" rating to a "hold" rating, reflecting a shift in analyst sentiment.
• Despite the downgrade, some analysts, such as JMP Securities and B. Riley, have raised their target prices for Hippo stock, with a consensus target price now at $34.25.
• Insider selling has been notable, with CEO Richard McCathron and CFO Guy Zeltser selling shares recently, signaling potential concerns about future company performance.

Hippo (NYSE:HIPO - Get Free Report) was downgraded by analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a report issued on Saturday.

Several other equities research analysts have also recently commented on the company. JMP Securities boosted their target price on Hippo from $35.00 to $40.00 and gave the stock a "market outperform" rating in a report on Thursday, August 7th. B. Riley boosted their target price on Hippo from $35.00 to $41.00 and gave the stock a "buy" rating in a report on Thursday, August 7th. Weiss Ratings reissued a "sell (d-)" rating on shares of Hippo in a report on Wednesday. Finally, Zacks Research cut Hippo from a "strong-buy" rating to a "hold" rating in a report on Monday, October 6th. Three investment analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, Hippo has a consensus rating of "Hold" and a consensus target price of $34.25.

Hippo Stock Performance

HIPO opened at $34.43 on Friday. Hippo has a twelve month low of $16.49 and a twelve month high of $38.98. The stock has a market cap of $861.78 million, a PE ratio of -70.27 and a beta of 1.56. The business's 50 day moving average is $33.90 and its 200-day moving average is $28.22. The company has a current ratio of 0.91, a quick ratio of 0.91 and a debt-to-equity ratio of 0.14.

Hippo (NYSE:HIPO - Get Free Report) last announced its earnings results on Wednesday, August 6th. The company reported $0.65 EPS for the quarter, topping the consensus estimate of ($0.65) by $1.30. Hippo had a negative return on equity of 12.13% and a negative net margin of 2.52%.The firm had revenue of $117.30 million for the quarter, compared to analysts' expectations of $116.00 million. On average, analysts predict that Hippo will post -3.63 earnings per share for the current year.

Insider Activity at Hippo

In other Hippo news, CEO Richard Mccathron sold 2,725 shares of Hippo stock in a transaction that occurred on Monday, September 8th. The shares were sold at an average price of $34.12, for a total value of $92,977.00. Following the transaction, the chief executive officer owned 470,388 shares in the company, valued at approximately $16,049,638.56. The trade was a 0.58% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, CFO Guy Zeltser sold 5,177 shares of Hippo stock in a transaction that occurred on Wednesday, September 17th. The stock was sold at an average price of $37.48, for a total transaction of $194,033.96. Following the completion of the transaction, the chief financial officer owned 74,861 shares in the company, valued at approximately $2,805,790.28. This trade represents a 6.47% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 10,177 shares of company stock worth $364,361. 10.80% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Hippo

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Quantbot Technologies LP purchased a new position in Hippo during the 2nd quarter worth approximately $33,000. Police & Firemen s Retirement System of New Jersey grew its holdings in shares of Hippo by 12.2% during the 2nd quarter. Police & Firemen s Retirement System of New Jersey now owns 4,481 shares of the company's stock valued at $125,000 after acquiring an additional 489 shares in the last quarter. State of Wyoming purchased a new position in shares of Hippo during the 2nd quarter valued at $127,000. Tower Research Capital LLC TRC grew its holdings in shares of Hippo by 418.0% during the 2nd quarter. Tower Research Capital LLC TRC now owns 6,402 shares of the company's stock valued at $179,000 after acquiring an additional 5,166 shares in the last quarter. Finally, Shay Capital LLC purchased a new position in shares of Hippo during the 2nd quarter valued at $204,000. 43.01% of the stock is currently owned by hedge funds and other institutional investors.

Hippo Company Profile

Hippo Holdings Inc provides property and casualty insurance products to individuals and business customers primarily in the United States. The company operates through three segments: Services, Insurance-as-a-Service, and Hippo Home Insurance Program. Its insurance products include homeowners' insurance against risks of fire, wind, and theft, as well as other personal lines policies from third party carriers; and personal and commercial, as well as home, auto, cyber, small business, life, specialty lines, and other insurance products.

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