Core Insights - Hagerty, Inc. (HGTY) has a strong track record of beating earnings estimates, with an average surprise of 31.31% over the last two quarters [1][2] Earnings Performance - For the last reported quarter, Hagerty achieved earnings of $0.13 per share, exceeding the Zacks Consensus Estimate of $0.09 per share, resulting in a surprise of 44.44% [2] - In the previous quarter, the company was expected to report earnings of $0.11 per share but delivered $0.13 per share, leading to a surprise of 18.18% [2] Earnings Estimates and Predictions - There has been a favorable change in earnings estimates for Hagerty, with a positive Earnings ESP (Expected Surprise Prediction) indicating a strong likelihood of an earnings beat [5] - The current Earnings ESP for Hagerty is +14.29%, suggesting that analysts are optimistic about the company's earnings prospects [8] - The combination of a positive Earnings ESP and a Zacks Rank of 2 (Buy) indicates a high probability of another earnings beat [8] Statistical Insights - Research indicates that stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have a nearly 70% chance of producing a positive surprise [6] - The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate, with the Most Accurate Estimate reflecting the latest analyst revisions [7]

Core Insights - Kenneth Ahn, President of Hagerty Marketplace, sold 50,000 shares of Hagerty, Inc. for approximately $620,500, which was part of a pre-planned trading strategy [1][6] - The company reported a record net income of $20.85 million in Q3 2025, marking a 327% year-over-year increase [7] - Hagerty's stock price increased by approximately 38% in 2025, indicating strong market performance [10] Transaction Summary - The transaction involved the sale of 50,000 shares at a value of $620,500, with a post-transaction direct ownership of 113,593 shares valued at $1.42 million [2] - The sale was executed under a Rule 10b5-1 trading plan, indicating it was pre-scheduled and not a discretionary decision [6] Company Overview - Hagerty is a specialty insurance and automotive lifestyle company, generating revenue primarily through insurance premiums, subscriptions, event fees, and ancillary services [5] - The company reported a total revenue of $1.36 billion and a net income of $33.32 million for the trailing twelve months [4] Unique Business Model - Hagerty differentiates itself from typical insurance companies by offering unique insurance policies for luxury vehicles and providing a subscription service, Hagerty Drivers Club, which includes various member benefits [8] Ownership Impact - The sale of shares eliminated all of Ahn's indirect equity exposure in Hagerty while maintaining his direct holdings [9] - The shares sold were previously held as Released Units of The Hagerty Group, LLC, which were converted into Class A Common Stock [9]

Core Insights - The Peninsula Classics Best of the Best Award recognizes significant automobiles and their stewards, with the 2025 award announced at a private ceremony in The Peninsula Paris [1] Group 1: Award Details - The 2025 award was given to the 1938 Alfa Romeo 8C 2900B, which is noted as the pinnacle of prewar performance engineering and the fastest Italian automobile of its era [3] - The award ceremony highlighted the importance of performance, design, and craftsmanship in automobiles, as emphasized by McKeel Hagerty, CEO and Chairman of Hagerty [3] Group 2: Event Information - The Amelia Concours will take place from March 5–8, 2026, featuring various events including Concours d'Elegance, RADwood, and a Broad Arrow Auction [3][5] - The Amelia Concours has donated over $4 million to charitable organizations since its inception in 1996, showcasing its commitment to philanthropy [5] Group 3: Company Background - Hagerty, Inc. protects 2.7 million vehicles across the United States, Canada, and the UK, providing innovative insurance products and engaging events for car enthusiasts [6]

Core Viewpoint - Broad Arrow Auctions, a Hagerty company, is set to showcase prestigious collector cars during the Global Icons Online Auction series and the Concorso d'Eleganza Villa d'Este Auction at iconic locations in Paris during Rétromobile car week [1][3]. Auction Details - The preview event will take place at Roland-Garros Stadium, featuring a selection of cars from the Global Icons: Europe Online Auction and memorabilia from motorsport history [2][3]. - The auction will include notable cars such as the Benetton B192-05, estimated at over €8,500,000, and a 1967 Ferrari 275 GTS, estimated between €1,400,000 and €1,500,000 [3][4]. Featured Cars - The auction will present a variety of iconic vehicles, including a 1976 Mercedes-Benz 450 SEL 6.9 and a 2003 Ferrari 360 Challenge Stradale [4]. - A pre-war Type 18 Bugatti known as 'Black Bess', once owned by aviation pioneer Roland Garros, will be displayed, highlighting its historical significance as one of the first street-legal super sports cars [5]. Upcoming Auctions - The Concorso d'Eleganza Villa d'Este auction in May 2026 will feature exceptional models such as the 1929 Bugatti Type 43 Roadster, estimated between €2,500,000 and €3,500,000, and the 1926 Bugatti Type 37 Grand Prix, estimated between €1,000,000 and €1,300,000 [6][7]. - The display at Rétromobile will also include a 1990 Ferrari F40 and a 1971 Lamborghini Miura P400 S, estimated between €1,600,000 and €1,800,000 [9]. Event Schedule - Rétromobile will occur from January 28 to February 1, 2026, with a VIP preview on January 27. The Roland-Garros preview will run from January 27 to January 30, with a VIP Opening Brunch on January 27 [11][12]. Company Background - Broad Arrow Auctions, established in 2021, is recognized as a leading global collector car auction house, expanding its presence in Europe and hosting flagship events in collaboration with prestigious partners [15].

Industry Overview - The Zacks Property and Casualty Insurance (P&C) industry is experiencing softer pricing after years of improvement, but is expected to benefit from prudent underwriting, exposure growth, and accelerated digitalization [1] - The industry includes companies providing commercial and personal property insurance, casualty insurance products, and services, with premiums being the primary revenue source [3] - The industry is currently ranked 173 in the Zacks Industry Rank, placing it in the bottom 29% of over 250 Zacks industries, indicating weak prospects in the near term [8][9] Trends and Challenges - Global commercial insurance rates fell by 4% in Q3, marking a decline after seven years of rising rates, with personal auto insurance expected to perform strongly due to improved investment returns and reduced claims [4] - The property and casualty insurance industry is vulnerable to catastrophe events, which can negatively impact underwriting profits, with estimated insured losses from natural catastrophes reaching approximately $107 billion by 2025 [5] - Increased adoption of technology, including blockchain and AI, is transforming the industry, although it also introduces cyber threats [7] Company Insights - **Skyward Specialty Insurance Group, Inc. (SKWD)**: Focuses on complex, underserved risk segments and is well-positioned for growth, with a consensus estimate for 2026 earnings suggesting a 29.4% year-over-year growth [17][18] - **Cincinnati Financial Corporation (CINF)**: Continues to grow through better pricing and strong renewal rates, with a consensus estimate for 2026 earnings indicating a 16.2% year-over-year growth [21][22] - **Hagerty Inc. (HGTY)**: A specialty insurer with a diversified model, expected to achieve 17.6% year-over-year growth in 2026 earnings [24][25] - **Chubb Limited (CB)**: One of the largest P&C insurers, focusing on middle-market businesses and cyber insurance, with a consensus estimate for 2026 earnings suggesting an 8.9% year-over-year growth [27][28] - **The Travelers Companies (TRV)**: A leading writer of auto and homeowners' insurance, expected to see a 6.9% year-over-year increase in 2026 earnings [30][32] Financial Performance - The Property and Casualty Insurance industry has underperformed compared to its sector and the S&P 500, with a collective stock increase of 6.9% versus 16.8% for the sector and 19.8% for the S&P 500 over the past year [10] - The industry is currently trading at a trailing 12-month price-to-book (P/B) ratio of 1.46X, significantly lower than the S&P 500's 8.69X and the sector's 4.23X [13]

Core Insights - The 1992 Benetton B192-05, driven by Michael Schumacher to his first Grand Prix victory, is being offered for public sale for the first time as part of Broad Arrow's Global Icons: Europe Online auction from January 23-30, 2026 [1][3][10] - This car is significant as it is the last race-winning Formula One car to utilize a manual gearbox, marking a pivotal moment in the sport's history [2][4] Auction Details - The auction will feature the Benetton B192-05, which is expected to fetch over €8,500,000 [5] - Alongside the car, the auction will also include various memorabilia related to Michael Schumacher, such as a signed helmet and overalls, with estimates ranging from €2,000 to €30,000 [6][10] Historical Significance - The B192-05 is recognized as one of the most iconic Formula One cars, symbolizing the beginning of Schumacher's record-setting career, which includes seven World Drivers' Championship titles and 91 victories [4][10] - The car's victory at the 1992 Belgian Grand Prix was achieved under challenging conditions, showcasing Schumacher's talent and the engineering excellence of the vehicle [3][4] Ownership and Restoration - After its racing career, the car was retained by Renault and later sold to LRS Formula, where it underwent a complete restoration, including a chassis overhaul and engine rebuild [5] - The current owner, a known racer of modern F1 machinery, acquired the car in 2016 [5] Auction House Background - Broad Arrow Auctions, a Hagerty company, is a leading global collector car auction house, known for its high-quality offerings and rapid growth in the auction segment [11]

Core Viewpoint - Broad Arrow, a Hagerty company, is set to auction the iconic 1992 Benetton B192-05, which Michael Schumacher drove to his first Grand Prix victory, marking a significant event for collectors and motorsport history [1][3]. Auction Details - The auction will take place from January 23 to January 30, 2026, as part of the Global Icons: Europe Online auction series [1]. - The Benetton B192-05 is expected to fetch over €8,500,000 during the auction [5]. Historical Significance - Chassis B192-05 is recognized as a pivotal Formula One car, being the last to win a race with a manual gearbox, symbolizing a shift in the sport [2]. - This car not only represents Schumacher's first victory but also the end of an era for manual gearboxes in Formula One [3]. Collectible Memorabilia - The auction will also feature collectible items related to Michael Schumacher, including a signed 1994 Original Benetton Helmet (estimated at €20,000 - €30,000) and his 1995 Benetton Overalls (estimated at €15,000 - €25,000) [6]. Other Auction Highlights - Additional notable items in the auction include a 1971 Lamborghini Miura P400 S (estimated at €1,600,000 - €1,800,000) and a 1990 Ferrari Mondial T Cabriolet (estimated at €45,000 - €65,000) [7].

Company Performance - Hagerty, Inc. (HGTY) shares have increased by 3% over the past month, reaching a new 52-week high of $14, and have gained 40.9% year-to-date compared to 17.6% for the Zacks Finance sector and 10.2% for the Zacks Insurance - Property and Casualty industry [1] - The company has a strong record of positive earnings surprises, not missing earnings consensus estimates in the last four quarters, with the latest EPS reported at $0.13 against a consensus of $0.09 [2] Earnings Forecast - For the current fiscal year, Hagerty is expected to post earnings of $0.37 per share on revenues of $1.39 billion, reflecting a 54.17% increase in EPS and a 16.17% increase in revenues [3] - The next fiscal year is projected to see earnings of $0.43 per share on the same revenue of $1.39 billion, indicating a year-over-year change of 14.86% in EPS and a slight decrease of 0.57% in revenues [3] Valuation Metrics - Hagerty's current valuation metrics show a Price-to-Earnings (P/E) ratio of 36.5X for the current fiscal year, significantly higher than the peer industry average of 11.5X, and a trailing cash flow ratio of 37.9X compared to 12.9X for its peers [6] - The stock has a Value Score of D, a Growth Score of A, and a Momentum Score of C, resulting in a VGM Score of B [6] Zacks Rank - Hagerty holds a Zacks Rank of 2 (Buy), supported by a solid earnings estimate revision trend, indicating potential for further price appreciation [7] Industry Comparison - American Coastal Insurance Corporation (ACIC), a peer in the industry, also has a Zacks Rank of 2 (Buy) and shows strong earnings performance, beating consensus estimates by 56.41% [8][9] - ACIC is expected to post earnings of $1.40 per share on revenues of $332.48 million for the current fiscal year, with shares gaining 5.5% over the past month [9][10] - The Insurance - Property and Casualty industry is performing well, ranking in the top 22% of all industries, suggesting favorable conditions for both HGTY and ACIC [10]

Core Insights - The classic-car market is expected to maintain its strength into 2026, driven by a new generation of collectors [1] Group 1: Market Performance - Auctions and online sales of collectible cars increased by 10% in 2025, reaching $4.8 billion [2] - Online classic-car sales surged by 12% this year, totaling $2.5 billion [3] Group 2: Demographic Shifts - A new generation of collectors, including Generation X, millennials, and Gen Z, is redefining the classic-car market as baby boomers exit [3] - Younger buyers are showing a preference for high-performance supercars from the '90s and later, moving away from the traditional 1950s and '60s sports cars [4]

Core Insights - Broad Arrow, a Hagerty company, reported a total transaction value of over $624 million in 2025, marking a 97% increase from $316 million in 2024 [1][2]. Auction Performance - Broad Arrow Auctions achieved total sales of $257 million across eight live auctions and two online memorabilia auctions in 2025, with an 88% sell-through rate for 949 lots sold [3][8]. - The company set 11 world record auction prices and attracted bidders from 52 countries, with significant growth in registered bidders, particularly in Europe [3][9]. Private Sales - Broad Arrow's Private Sales business generated over $281 million in transaction value across 190 transactions, surpassing auction totals for the first time, with an average transaction value of approximately $1.48 million [14][8]. - Notable sales included a 1995 McLaren F1 and a 2019 Ferrari FXX-K Evo, highlighting the company's expertise in high-value collector cars [15][16]. Financing Capabilities - Broad Arrow Capital facilitated over $85 million in new financing transactions in 2025, supporting clients in the U.S., U.K., and Europe [17][8]. Future Outlook - The company plans to expand its auction calendar in 2026 with new online sales and live events, including the flagship Amelia Auction scheduled for March 2026 [18][19].