The Hanover Insurance Group (NYSE:THG) CEO Sells $1,040,013.06 in Stock

Key Points

• CEO John Roche sold 5,251 shares of The Hanover Insurance Group for about $1.04 million at an average price of $198.06, reducing his stake by 3.59%.
• The company recently reported strong quarterly results, with EPS of $5.25 beating estimates and revenue of $1.70 billion topping expectations, while revenue rose 6.1% from a year earlier.
• The Hanover Insurance Group also announced a $700 million share repurchase program and a quarterly dividend of $0.95 per share, yielding about 2.0% annually.

The Hanover Insurance Group, Inc. (NYSE:THG - Get Free Report) CEO John Roche sold 5,251 shares of The Hanover Insurance Group stock in a transaction on Monday, May 18th. The stock was sold at an average price of $198.06, for a total transaction of $1,040,013.06. Following the completion of the transaction, the chief executive officer owned 141,011 shares in the company, valued at approximately $27,928,638.66. The trade was a 3.59% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink.

The Hanover Insurance Group Trading Down 1.8%

NYSE:THG traded down $3.59 during trading hours on Tuesday, reaching $193.95. The company's stock had a trading volume of 259,593 shares, compared to its average volume of 329,501. The firm has a 50-day simple moving average of $178.73 and a 200-day simple moving average of $178.20. The Hanover Insurance Group, Inc. has a 1 year low of $160.70 and a 1 year high of $199.59. The firm has a market capitalization of $6.79 billion, a price-to-earnings ratio of 9.76 and a beta of 0.31. The company has a debt-to-equity ratio of 0.22, a quick ratio of 0.37 and a current ratio of 0.37.

The Hanover Insurance Group (NYSE:THG - Get Free Report) last released its quarterly earnings data on Wednesday, April 29th. The insurance provider reported $5.25 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $4.14 by $1.11. The Hanover Insurance Group had a net margin of 10.77% and a return on equity of 21.55%. The firm had revenue of $1.70 billion for the quarter, compared to analysts' expectations of $1.58 billion. During the same quarter in the previous year, the company earned $3.87 earnings per share. The company's revenue for the quarter was up 6.1% compared to the same quarter last year. Research analysts expect that The Hanover Insurance Group, Inc. will post 18.45 EPS for the current fiscal year.

The Hanover Insurance Group declared that its board has initiated a share repurchase plan on Wednesday, May 13th that permits the company to repurchase $700.00 million in outstanding shares. This repurchase authorization permits the insurance provider to buy up to 10.6% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company's management believes its shares are undervalued.

The Hanover Insurance Group Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, March 27th. Shareholders of record on Friday, March 13th were given a $0.95 dividend. The ex-dividend date was Friday, March 13th. This represents a $3.80 dividend on an annualized basis and a dividend yield of 2.0%. The Hanover Insurance Group's payout ratio is presently 19.12%.

Analyst Ratings Changes

A number of equities analysts have issued reports on the stock. Wall Street Zen cut shares of The Hanover Insurance Group from a "buy" rating to a "hold" rating in a research report on Saturday, February 28th. Citigroup restated an "outperform" rating on shares of The Hanover Insurance Group in a research report on Thursday, April 30th. Weiss Ratings upgraded shares of The Hanover Insurance Group from a "buy (b)" rating to a "buy (b+)" rating in a research report on Friday, May 8th. Zacks Research raised shares of The Hanover Insurance Group from a "hold" rating to a "strong-buy" rating in a research note on Monday, May 4th. Finally, Royal Bank Of Canada lifted their target price on shares of The Hanover Insurance Group from $190.00 to $195.00 and gave the company a "sector perform" rating in a research note on Friday, May 1st. One investment analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat.com, The Hanover Insurance Group presently has an average rating of "Moderate Buy" and a consensus price target of $203.50.

Institutional Investors Weigh In On The Hanover Insurance Group

Large investors have recently modified their holdings of the stock. JPL Wealth Management LLC bought a new stake in shares of The Hanover Insurance Group during the 3rd quarter valued at about $26,000. Community Bank N.A. bought a new stake in shares of The Hanover Insurance Group during the 3rd quarter valued at about $27,000. McMillan Office Inc. bought a new stake in shares of The Hanover Insurance Group during the 4th quarter valued at about $31,000. Entrust Financial LLC bought a new stake in shares of The Hanover Insurance Group during the 4th quarter valued at about $33,000. Finally, Clearstead Advisors LLC boosted its stake in shares of The Hanover Insurance Group by 300.0% during the 3rd quarter. Clearstead Advisors LLC now owns 200 shares of the insurance provider's stock valued at $36,000 after purchasing an additional 150 shares in the last quarter. Institutional investors own 86.61% of the company's stock.

About The Hanover Insurance Group

The Hanover Insurance Group, Inc NYSE: THG is a property and casualty insurance company that provides a range of commercial and personal insurance products. Through its subsidiary companies, Hanover offers coverage for businesses of all sizes, including workers' compensation, general liability, commercial auto, and professional liability. On the personal lines side, the company underwrites homeowners, personal auto, flood, and umbrella policies designed to meet the needs of individuals and families.

In addition to its core commercial and personal insurance offerings, Hanover maintains a specialty arm that focuses on niche markets through tailored product solutions.

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