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HRTG Stock Analysis 2026 - Heritage Insurance Holdings, Inc. AI Rating

HRTG NYSE Fire, Marine & Casualty Insurance DE CIK: 0001598665
Recently Updated • Analysis: Apr 11, 2026 • SEC Data: 2025-12-31
STRONG BUY
82% Conf
Pending
Analysis scheduled

📊 HRTG Key Takeaways

Revenue: $847.3M
Net Margin: 23.1%
Free Cash Flow: $174.2M
Current Ratio: N/A
Debt/Equity: 0.16x
EPS: $6.32
AI Rating: STRONG BUY with 82% confidence

Is HRTG a Good Investment? Thesis Analysis

Claude

Heritage Insurance demonstrates exceptional financial fundamentals with a 31.5% operating margin, 38.7% ROE, and outstanding balance sheet strength featuring $559.3M cash against minimal $78.4M debt. The company generates strong free cash flow at 20.6% of revenue while maintaining a capital-light business model, supported by extremely conservative leverage (0.16x Debt/Equity) and 94.4x interest coverage.

Why Buy HRTG? Key Strengths

Claude
  • + Exceptional profitability: 31.5% operating margin and 23.1% net margin
  • + Outstanding return on equity of 38.7% indicating efficient capital deployment
  • + Fortress balance sheet with $559.3M cash and Debt/Equity of only 0.16x
  • + Strong free cash flow generation at $174.2M (20.6% margin) with minimal capital requirements
  • + Significant insider activity with 17 Form 4 filings in last 90 days
  • + Conservative capital structure with 94.4x interest coverage ratio

HRTG Investment Risks to Consider

Claude
  • ! Absence of underwriting-specific metrics (loss ratio, combined ratio) critical for insurance company assessment
  • ! No YoY growth comparisons available limiting trend visibility
  • ! Inherent insurance sector cyclicality and catastrophic event exposure
  • ! Competitive market dynamics with potential pricing pressure
  • ! Regulatory and compliance risks specific to insurance industry
  • ! Unknown claims severity and frequency trends

Key Metrics to Watch

Claude
  • * Combined ratio and loss ratio trends
  • * Premium growth rates and customer retention
  • * Reserve adequacy and incurred loss development
  • * Operating cash flow sustainability
  • * Claims inflation and severity patterns
  • * Debt levels and capital allocation decisions

HRTG Financial Metrics

Revenue
$847.3M
Net Income
$195.6M
EPS (Diluted)
$6.32
Free Cash Flow
$174.2M
Total Assets
$2.2B
Cash Position
$559.3M

💡 AI Analyst Insight

The 20.6% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. The current ratio below 1.0x warrants monitoring of short-term liquidity.

HRTG Profitability Ratios

Gross Margin N/A
Operating Margin 31.5%
Net Margin 23.1%
ROE 38.7%
ROA 8.9%
FCF Margin 20.6%

HRTG vs Finance Sector

How Heritage Insurance Holdings, Inc. compares to Finance sector averages

Net Margin
HRTG 23.1%
vs
Sector Avg 25.0%
HRTG Sector
ROE
HRTG 38.7%
vs
Sector Avg 12.0%
HRTG Sector
Current Ratio
HRTG 0.0x
vs
Sector Avg 1.2x
HRTG Sector
Debt/Equity
HRTG 0.2x
vs
Sector Avg 2.0x
HRTG Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is HRTG Overvalued or Undervalued?

Based on fundamental analysis, Heritage Insurance Holdings, Inc. appears fundamentally strong relative to the Finance sector in 2026.

Return on Equity
38.7%
Sector avg: 12%
Net Profit Margin
23.1%
Sector avg: 25%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.16x
Sector avg: 2x

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.

HRTG Balance Sheet & Liquidity

Current Ratio
N/A
Quick Ratio
N/A
Debt/Equity
0.16x
Debt/Assets
77.0%
Interest Coverage
94.40x
Long-term Debt
$78.4M

HRTG 5-Year Financial Trend & Growth Analysis

HRTG 5-year financial data: Year 2021: Revenue $631.6M, Net Income $28.6M, EPS $0.98. Year 2022: Revenue $662.5M, Net Income $9.3M, EPS $0.33. Year 2023: Revenue $735.5M, Net Income -$74.7M, EPS $-2.69. Year 2024: Revenue $817.0M, Net Income -$154.4M, EPS $-5.86. Year 2025: Revenue $847.3M, Net Income $45.3M, EPS $1.73.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Heritage Insurance Holdings, Inc.'s revenue has grown significantly by 34% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.73 reflects profitable operations.

HRTG Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
20.6%
Free cash flow / Revenue

HRTG Quarterly Performance

Quarterly financial performance data for Heritage Insurance Holdings, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $211.8M $8.2M $0.27
Q2 2025 $203.6M $14.2M $0.61
Q1 2025 $191.3M $14.2M $0.47
Q3 2024 $186.3M -$7.4M $0.27
Q2 2024 $185.3M $7.8M $0.30
Q1 2024 $176.9M $14.0M $0.47
Q3 2023 $165.5M -$7.4M $-0.28
Q2 2023 $163.8M $7.8M $0.30

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

HRTG Capital Allocation

Operating Cash Flow
$182.2M
Cash generated from operations
Stock Buybacks
$2.3M
Shares repurchased (TTM)
Capital Expenditures
$8.1M
Investment in assets
Dividends Paid
$11.0K
Returned to shareholders

HRTG SEC 10-K & 10-Q Filing Analysis

Access official SEC EDGAR filings for Heritage Insurance Holdings, Inc. (CIK: 0001598665)

📋 Recent SEC Filings

Date Form Document Action
Apr 3, 2026 4 xslF345X06/wk-form4_1775250246.xml View →
Apr 3, 2026 4 xslF345X06/wk-form4_1775250222.xml View →
Mar 23, 2026 4 xslF345X06/wk-form4_1774299656.xml View →
Mar 23, 2026 4 xslF345X06/wk-form4_1774299650.xml View →
Mar 19, 2026 4 xslF345X06/wk-form4_1773955633.xml View →

Frequently Asked Questions about HRTG

What is the AI rating for HRTG?

Heritage Insurance Holdings, Inc. (HRTG) has an AI rating of STRONG BUY with 82% confidence, based on fundamental analysis of SEC EDGAR filings.

What are HRTG's key strengths?

Claude: Exceptional profitability: 31.5% operating margin and 23.1% net margin. Outstanding return on equity of 38.7% indicating efficient capital deployment.

What are the risks of investing in HRTG?

Claude: Absence of underwriting-specific metrics (loss ratio, combined ratio) critical for insurance company assessment. No YoY growth comparisons available limiting trend visibility.

What is HRTG's revenue and growth?

Heritage Insurance Holdings, Inc. reported revenue of $847.3M.

Does HRTG pay dividends?

Heritage Insurance Holdings, Inc. pays dividends, with $0.0M distributed to shareholders in the trailing twelve months.

Where can I find HRTG SEC filings?

Official SEC filings for Heritage Insurance Holdings, Inc. (CIK: 0001598665) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is HRTG's EPS?

Heritage Insurance Holdings, Inc. has a diluted EPS of $6.32.

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 HRTG a good stock to buy right now?

Based on our AI fundamental analysis in April 2026, Heritage Insurance Holdings, Inc. has a STRONG BUY rating with 82% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.

Is HRTG stock overvalued or undervalued?

Valuation metrics for HRTG: ROE of 38.7% (sector avg: 12%), net margin of 23.1% (sector avg: 25%). Higher ROE suggests strong returns relative to peers.

Should I buy HRTG stock in 2026?

Our dual AI analysis gives Heritage Insurance Holdings, Inc. a combined STRONG BUY rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is HRTG's free cash flow?

Heritage Insurance Holdings, Inc.'s operating cash flow is $182.2M, with capital expenditures of $8.1M. FCF margin is 20.6%.

How does HRTG compare to other Finance stocks?

Vs Finance sector averages: Net margin 23.1% (avg: 25%), ROE 38.7% (avg: 12%), current ratio N/A (avg: 1.2).

Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Apr 11, 2026 | Data as of: 2025-12-31 | Powered by Claude AI