Hiscox (LON:HSX) Stock Price Up 9.4% Following Analyst Upgrade

Key Points

• Hiscox Ltd's stock price surged by 9.4% after Berenberg Bank upgraded its target price from GBX 1,450 to GBX 1,580.
• The company announced a $275 million share buyback program, indicating confidence in its stock valuation.
• Multiple analysts, including JPMorgan Chase and Royal Bank of Canada, have issued positive ratings or upgraded price targets for Hiscox shares.

Hiscox Ltd (LON:HSX - Get Free Report)'s stock price shot up 9.4% during mid-day trading on Thursday after Berenberg Bank raised their price target on the stock from GBX 1,450 to GBX 1,580. Berenberg Bank currently has a buy rating on the stock. Hiscox traded as high as GBX 1,454 ($19.42) and last traded at GBX 1,379 ($18.42). 3,353,292 shares traded hands during mid-day trading, an increase of 70% from the average session volume of 1,972,280 shares. The stock had previously closed at GBX 1,260 ($16.83).

Several other research analysts have also issued reports on the company. JPMorgan Chase & Co. reiterated an "overweight" rating on shares of Hiscox in a report on Friday, August 1st. Royal Bank Of Canada increased their price objective on Hiscox from GBX 1,125 ($15.03) to GBX 1,300 ($17.37) and gave the stock a "sector perform" rating in a research note on Friday, July 18th. Finally, Peel Hunt reissued a "buy" rating and issued a GBX 1,460 ($19.50) price objective on shares of Hiscox in a research note on Thursday, July 3rd.

Hiscox Stock Down 3.3%

The stock has a 50-day simple moving average of GBX 1,275.79 and a 200-day simple moving average of GBX 1,181.98. The firm has a market capitalization of £5.74 billion, a PE ratio of 8.18, a P/E/G ratio of -2.30 and a beta of 0.65.

Hiscox declared that its board has approved a share buyback program on Wednesday, August 6th that authorizes the company to repurchase $275.00 million in shares. This repurchase authorization authorizes the company to repurchase up to 4.6% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company's board of directors believes its shares are 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.

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