📊 HGTY Key Takeaways
Is Hagerty, Inc. (HGTY) a Good Investment?
Hagerty demonstrates exceptional operational growth with 114.9% revenue and 90.6% net income expansion, supported by strong free cash flow generation of $194.5M. However, negative diluted EPS of -$0.56 paired with declining 100.6% YoY indicates significant shareholder dilution offsetting earnings gains, and tight liquidity ratios (1.00x current, 0.99x quick) raise financial stability concerns.
Hagerty delivers exceptional top-line growth with healthy operating and net profitability and strong free cash flow generation, indicating solid underlying fundamentals. Leverage appears manageable and ROE is high, suggesting efficient capital use, though the small equity base amplifies ratios. Accounting complexity (negative diluted EPS despite positive net income) and tight liquidity warrant monitoring, but overall cash and earnings trends support a favorable view.
Why Buy Hagerty, Inc. Stock? HGTY Key Strengths
- Exceptional top-line growth of 114.9% YoY with revenue reaching $1.5B
- Outstanding ROE of 67.4% demonstrating exceptional returns on shareholder capital
- Strong free cash flow of $194.5M with 13.4% FCF margin and solid operating cash flow of $219.0M
- Moderate leverage with 0.80x debt-to-equity ratio indicating reasonable capital structure
- Explosive revenue growth with positive operating leverage
- Robust free cash flow (13.4% FCF margin)
- High ROE with moderate leverage (D/E ~0.8x)
HGTY Stock Risks: Hagerty, Inc. Investment Risks
- Negative diluted EPS of -$0.56 declining 100.6% YoY despite positive net income indicates severe shareholder dilution
- Tight liquidity with current ratio at 1.00x and quick ratio at 0.99x approaching distress levels
- Asset-heavy balance sheet with liabilities representing 61.9% of total assets creating refinancing risk
- Earnings quality/complexity (EPS vs net income mismatch, potential one-offs)
- Tight liquidity (current ratio ~1.0x) and unknown interest coverage
- Sustainability of >100% YoY revenue growth
Key Metrics to Watch
- Diluted EPS trajectory and share count changes to assess shareholder value destruction
- Current and quick ratios to confirm liquidity position stabilizes above 1.2x threshold
- Free cash flow sustainability and working capital management as revenue continues rapid growth
- Interest coverage
- Diluted EPS attributable to common
Hagerty, Inc. (HGTY) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
HGTY Profit Margin, ROE & Profitability Analysis
HGTY vs Finance Sector: How Hagerty, Inc. Compares
How Hagerty, Inc. compares to Finance sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Hagerty, Inc. Stock Overvalued? HGTY Valuation Analysis 2026
Based on fundamental analysis, Hagerty, Inc. has mixed fundamental signals relative to the Finance sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Hagerty, Inc. Balance Sheet: HGTY Debt, Cash & Liquidity
HGTY Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Hagerty, Inc.'s revenue has grown significantly by 110% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.56 indicates the company is currently unprofitable.
HGTY Revenue Growth, EPS Growth & YoY Performance
HGTY Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $155.5M | $19.0M | N/A |
| Q2 2025 | $153.4M | $42.7M | N/A |
| Q1 2025 | $118.5M | $8.2M | N/A |
| Q3 2024 | $135.8M | $18.6M | N/A |
| Q2 2024 | $133.8M | $514.0K | N/A |
| Q1 2024 | $101.1M | $8.2M | N/A |
| Q3 2023 | $109.3M | $18.6M | N/A |
| Q2 2023 | $111.9M | $306.0K | N/A |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Hagerty, Inc. Dividends, Buybacks & Capital Allocation
HGTY SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Hagerty, Inc. (CIK: 0001840776)
📋 Recent SEC Filings
❓ Frequently Asked Questions about HGTY
What is the AI rating for HGTY?
Hagerty, Inc. (HGTY) has a Combined AI Rating of BUY from Claude (HOLD) and ChatGPT (BUY) with 67% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are HGTY's key strengths?
Claude: Exceptional top-line growth of 114.9% YoY with revenue reaching $1.5B. Outstanding ROE of 67.4% demonstrating exceptional returns on shareholder capital. ChatGPT: Explosive revenue growth with positive operating leverage. Robust free cash flow (13.4% FCF margin).
What are the risks of investing in HGTY?
Claude: Negative diluted EPS of -$0.56 declining 100.6% YoY despite positive net income indicates severe shareholder dilution. Tight liquidity with current ratio at 1.00x and quick ratio at 0.99x approaching distress levels. ChatGPT: Earnings quality/complexity (EPS vs net income mismatch, potential one-offs). Tight liquidity (current ratio ~1.0x) and unknown interest coverage.
What is HGTY's revenue and growth?
Hagerty, Inc. reported revenue of $1.5B.
Does HGTY pay dividends?
Hagerty, Inc. does not currently pay dividends.
Where can I find HGTY SEC filings?
Official SEC filings for Hagerty, Inc. (CIK: 0001840776) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is HGTY's EPS?
Hagerty, Inc. has a diluted EPS of $-0.56.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is HGTY a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Hagerty, Inc. has a BUY rating with 67% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is HGTY stock overvalued or undervalued?
Valuation metrics for HGTY: ROE of 67.4% (sector avg: 12%), net margin of 10.2% (sector avg: 25%). Higher ROE suggests strong returns relative to peers.
Should I buy HGTY stock in 2026?
Our dual AI analysis gives Hagerty, Inc. a combined BUY rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is HGTY's free cash flow?
Hagerty, Inc.'s operating cash flow is $219.0M, with capital expenditures of $24.5M. FCF margin is 13.4%.
How does HGTY compare to other Finance stocks?
Vs Finance sector averages: Net margin 10.2% (avg: 25%), ROE 67.4% (avg: 12%), current ratio 1.00 (avg: 1.2).
Why is HGTY's return on equity (ROE) so high?
Hagerty, Inc. has a return on equity of 67.4%, significantly above the Finance sector average of 12%. A high ROE indicates the company is efficient at generating profits from shareholder equity. This is supported by a 10.2% net margin.