Hanover Insurance GROUP, Inc. (THG) intrinsic value & 10-year financials
Hanover Insurance GROUP, Inc. (THG) has a Graham intrinsic value of $603.20 per share. At $232.97 on Oct 17, 2026, the stock trades 61% below that value. Over the last 10 fiscal years revenue grew 3.2% a year to $6.6B, with an average return on invested capital of 11.4%.
- Graham intrinsic value
- $603.20
- Share price (Oct 17, 2026)
- $232.97
- Price vs Graham value
- 61% below
- Market cap
- $8.5B
- Revenue (FY2025)
- $6.6B
- Revenue growth (10-yr CAGR)
- 3.2%
- ROIC (10-yr avg)
- 11.4%
- Free cash flow (FY2025)
- $1.2B
THG 10-year financial history
| Fiscal year | Revenue | Net income | EPS (diluted) | Free cash flow | Operating margin | ROIC |
|---|---|---|---|---|---|---|
| FY2025 | $6.6B | $662.5M | $18.16 | $1.2B | 14.1% | 21.3% |
| FY2024 | $6.2B | $426.0M | $11.70 | $796.2M | 10.4% | 16.8% |
| FY2023 | $6.0B | $35.3M | $0.98 | $349.8M | 1.8% | 3.0% |
| FY2022 | $5.5B | $116.0M | $3.21 | $704.5M | 5.2% | — |
| FY2021 | $5.2B | $418.7M | $11.49 | $815.7M | 8.3% | — |
| FY2020 | $4.8B | $358.7M | $9.42 | $692.7M | 10.0% | — |
| FY2019 | $4.9B | $425.1M | $10.46 | $589.6M | 9.3% | 12.3% |
| FY2018 | $4.5B | $391.0M | $9.09 | $538.2M | 9.0% | 12.0% |
| FY2017 | $5.2B | $186.2M | $4.33 | $686.0M | 6.5% | 6.5% |
| FY2016 | $4.9B | $155.1M | $3.59 | $721.9M | 6.5% | 7.8% |
Source: annual 10-K filings on SEC EDGAR. Figures in USD.
Executive summary
HANOVER INSURANCE GROUP, INC. has demonstrated mature, steady growth, with revenue compounding at 3.2% annually over the past decade.
HANOVER INSURANCE GROUP, INC. returns on capital have been average, hovering around 11.4% ROIC over the decade.
Over the decade, HANOVER INSURANCE GROUP, INC. shows that management has aggressively returned capital to shareholders by retiring 15.5% of outstanding shares.
Benjamin Graham lens
Under Benjamin Graham's formula using SEC EDGAR fundamentals, HANOVER INSURANCE GROUP, INC. is modeled at 15.0% normalized earnings growth with a 5.1% bond-yield adjustment. The resulting Graham intrinsic value estimate is $603.20 per share.