Hagerty (NYSE:HGTY) Shares Gap Down - Here's What Happened

Key Points

• Hagerty shares opened sharply lower, falling from a prior close of $16.94 to an opening price of $15.80; they later traded at $16.17.
• The company beat quarterly expectations, reporting EPS of $0.10 versus $0.01 expected and revenue of $354.24 million versus $338.99 million expected.
• Analyst sentiment is mixed: the consensus rating is Hold, with an average price target of $16.43; three analysts rate the stock Buy and five rate it Hold.

Hagerty, Inc. (NYSE:HGTY - Get Free Report) shares gapped down prior to trading on Wednesday. The stock had previously closed at $16.94, but opened at $15.80. Hagerty shares last traded at $16.1720, with a volume of 3,198,517 shares trading hands.

Wall Street Analysts Forecast Growth

HGTY has been the topic of a number of recent research reports. Keefe, Bruyette & Woods lifted their target price on Hagerty from $15.00 to $16.00 and gave the company an "outperform" rating in a research report on Tuesday, August 11th. JPMorgan Chase & Co. lifted their price objective on shares of Hagerty from $12.00 to $13.00 and gave the company a "neutral" rating in a report on Tuesday, July 14th. Weiss Ratings reissued a "hold (c)" rating on shares of Hagerty in a research report on Wednesday, November 4th. Citizens Jmp increased their price objective on shares of Hagerty from $15.00 to $19.00 and gave the stock a "market outperform" rating in a research note on Wednesday, November 4th. Finally, Truist Financial raised their price objective on Hagerty from $13.00 to $16.00 and gave the company a "hold" rating in a report on Wednesday, November 4th. Three investment analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company's stock. Based on data from MarketBeat, the company has a consensus rating of "Hold" and an average target price of $16.43.

Hagerty Stock Performance

The stock's 50-day moving average price is $14.70 and its 200-day moving average price is $12.23. The company has a market cap of $5.66 billion, a P/E ratio of 274.10 and a beta of 0.83. The company has a debt-to-equity ratio of 0.37, a current ratio of 1.59 and a quick ratio of 1.59.

Hagerty (NYSE:HGTY - Get Free Report) last announced its earnings results on Tuesday, November 3rd. The company reported $0.10 EPS for the quarter, topping the consensus estimate of $0.01 by $0.09. The company had revenue of $354.24 million for the quarter, compared to analysts' expectations of $338.99 million. Hagerty had a net margin of 1.08% and a return on equity of 6.27%. Equities analysts anticipate that Hagerty, Inc. will post 0.06 EPS for the current year.

Insider Buying and Selling at Hagerty

In other news, major shareholder Holding Corp. Hagerty sold 1,387,500 shares of the company's stock in a transaction that occurred on Friday, September 11th. The stock was sold at an average price of $11.47, for a total value of $15,914,625.00. Following the completion of the transaction, the insider owned 9,250,000 shares of the company's stock, valued at $106,097,500. This represents a 13.04% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Company insiders own 3.70% of the company's stock.

Hedge Funds Weigh In On Hagerty

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Ancora Advisors LLC bought a new position in shares of Hagerty during the second quarter valued at $28,000. EverSource Wealth Advisors LLC grew its stake in shares of Hagerty by 107.4% in the first quarter. EverSource Wealth Advisors LLC now owns 3,072 shares of the company's stock worth $32,000 after purchasing an additional 1,591 shares during the last quarter. State of Alaska Department of Revenue bought a new stake in shares of Hagerty in the third quarter worth $55,000. Integrated Wealth Concepts LLC bought a new stake in shares of Hagerty in the second quarter worth $63,000. Finally, The Manufacturers Life Insurance Company acquired a new stake in Hagerty in the first quarter valued at $115,000. 20.51% of the stock is currently owned by institutional investors and hedge funds.

About Hagerty

Hagerty is an automotive enthusiast company focused on collectible and classic vehicles. Its services include specialty vehicle insurance, membership programs, vehicle valuation tools, and online marketplaces that connect buyers and sellers. The company also produces automotive media and hosts events and driving experiences for enthusiasts. Hagerty serves customers in the United States and select international markets, including Canada and the United Kingdom. Founded in 1984 as a family business, Hagerty is headquartered in Traverse City, Michigan.

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