# The Hartford Financial Services (HIG) — Financial Analysis

**Exchange:** NYSE  
**Coverage as of:** 2026-Q2  
**Updated:** 2026-05-13  
**Tier:** Free primer (step 2 of 19)  
**Sibling pages:** /stocks/HIG/thesis · /stocks/HIG/memo

## Financial Snapshot

---
ticker: HIG
step: 04
generated: 2026-05-12
source: quick-research
---

### The Hartford Financial Services Group (HIG) — Financial Snapshot

#### Income Statement Summary

| Metric | FY2022 | FY2023 | FY2024 | YoY |
|--------|--------|--------|--------|-----|
| Revenue | ~$22.6B | ~$24.5B | $26.5B | +8.2% |
| Combined Ratio (P&C) | ~97% | ~93% | ~92% | |
| Operating Margin | ~10% | ~12% | ~14% | |
| Net Income | ~$2.0B | ~$2.5B | ~$3.1B | +24% |
| EPS (diluted) | ~$5.46 | ~$7.97 | ~$10.35 | +30% |

*Note: Insurance revenue includes earned premiums + investment income; "gross margin" is not directly comparable to non-insurance companies. Combined ratio <100% indicates underwriting profit — HIG's consistent ~92–95% reflects top-quartile underwriting discipline. EPS growth has benefited from substantial share buybacks reducing diluted share count. FY2022 saw elevated combined ratios from catastrophe losses and social inflation in commercial lines; subsequent years reflect reserve strengthening and improved underwriting. Q1 2026 continued strength with core EPS of $3.06 vs. $2.40 expected.*

#### Cash Flow & Balance Sheet (FY2024)

| Metric | Value |
|--------|-------|
| Operating Cash Flow | ~$3.5B |
| Free Cash Flow | ~$3.2B |
| Investment Portfolio | ~$70B (primarily investment-grade bonds) |
| Total Debt | ~$3.5B |
| Book Value per Share | ~$55–60 |
| Annual Dividend | ~$2.00/share (~1.4% yield) |

#### Key Ratios (approximate, FY2024)
- P/E: ~14–15x | P/Book: ~2.5x | FCF Yield: ~8–9%
- Core Earnings ROE: ~19.4% (vs. industry average ~12–14%)
- Combined Ratio: ~92% | Expense Ratio: ~31%

#### Growth Profile
The Hartford has compounded EPS at roughly 15–20% annually from 2020 to 2024, driven by pricing power in commercial insurance (6–10% rate increases annually), investment income expansion as the bond portfolio re-prices at higher yields, and aggressive share buybacks. Premium growth has been consistent at 6–10% annually as commercial pricing hardened. The Group Benefits segment has become a more significant earnings contributor as disability incidence normalized and investment yields improved.

#### Forward Estimates
- FY2025E: Core EPS ~$11.94 (analyst consensus), implying continued double-digit earnings growth
- FY2026E: Revenue ~$28–30B at current growth trajectory
- Analysts forecast EPS growth of 10–15% annually through 2026 driven by premium growth, investment income expansion, and share buybacks

## Deeper Financial Analysis

The fundamental tier ($1.00) adds 8 dimensions not included here:

- Revenue Breakdown — segment revenue, geographic mix, product-line margins
- Financial Trends — QoQ momentum, leading indicators, inflection points
- Balance Sheet — debt structure, dilution risk, working capital dynamics
- Capital Allocation — ROIC, buyback cadence, reinvestment efficiency
- Earnings Analysis — beats/misses, guidance vs actuals, transcript highlights
- Competitive Positioning — market share, pricing power, peer benchmarks
- Industry Context — TAM, sector tailwinds/headwinds, regulatory backdrop

**API endpoint:** GET /api/v1/research/HIG/fundamental

## Navigation

- Overview: /stocks/HIG
- Financials (this page): /stocks/HIG/financials
- Thesis: /stocks/HIG/thesis
- Investment Memo: /stocks/HIG/memo
- Coverage universe: /stocks