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Robert Kauffman, a director at Hagerty , Inc. (NYSE:HGTY), has recently sold a significant portion of his holdings in the company. According to a filing with the Securities and Exchange Commission, Kauffman sold a total of 14,793 shares over three consecutive days, from February 3 to February 5. The transactions were executed at prices ranging from $9.57 to $9.97 per share, totaling approximately $145,199. The stock, currently trading at $10.07, has shown resilience with a 23% return over the past year. According to InvestingPro analysis, Hagerty appears undervalued based on its Fair Value calculations.
These sales were conducted under a Rule 10b5-1 trading plan, which allows insiders to set up a predetermined plan to sell company stock. Following these transactions, Kauffman, through Aldel LLC, retains ownership of 4,320,314 shares in Hagerty. The company, known for its specialty insurance for classic and collectible cars, continues to attract attention from investors and market analysts. With a market capitalization of $888 million and impressive revenue growth of 21% in the last twelve months, Hagerty maintains a "GOOD" financial health rating. InvestingPro subscribers can access 6 additional key insights and a comprehensive Pro Research Report about Hagerty’s future prospects.
In other recent news, Hagerty Inc. reported significant growth in its recent third quarter 2024 earnings call, despite industry challenges. The company reported a 20% increase in total revenue, reaching $323 million, and a record addition of 275,000 new members. Despite losses from Hurricane Helene, Hagerty achieved a $60 million operating income and $105 million in adjusted EBITDA. The company expects total revenue for 2024 to be approximately $1.18 billion, with a projected net income between $65 million and $74 million.
On a different note, Raymond (NSE:RYMD) James analysts have recently downgraded Hagerty Inc. from Market Perform to Underperform. The downgrade comes despite Hagerty’s position as a leading marketplace for classic and collectible vehicles and is primarily due to valuation concerns. The analysts noted that Hagerty’s current valuation is significantly higher than the average for its industry peers, a factor that prompted the rating change.
These are some of the recent developments for Hagerty Inc. As always, it is important for investors to keep an eye on how the company’s strategic initiatives unfold over the coming year and whether the growth expectations align with the current market valuation.
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