HCI Group, Inc. (HCI) Soars to 52-Week High, Time to Cash Out?

Company Performance - HCI Group shares have increased by 16% over the past month, reaching a new 52-week high of $142.37, and have gained 20.5% since the start of the year, outperforming the Zacks Finance sector (4.3%) and the Zacks Insurance - Property and Casualty industry (14.5%) [1] - The company has a strong record of positive earnings surprises, not missing earnings consensus estimates in the last four quarters, with the latest EPS reported at $0.31 against a consensus estimate of $-2.75 [2] Financial Projections - For the current fiscal year, HCI Group is expected to post earnings of $14.98 per share on revenues of $881.26 million, reflecting a 102.16% increase in EPS and a 17.49% increase in revenues [3] - For the next fiscal year, earnings are projected to be $13.70 per share on revenues of $930.68 million, indicating a year-over-year change of -8.56% in EPS and a 5.61% increase in revenues [3] Valuation Metrics - HCI Group has a Value Score of A, a Growth Score of D, and a Momentum Score of B, resulting in a VGM Score of B [6] - The stock trades at 9.4X current fiscal year EPS estimates, below the peer industry average of 11.8X, and at 16.9X trailing cash flow, compared to the peer group's average of 12.7X [7] Zacks Rank - HCI Group holds a Zacks Rank of 1 (Strong Buy) due to favorable earnings estimate revisions from analysts [8] - The company aligns with the recommendation for investors to select stocks with Zacks Rank of 1 or 2 and Style Scores of A or B, indicating potential for future growth [9] Industry Comparison - The Insurance - Property and Casualty industry is performing well, ranking in the top 18% of all industries, suggesting positive conditions for HCI Group and its peers [12]