Question 1

What is The Hartford Insurance Group, Inc.'s WACC?

Accepted Answer

The Hartford Insurance Group, Inc. (HIG) has a Weighted Average Cost of Capital (WACC) of 7.13%. This is calculated using a Cost of Equity of 7.53% (via CAPM with a beta of 0.64) and a pre-tax Cost of Debt of 4.55%, with an equity weight of 89.79% in the capital structure.

Question 2

Is The Hartford Insurance Group, Inc.'s WACC high or low?

Accepted Answer

The Hartford Insurance Group, Inc.'s WACC of 7.13% is below the typical range of 8-12% for most companies, indicating relatively low cost of capital and lower risk. WACC is used as the discount rate in DCF valuations — a lower WACC results in higher present values of future cash flows.

Question 3

How is The Hartford Insurance Group, Inc.'s WACC calculated?

Accepted Answer

The Hartford Insurance Group, Inc.'s WACC is calculated using the formula: WACC = (E/V × Re) + (D/V × Rd × (1-T)). The Cost of Equity (Re) of 7.53% is derived from the CAPM model using a beta of 0.64. The pre-tax Cost of Debt (Rd) is 4.55%. The capital structure is 89.79% equity and 10.21% debt.

The Hartford Insurance Group, Inc. (HIG) — WACC 分析

WACC 构成

解读

The Hartford Insurance Group, Inc.（HIG）WACC：7.13%

WACC计算器

The Hartford Insurance Group, Inc.（HIG） WACC 解读

HIG 公司分析

HIG DCF 估值

继续做同行对比