Hippo Holdings Inc. (HIPO) AI Stock Analysis

Hippo Holdings Inc. operates as a home protection insurance provider across the United States and the District of Columbia. Specializing in homeowners' insurance, the company offers coverage against risks such as fire, wind damage, and theft, along with commercial and personal lines of insurance products. Operations are centered around an integrated technology platform that serves as a distribution channel, allowing customers to purchase policies online, over the phone, or through licensed insurance agents. Headquartered in Palo Alto, California, the company employs 540 people and combines data analytics with customer care to provide proactive protection solutions.

Hippo achieved a 5-year revenue CAGR of 55.5% from FY2020 to FY2025. Annual revenue expanded from $91.2M in FY2021 to $209.7M in FY2023, $372.1M in FY2024, and $468.6M in FY2025. Gross margin improved from -16.1% in FY2021 to 50.9% in FY2025, while operating margin rose from -402.6% to 13.5%. After posting net income of -$371.4M in FY2021 and -$40.5M in FY2024, net income reached $57.7M in FY2025. In the trailing twelve months ending June 30, 2026, revenue totaled $507.1M with a profit margin of 23.9%. For the quarter ended June 30, 2026, quarterly revenue grew 23.4% year-over-year and quarterly earnings grew 660.0%.

As of June 30, 2026, Hippo held $444.8M in cash and short-term investments against total debt of $50.7M, resulting in net cash of $394.1M. Total assets stood at $2.32B and shareholders' equity was $465.6M, yielding a debt-to-equity ratio of 0.11 and a current ratio of 0.34. In FY2025, operating cash flow was $9.2M and free cash flow was $9.1M. Capital expenditures were $100,000, while share buybacks totaled $14.5M in FY2025. Over five years, the share count increased 17.5%.

Hippo trades at a trailing price-to-earnings multiple of 7.6x, below the 12.1x median of its US-listed Financial Services peers. Its price-to-sales multiple is 1.8x, compared to the peer median of 3.2x. Enterprise value stands at $590.2M, with an EV-to-revenue ratio of 1.2x. Over the past year, the stock returned 3.5%, trailing the S&P 500 return of 16.8%. Over five years, HIPO shares declined 67.6% compared to an 83.0% gain for the S&P 500. The stock closed at $35.28 on October 16, 2026, which is 21.2% above its 200-day average.

Wall Street analysts cover Hippo with 2 Strong Buy, 1 Buy, and 2 Hold ratings. The mean price target of $40.88 represents a 15.9% premium to the last closing price of $35.28. For the current fiscal year ending December 31, 2026, analysts estimate revenue of $582.2M and EPS of $2.45, reflecting expected EPS growth of 260.8%. Hippo beat EPS estimates in all 4 of the last 4 quarters. The next earnings date is October 29, 2026.

This page is an AI-written research summary of Hippo Holdings Inc. (HIPO). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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