Hanover Insurance Net Income vs. Short Ratio

THG Stock  USD 135.54  3.80  2.88%   
Based on the measurements of profitability obtained from Hanover Insurance's financial statements, The Hanover Insurance may not be well positioned to generate adequate gross income at the present time. It has a very high chance of underperforming in April. Profitability indicators assess Hanover Insurance's ability to earn profits and add value for shareholders.

Hanover Insurance Net Income

33.53 Million

The current Price To Sales Ratio is estimated to decrease to 0.60. The current Operating Cash Flow Sales Ratio is estimated to decrease to 0.05. At this time, Hanover Insurance's Net Income Applicable To Common Shares is most likely to increase significantly in the upcoming years. The Hanover Insurance's current Change To Netincome is estimated to increase to about 84.1 M, while Accumulated Other Comprehensive Income is forecasted to increase to (491.3 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.80.9
Fairly Down
Slightly volatile
Net Profit Margin0.00560.0059
Notably Down
Very volatile
Operating Profit Margin3.0E-43.0E-4
Notably Down
Pretty Stable
Pretax Profit Margin0.00650.0069
Notably Down
Slightly volatile
Return On Assets0.00260.0028
Notably Down
Pretty Stable
Return On Equity0.01360.0143
Notably Down
Very volatile
For Hanover Insurance profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Hanover Insurance to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well The Hanover Insurance utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Hanover Insurance's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of The Hanover Insurance over time as well as its relative position and ranking within its peers.
  
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Is Hanover Insurance's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Hanover Insurance. If investors know Hanover will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Hanover Insurance listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
16.105
Dividend Share
3.28
Earnings Share
0.94
Revenue Per Share
167.885
Quarterly Revenue Growth
0.034
The market value of Hanover Insurance is measured differently than its book value, which is the value of Hanover that is recorded on the company's balance sheet. Investors also form their own opinion of Hanover Insurance's value that differs from its market value or its book value, called intrinsic value, which is Hanover Insurance's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Hanover Insurance's market value can be influenced by many factors that don't directly affect Hanover Insurance's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Hanover Insurance's value and its price as these two are different measures arrived at by different means. Investors typically determine if Hanover Insurance is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Hanover Insurance's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Hanover Insurance Short Ratio vs. Net Income Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Hanover Insurance's current stock value. Our valuation model uses many indicators to compare Hanover Insurance value to that of its competitors to determine the firm's financial worth.
The Hanover Insurance is rated fifth in net income category among related companies. It is currently regarded as top stock in short ratio category among related companies . The ratio of Net Income to Short Ratio for The Hanover Insurance is about  13,293,651 . At this time, Hanover Insurance's Net Income is most likely to increase significantly in the upcoming years.. Comparative valuation analysis is a catch-all model that can be used if you cannot value Hanover Insurance by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Hanover Insurance's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Hanover Insurance's earnings, one of the primary drivers of an investment's value.

Hanover Short Ratio vs. Net Income

Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.

Hanover Insurance

Net Income

 = 

(Rev + Gain)

-

(Exp + Loss)

 = 
33.5 M
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.
Short Ratio is typically used by traders and speculators to identify trends in current market sentiment for a particular equity instrument. In its simple terms this ratio shows how many days it will take all current short sellers to cover their positions if the price of a stock begins to rise.

Hanover Insurance

Short Ratio

 = 

Short Interest

Average Trading Volume

 = 
2.52 X
The higher the Short Ratio, the longer it would take to buy back the borrowed shares. In theory, the more short positions are currently outstanding, the faster it will be to cover shorted positions.

Hanover Short Ratio Comparison

Hanover Insurance is currently under evaluation in short ratio category among related companies.

Hanover Insurance Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Hanover Insurance, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Hanover Insurance will eventually generate negative long term returns. The profitability progress is the general direction of Hanover Insurance's change in net profit over the period of time. It can combine multiple indicators of Hanover Insurance, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for 2024
Accumulated Other Comprehensive Income-517.2 M-491.3 M
Operating Income1.8 M1.7 M
Income Before Tax41.1 M39 M
Total Other Income Expense Net41.1 M39 M
Net Income33.5 M31.8 M
Income Tax Expense7.6 M7.2 M
Net Income Applicable To Common Shares133.4 M220.3 M
Net Income From Continuing Ops33.5 M31.8 M
Interest Income112 M61.3 M
Net Interest Income-39.2 M-41.2 M
Change To Netincome80.1 M84.1 M
Net Income Per E B T 0.86  0.47 

Hanover Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Hanover Insurance. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Hanover Insurance position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Hanover Insurance's important profitability drivers and their relationship over time.

Use Hanover Insurance in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Hanover Insurance position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Hanover Insurance will appreciate offsetting losses from the drop in the long position's value.

Hanover Insurance Pair Trading

The Hanover Insurance Pair Trading Analysis

The ability to find closely correlated positions to Hanover Insurance could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Hanover Insurance when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Hanover Insurance - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling The Hanover Insurance to buy it.
The correlation of Hanover Insurance is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Hanover Insurance moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Hanover Insurance moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Hanover Insurance can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Hanover Insurance position

In addition to having Hanover Insurance in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Military Industrial
Military Industrial Theme
A collection of large United States defense contractors including companies involved in production or distribution of aircraft, ships, vehicles, weaponry, and electronic systems in cooperation with the government. The Military Industrial theme has 46 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Military Industrial Theme or any other thematic opportunities.
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When determining whether Hanover Insurance is a strong investment it is important to analyze Hanover Insurance's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Hanover Insurance's future performance. For an informed investment choice regarding Hanover Stock, refer to the following important reports:
Check out World Market Map.
Note that the Hanover Insurance information on this page should be used as a complementary analysis to other Hanover Insurance's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.

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When running Hanover Insurance's price analysis, check to measure Hanover Insurance's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Hanover Insurance is operating at the current time. Most of Hanover Insurance's value examination focuses on studying past and present price action to predict the probability of Hanover Insurance's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Hanover Insurance's price. Additionally, you may evaluate how the addition of Hanover Insurance to your portfolios can decrease your overall portfolio volatility.
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To fully project Hanover Insurance's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Hanover Insurance at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Hanover Insurance's income statement, its balance sheet, and the statement of cash flows.
Potential Hanover Insurance investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Hanover Insurance investors may work on each financial statement separately, they are all related. The changes in Hanover Insurance's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Hanover Insurance's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.