Core Insights - Hanover Insurance Group (THG) is well-positioned to continue its earnings-beat streak, particularly in the upcoming earnings report [1] - The company has a strong history of exceeding earnings estimates, with an average surprise of 24.90% over the last two quarters [1] Earnings Performance - For the most recent quarter, Hanover Insurance reported earnings of $4.35 per share, surpassing the expected $3.07 per share, resulting in a surprise of 41.69% [2] - In the previous quarter, the company reported $3.87 per share against an expectation of $3.58 per share, leading to a surprise of 8.10% [2] Earnings Estimates and Predictions - Estimates for Hanover Insurance have been trending higher, supported by its history of earnings surprises [5] - The company currently has a positive Earnings ESP of +2.51%, indicating bullish sentiment among analysts regarding its earnings prospects [8] - The combination of a positive Earnings ESP and a Zacks Rank of 3 (Hold) suggests a strong likelihood of another earnings beat [8] Statistical Insights - Research indicates that stocks with a positive Earnings ESP and a Zacks Rank of 3 or better have a nearly 70% chance of producing a positive surprise [6] - The Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate, reflecting the latest analyst revisions [7] Upcoming Events - Hanover Insurance is expected to release its next earnings report on October 29, 2025 [8]

Core Viewpoint - Hanover Insurance Group (THG) is expected to report a year-over-year increase in earnings and revenues for the quarter ended September 2025, with a consensus outlook indicating a potential earnings surprise that could influence stock price movements [1][2]. Earnings Expectations - The consensus EPS estimate for Hanover Insurance is $3.79 per share, reflecting a year-over-year increase of +24.3% [3]. - Expected revenues for the quarter are $1.66 billion, which is a 5.2% increase from the previous year [3]. Estimate Revisions - Over the last 30 days, the consensus EPS estimate has been revised 0.3% lower, indicating a reassessment by analysts [4]. - The Most Accurate Estimate for Hanover Insurance is higher than the Zacks Consensus Estimate, resulting in an Earnings ESP of +2.51%, suggesting a bullish outlook from analysts [12]. Earnings Surprise History - In the last reported quarter, Hanover Insurance exceeded the expected EPS of $3.07 by delivering $4.35, resulting in a surprise of +41.69% [13]. - The company has beaten consensus EPS estimates in all of the last four quarters [14]. Industry Context - RenaissanceRe (RNR), another player in the insurance industry, is expected to report earnings of $9.49 per share, indicating a year-over-year decline of -7.2% [18]. - RenaissanceRe's revenues are projected to be $2.98 billion, down 0.8% from the previous year, with a consensus EPS estimate revised 1.4% lower [19].

Core Insights - Many U.S. homeowners lack essential insurance protections, creating opportunities for agents to educate clients on necessary coverages [1][4] - Homeowners often overestimate the protection offered by standard policies, highlighting the need for additional coverage for valuable items [2][3] Opportunities for Agents - Independent agents play a critical role in educating homeowners about evolving risks and coverage options [4] - After learning about umbrella coverage, two-thirds of unprotected homeowners expressed interest in obtaining it, with nearly 25% being "very interested" [5] - Customer service is crucial, with 81% of homeowners rating it as "absolutely essential" or "very important," compared to only 58% prioritizing the lowest price [5] Coverage Awareness - A significant gap exists in homeowners' awareness of various coverages; 87% had not been informed about cyber insurance, and 61% about umbrella coverage [6] - Despite high awareness of coverage for valuables (87%), only 26% of homeowners have additional coverage for them [7] - Cyber insurance has the lowest awareness at 46%, with only 7% of homeowners having coverage [9] Customer Preferences - Homeowners prefer having a single insurance company for all policies, which enhances customer service and helps identify coverage gaps [7][8] - Bundling policies can provide discounts and streamline the claims process, making it more convenient for homeowners [8]

Core Insights - A survey by The Hanover Insurance Group reveals that many U.S. homeowners lack essential insurance protections, exposing them to risks like lawsuits, cybercrime, and inflation [1][2]. Coverage Awareness - The survey assessed homeowners' understanding of four types of insurance: umbrella, cyber, valuables, and recreational vehicles, showing a significant gap between awareness and actual coverage [2]. - Only 23% of homeowners have an umbrella policy, while 66% expressed interest in obtaining one after learning about its benefits, indicating a need for better education on insurance options [2]. - Cyber insurance has the lowest awareness at 46%, with only 7% of homeowners having coverage [8]. - Awareness of valuables coverage stands at 87%, but only 26% are actually covered [8]. - Recreational vehicle insurance is known by 94% of homeowners, yet only 31% have discussed it with their insurance agents [8]. Role of Insurance Agents - The findings emphasize the critical role of independent agents in educating homeowners about their insurance needs and helping them make informed decisions [3]. - Customer service is deemed essential, with 81% of homeowners rating it as "absolutely essential" or "very important," compared to 58% prioritizing the lowest price [3]. Coverage Management - Keeping insurance coverage with a single carrier can help identify potential gaps and provide a more consistent customer service experience [4].

Core Insights - The Hanover Insurance Group (THG) is a prominent property and casualty insurance provider focusing on small-to-midsize clients, operating in a $78 billion market with a market capitalization of $6.3 billion [1] - THG has demonstrated strong performance, outperforming its industry with a 9.8% gain in the first half of 2025 compared to the industry's 7.2% increase [2] Earnings Performance - THG has consistently exceeded earnings estimates over the last four quarters, with an average earnings surprise of 29.77% [3] - The company's earnings have grown by 10.4% over the past five years, while the industry average growth was 20.9% [3] Strategic Initiatives - Hanover Insurance aims to establish itself as a leading player in the independent agency channel, targeting a 10% compound annual growth in Specialty written premiums over the next five years [4][11] - The company plans to achieve this through strategic initiatives such as prudent pricing segmentation, rate increases, and expansion in select states and product lines [4] Business Diversification - Hanover has developed a diversified business portfolio, utilizing disciplined underwriting and advanced data analytics to mitigate coastal exposure and enhance catastrophe pricing [5] - For the second half of 2025, the company projects net written premium growth of 6% to 7% [5][11] Technological Investments - The insurer is investing in technology to enhance its front-end capabilities, including generative AI and automation to improve workflows [6] - THG's claims strategy aims to reduce the loss adjustment expense ratio by 80-100 basis points by 2026 while generating $2 billion in premium growth [6] Dividend History - Hanover Insurance has a strong dividend history, increasing dividends for the past 20 years and offering a dividend yield of 2.2%, significantly higher than the industry average of 0.5% [8]

Market Overview - Major U.S. benchmarks rose less than 1% at the start of the week, primarily driven by gains from big tech corporations following Nvidia's $100 billion investment-partnership announcement with OpenAI [1] - Investor confidence may be temporary due to the growing market consensus of a potential government shutdown in the U.S. as Congress approaches the September 30 funding deadline without a clear agreement [1] Investment Recommendations - Recommended stocks for prudent investors include The Hanover Insurance Group (THG), Alcoa Corp. (AA), Pentair (PNR), Elbit Systems (ESLT), and Leonardo DRS, Inc. (DRS) as they bear low leverage and are considered safer options during market turmoil [2][10] - These stocks are expected to provide steady returns due to their solid growth prospects and improving revenue estimates for 2025 [10] Significance of Low-Leverage Stocks - Leverage refers to borrowing capital for operations and expansion, typically through debt financing, which can pose risks if not managed properly [4][5] - Companies with low debt-to-equity ratios are generally seen as less risky, especially during economic downturns [6][11] Stock Analysis Metrics - The debt-to-equity ratio is a key metric indicating financial risk, with a lower ratio reflecting improved solvency [7] - Stocks with a debt-to-equity ratio less than the industry median, a current price of at least $10, and substantial trading volume are preferred [12] Company Profiles - **The Hanover Insurance Group (THG)**: Focuses on insurance protection for businesses and personal items, with a projected 5.4% revenue improvement for 2025 and a 17.5% increase in earnings [15][16] - **Alcoa Corp. (AA)**: A leader in aluminum products, with a 6.1% expected sales growth for 2025 and a long-term earnings growth rate of 51.2% [17][18] - **Pentair (PNR)**: Provides sustainable water solutions, with a 1.5% sales growth estimate for 2025 following a strategic acquisition [19][20] - **Elbit Systems (ESLT)**: A leader in defense technology, with a projected 13.8% sales improvement for 2025 and a long-term earnings growth rate of 23.3% [20][21] - **Leonardo DRS (DRS)**: Develops advanced defense products, with a 10.9% expected sales growth for 2025 and a long-term earnings growth rate of 17.3% [22][23]

Accessibility StatementSkip Navigation WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM? 440k+Newsrooms &Influencers 9k+Digital MediaOutlets 270k+JournalistsOpted In GET STARTED Also from this source The Hanover Among TIME's World's Best Companies and Forbes' Best Insurance Companies The Hanover Insurance Group, Inc. (NYSE: THG) once again has earned national and global recognitions, earning a spot on TIME's prestigious list of... WORCESTER, Mass., Sept. 22, 2025 /PRNewswire/ -- The Hanover Insurance G ...

Core Insights - The Hanover Insurance Group, Inc. has achieved national and global recognition by being included in TIME's list of the World's Best Companies for the third consecutive year [1] - The company has also been recognized as one of Forbes' America's Best Insurance Companies for the fifth year [1] Company Recognition - Hanover Insurance Group has been acknowledged for its performance and reputation in the insurance industry [1] - The consistent recognition over multiple years indicates the company's strong market position and customer trust [1]

Core Viewpoint - Madison Small Cap Fund's second-quarter 2025 investor letter highlights the performance of the fund and its focus on The Hanover Insurance Group, Inc. as a promising investment opportunity in the small-cap insurance sector [1][2][3]. Fund Performance - The second quarter of 2025 saw the Russell 2000 Index increase by 8.5%, while the Madison Small Cap Fund (class Y) returned 4.42%, underperforming relative to the Russell 2000 and Russell 2500 indices [1]. The Hanover Insurance Group, Inc. - The Hanover Insurance Group, Inc. is characterized as a regionally focused property and casualty insurance company that is relatively underfollowed and misunderstood in the market [3]. - The company has diversified its business model since selling its international operations in 2018, with a current mix of 37% commercial, 50% personal, and 23% specialty insurance [3]. - The Hanover Insurance Group's stock closed at $174.92 on September 17, 2025, with a market capitalization of $6.257 billion, and has seen a 17.37% increase in value over the past 52 weeks [2][3]. Investment Potential - The intrinsic value of The Hanover Insurance Group is assessed at $210, indicating potential for growth that is not fully recognized by the market [3]. - Despite its potential, The Hanover Insurance Group is not among the most popular stocks among hedge funds, with 32 hedge fund portfolios holding the stock at the end of the second quarter, down from 35 in the previous quarter [4].

Core Viewpoint - The article discusses upcoming ex-dividend dates and dividend payments for Slr Investment Corp, Hanover Insurance Group Inc, and Community Financial System Inc, highlighting the expected price adjustments in their stock prices due to these dividends [1]. Dividend Payments - Slr Investment Corp (SLRC) will pay a quarterly dividend of $0.41 on 9/26/25, with an expected yield of approximately 2.46% based on its recent stock price of $16.69 [1]. - Hanover Insurance Group Inc (THG) will pay a quarterly dividend of $0.90 on 9/26/25, with an expected price drop of 0.50% [1]. - Community Financial System Inc (CBU) will pay a quarterly dividend of $0.47 on 10/10/25, with an expected price drop of 0.79% [1]. Historical Dividend Analysis - Historical dividend data is provided for SLRC, THG, and CBU, which can help assess the stability of their dividends over time [2]. - The estimated annualized yields based on recent dividends are 9.83% for Slr Investment Corp, 2.01% for Hanover Insurance Group Inc, and 3.18% for Community Financial System Inc [8]. Stock Performance - In recent trading, Slr Investment Corp shares are down about 0.7%, Hanover Insurance Group Inc shares are up about 0.9%, and Community Financial System Inc shares are down about 1.8% [9].