Looking for a stock that has been consistently beating earnings estimates and might be well positioned to keep the streak alive in its next quarterly report? Heritage Insurance (HRTG) , which belongs to the Zacks Insurance - Property and Casualty industry, could be a great candidate to consider.This property and casualty insurance holding company has seen a nice streak of beating earnings estimates, especially when looking at the previous two reports. The average surprise for the last two quarters was 129.0 ...

Core Viewpoint - Heritage Insurance (HRTG) shares experienced a significant increase of 17.9% in the last trading session, closing at $27.66, following a period of 9.4% loss over the past four weeks, indicating a strong market reaction to its financial performance [1][2]. Financial Performance - HRTG anticipates delivering over $60 million in after-tax net income for Q4 2025, translating to more than $2.00 per share, with a projected return on equity exceeding 45% [2]. - The company is expected to report quarterly earnings of $1.05 per share, reflecting a year-over-year increase of 59.1%, with revenues projected at $212.61 million, up 1.1% from the previous year [6]. Strategic Focus - Heritage Insurance is concentrating on profitability through rate adequacy, disciplined underwriting, and cautious market expansion, particularly in saturated or low-return markets [4]. - The company is re-entering profitable markets in a measured manner while maintaining strict capital allocation to preserve margins [4]. Risk Management - To manage its risk profile effectively, Heritage has expanded its geographic footprint, improved risk diversification, moderated claims volatility, and reduced reinsurance expenses [5]. - The strengthening of the commercial residential segment, expanded personal lines capacity, and improved performance in excess and surplus lines (E&S) contribute to HRTG's long-term growth prospects [5]. Market Position - Heritage Insurance operates within the U.S. property and casualty insurance sector and is well-positioned to benefit from prudent underwriting and rate adequacy initiatives implemented over the past three years [3]. - The stock currently holds a Zacks Rank of 3 (Hold), indicating a neutral outlook in the market [7].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported): February 23, 2026 HERITAGE INSURANCE HOLDINGS, INC. (Exact name of registrant as specified in its charter) Delaware 001-36462 45-5338504 (State or other jurisdiction of incorporation) (Commission File Number) (I.R.S. Employer Identification No.) Securities registered pursuant to Section 12(b) o ...

Heritage Provides Update on Fourth Quarter 2025 Financial Results and Announces Earnings Release Date [Accessibility Statement] Skip NavigationTAMPA, Fla., Feb. 23, 2026 /PRNewswire/ -- Heritage Insurance Holdings, Inc. (NYSE: HRTG) ("Heritage" or the "Company"), a super-regional property and casualty insurance holding company, today provided an update on the Company's preliminary fourth quarter 2025 financial results and announced its earnings release dates.Fourth Quarter 2025 UpdateThe Company expects to ...

Core Viewpoint - The earnings outlook for Heritage Insurance Holdings (HRTG) appears optimistic as the company moves beyond 2025, suggesting a potential for growth and stability in its financial performance [1]. Group 1: Company Overview - Heritage Insurance Holdings is positioned to benefit from a quiet period in the insurance market, which may lead to improved earnings [1]. Group 2: Analyst Insights - The author expresses a personal investment in HRTG, indicating confidence in the company's future performance based on their analysis [2]. - The analysis is presented without any external compensation, emphasizing the author's independent viewpoint [2].

Core Viewpoint - The earnings outlook for Heritage Insurance Holdings (HRTG) appears to be stabilizing as 2025 approaches, suggesting a more relaxed perspective on future performance [1]. Group 1: Company Overview - Heritage Insurance Holdings is positioned in the insurance sector, with a focus on navigating market conditions and potential impacts from climate change and ESG factors [1]. Group 2: Analyst Insights - The author expresses a personal investment in HRTG shares, indicating a long position through various financial instruments [2]. - The analysis is presented as an independent opinion, with no external compensation influencing the views shared [2].

Core Insights - Insurance stocks are seen as a strong investment opportunity leading into 2026, driven by disciplined underwriting, steady premium growth, and a favorable interest-rate environment [1] - The Federal Reserve's rate cuts have not brought rates down to the near-zero levels of the past decade, creating a supportive landscape for insurers with long-duration investment portfolios [1] Group 1: Investment Environment - Insurers are benefiting from higher bond yields, which enhance investment income without increasing underwriting risk [2][3] - The gradual turnover of investment portfolios allows insurers to replace lower-yielding bonds with higher-yielding ones, positively impacting earnings over time [3] - Improved investment income strengthens capital positions, enabling dividends, share repurchases, and greater balance-sheet flexibility [3] Group 2: Premium Growth and Underwriting - Insurers are experiencing premium growth due to pricing increases that address inflation, higher claims severity, and catastrophe risks, leading to improved underwriting margins [4] - Strong underwriting discipline and attractive product offerings are driving higher premiums, reinforcing earnings momentum [4] - The combination of prudent underwriting and a healthier rate environment is expected to create a foundation for predictable earnings growth through 2026 [4] Group 3: Company-Specific Insights - Mercury General Corporation (MCY) is positioned for top-line growth, benefiting from sustained premium increases and a high percentage of investments in fixed maturity securities [6][7] - Heritage Insurance Holdings (HRTG) is focusing on rate adequacy and disciplined market re-entry, with a significant portion of its investments in fixed maturity securities [8][11] - RenaissanceRe Holdings (RNR) is experiencing strong premium growth driven by demand for reinsurance and favorable market conditions, with a solid investment portfolio [12][13]

Core Insights - Heritage Insurance Holdings (HRTG) has successfully undergone a structural transformation, leading to a positive outlook on the company's future prospects [1] - The turnaround is evidenced by the company's healthy financial status, return on equity, and cost management [1] Company Analysis - The transformation of Heritage Insurance Holdings is seen as a significant factor contributing to its improved financial health [1] - The company is positioned favorably in the market due to its effective management strategies and operational efficiencies [1]

Core Insights - Heritage Insurance Holdings (HRTG) has successfully undergone a structural transformation, leading to a positive outlook on the company's future prospects [1] - The turnaround is evidenced by the company's healthy financial status, return on equity, and cost management [1] Company Analysis - The transformation of Heritage Insurance Holdings is indicative of a robust financial health, which is expected to enhance investor confidence [1] - The company's return on equity has shown improvement, suggesting effective management and operational efficiency [1] - Cost management strategies implemented during the transformation have contributed to the overall positive financial outlook [1]

Summary of Heritage Insurance Conference Call Company Overview - **Company Name**: Heritage Insurance - **Ticker**: HRTG - **Headquarters**: Tampa, Florida - **Markets Served**: 16 markets including Southeast (Florida, Carolinas, Mississippi) and Northeast (under Narragansett Bay Insurance Company) [2][4] Core Points and Arguments - **Profitability Focus**: The company has shifted its focus towards profitability, emphasizing disciplined underwriting and proper pricing strategies. The goal is to achieve an underwriting profit [3][4] - **Controlled Growth Strategy**: Heritage Insurance is implementing a controlled growth strategy, having achieved rate adequacy in 95% of its territories. The remaining 5% will remain closed due to unfavorable risks [4][12] - **Financial Performance**: - In 2023, the company reported a net income of approximately $129 million year-to-date, despite facing $33 million in losses from California wildfires [10][12] - The company experienced a goodwill write-off of $94 million in 2022 but has shown improvement in profitability since then [9][10] - **Rate Increases**: The company has successfully implemented rate increases, with claims inflation running between 4%-8% across most geographies. Florida has seen negative loss trends, allowing for a -3% rate increase [15][16] - **Reinsurance Pricing**: The company anticipates a decrease in reinsurance pricing by 5%-10% due to increased capital in the market and favorable loss trends [22][24] Important but Overlooked Content - **Market Dynamics**: The company is witnessing some consolidation in the industry but remains selective in pursuing opportunities that align with its strategic objectives. The focus is on organic growth rather than top-line expansion for its own sake [19][20] - **Geographic Performance**: Florida currently has the highest return on equity (ROE) for the company, while Georgia is underperforming and may require legislative reforms to improve conditions [26][27] - **Policy Retention**: The company has maintained policy retention levels in the mid- to upper 80s, with expectations to improve as rates stabilize [30] - **Capital Allocation**: The company prioritizes capital for growth, followed by stock buybacks and dividends. It believes its stock is undervalued and will consider buybacks when excess capital is available [31][32] Conclusion Heritage Insurance is strategically positioning itself for controlled growth while focusing on profitability through disciplined underwriting and effective capital allocation. The company is optimistic about its future performance, particularly in Florida, and is adapting to market dynamics and regulatory changes.