Hiscox (LON:HSX) Stock Price Passes Above 200 Day Moving Average - Should You Sell?

Key Points

• Hiscox Ltd shares have recently traded above their 200-day moving average, reaching a high of GBX 1,305, indicating positive momentum in the stock price.
• Multiple analysts have assigned a Moderate Buy rating to Hiscox, with target prices ranging from GBX 1,400 to GBX 1,580, reflecting optimism about its future performance.
• The company has authorized a $275 million stock buyback program, signaling that its board believes the shares may be undervalued.

Hiscox Ltd (LON:HSX - Get Free Report)'s stock price crossed above its two hundred day moving average during trading on Tuesday . The stock has a two hundred day moving average of GBX 1,223.94 ($16.60) and traded as high as GBX 1,305 ($17.70). Hiscox shares last traded at GBX 1,286 ($17.44), with a volume of 580,192 shares traded.

Analysts Set New Price Targets

HSX has been the subject of several research analyst reports. Peel Hunt reiterated a "buy" rating and issued a GBX 1,460 price objective on shares of Hiscox in a research report on Thursday, July 3rd. Berenberg Bank lifted their price objective on Hiscox from GBX 1,450 to GBX 1,580 and gave the stock a "buy" rating in a research note on Thursday, August 7th. Royal Bank Of Canada reaffirmed a "sector perform" rating and set a GBX 1,400 price objective on shares of Hiscox in a research note on Tuesday, September 2nd. Finally, JPMorgan Chase & Co. reaffirmed an "overweight" rating on shares of Hiscox in a research note on Friday, August 1st. Three analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. Based on data from MarketBeat, Hiscox has a consensus rating of "Moderate Buy" and an average target price of GBX 1,480.

Hiscox Stock Up 1.6%

The company has a market capitalization of £4.37 billion, a P/E ratio of 765.98, a price-to-earnings-growth ratio of -2.30 and a beta of 0.65. The business has a fifty day moving average price of GBX 1,296.98 and a 200 day moving average price of GBX 1,227.61.

Hiscox announced that its Board of Directors has approved a share repurchase plan on Wednesday, August 6th that permits the company to repurchase $275.00 million in outstanding shares. This repurchase authorization permits the company to repurchase up to 4.6% of its stock through open market purchases. Stock repurchase plans are typically an indication that the company's board of directors believes its stock is undervalued.

About Hiscox

Hiscox Ltd, through its subsidiaries, provides insurance and reinsurance services in the United Kingdom, Europe, the United States, and internationally. The company operates through four segments: Hiscox Retail, Hiscox London Market, Hiscox Re & ILS, and Corporate Centre. It offers commercial insurance for small-and medium-sized businesses; and personal lines cover, including high-value household, fine art, and luxury motor, as well as artwork, antiques, classic cars, jewelry, collectables, and other assets through brokers, partners, and direct-to-consumers.