Hanover Insurance Group's (THG) overall growth this year is likely to beat guidance after delivering "strong" Q1 results, Oppenheimer said in a note emailed Friday.
The investment firm said it now expects earnings of $15 per share for 2025, versus its prior estimate of $14.74, reflecting the Q1 beat and lower catastrophe loss assumption for Q2.
"Recent investment portfolio repositioning should bode well for net investment income throughout 2025, where we expect overall growth to beat guidance," Oppenheimer said.
Oppenheimer said it continues to value Hanover's disciplined underwriting in the face of market uncertainty due to tariff risks, particularly in casualty lines.
Oppenheimer raised its price target on Hanover's stock to $195 from $185 and maintained its outperform rating.
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