The Hartford Financial Services Group, Inc.
The Hartford Financial Services Group, Inc. Fundamental Analysis
The Hartford Financial Services Group, Inc. (HFF.DE) shows strong financial fundamentals with a PE ratio of 8.38, profit margin of 13.58%, and ROE of 21.37%. The company generates $33.0B in annual revenue with moderate year-over-year growth of 8.44%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 72.2/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze HFF.DE's fundamental strength across five key dimensions:
Efficiency Score
WeakHFF.DE struggles to generate sufficient returns from assets.
Valuation Score
ExcellentHFF.DE trades at attractive valuation levels.
Growth Score
ExcellentHFF.DE delivers strong and consistent growth momentum.
Financial Health Score
ModerateHFF.DE shows balanced financial health with some risks.
Profitability Score
ModerateHFF.DE maintains healthy but balanced margins.
Key Financial Metrics
Is HFF.DE Expensive or Cheap?
P/E Ratio
HFF.DE trades at 8.38 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, HFF.DE's PEG of 0.76 indicates potential undervaluation.
Price to Book
The market values The Hartford Financial Services Group, Inc. at 1.69 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 7.61 times EBITDA. This is generally considered low.
How Well Does HFF.DE Make Money?
Net Profit Margin
For every $100 in sales, The Hartford Financial Services Group, Inc. keeps $13.58 as profit after all expenses.
Operating Margin
Core operations generate 33.39 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $21.37 in profit for every $100 of shareholder equity.
ROA
The Hartford Financial Services Group, Inc. generates $4.83 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
The Hartford Financial Services Group, Inc. produces operating cash flow of $6.91B, showing steady but balanced cash generation.
Free Cash Flow
The Hartford Financial Services Group, Inc. generates strong free cash flow of $6.72B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $24.28 in free cash annually.
FCF Yield
HFF.DE converts 15.33% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
8.38
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.76
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.69
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.33
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.23
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.17
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.21
vs 25 benchmark
ROA
Return on assets percentage
0.05
vs 25 benchmark
ROCE
Return on capital employed
0.23
vs 25 benchmark
How HFF.DE Stacks Against Its Sector Peers
| Metric | HFF.DE Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 8.38 | 18.66 | Better (Cheaper) |
| ROE | 21.37% | 806.00% | Weak |
| Net Margin | 13.58% | -451.00% (disorted) | Strong |
| Debt/Equity | 0.23 | 1.00 | Strong (Low Leverage) |
| Current Ratio | 0.17 | 662.02 | Weak Liquidity |
| ROA | 4.83% | -24409.00% (disorted) | Weak |
HFF.DE outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews The Hartford Financial Services Group, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
57.98%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
83.22%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
107.97%
Industry Style: Value, Dividend, Cyclical
High Growth