The Hanover Insurance Group, Inc. (THG) Key Metrics
THG valuation today
Trailing 12 months · as of October 18, 2026- Market cap
- $8.11B
- Enterprise value
- $8.15B
- P/E (TTM)
- 11.2 10-yr median 13.1
- Forward P/E
- 11.1
- PEG ratio
- 0.34
- Price / sales
- 1.2 10-yr median 1.0
- Price / book
- 2.1 10-yr median 1.7
- EV / EBITDA
- — 10-yr median 11.2
- Dividend yield
- 1.63% $3.80 a year
- Beta
- 0.25
THG key metrics, 2016–2025
Fiscal year ended December 31, 2025 · U.S. dollarsTHG valuation Price multiples at each fiscal year-end price.
THG returns How much profit the business earns on the capital it uses.
THG per-share figures Results divided by the shares outstanding at year-end.
THG financial health Debt, liquidity and how easily interest is covered.
THG efficiency & capital use Working capital cycle and where the cash goes.
THG valuation history
THG returns on capital
Net income (ROE, ROA) or after-tax operating income (ROIC) divided by the average of the opening and closing balance.
THG debt vs cash
Debt includes short- and long-term borrowings and, where reported, lease liabilities.
THG cash returned to shareholders
THG price vs earnings per share
THG key metrics
2016–2025| 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
|---|---|---|---|---|---|---|---|---|---|---|
| Valuation | ||||||||||
| Market capitalization | $6.52B | $5.63B | $4.38B | $4.88B | $4.77B | $4.45B | $5.55B | $5.02B | $4.65B | $3.93B |
| Enterprise value | $4.75B | $4.39B | −$3.13B | −$2.13B | $6.10B | $5.89B | −$700.6M | −$1.38B | $5.06B | $4.44B |
| P/E ratio | 9.8 | 13.2 | 124.2 | 42.1 | 11.3 | 12.4 | 13.1 | 12.8 | 25.0 | 25.3 |
| Price / sales | 1.0 | 0.9 | 0.7 | 0.9 | 0.9 | 0.9 | 1.1 | 1.1 | 1.1 | 1.0 |
| Price / book | 1.8 | 2.0 | 1.8 | 2.1 | 1.5 | 1.4 | 1.9 | 1.7 | 1.6 | 1.4 |
| Price / free cash flow | 5.6 | 7.1 | 12.5 | 6.9 | 5.8 | 6.4 | 9.4 | 9.3 | 6.8 | 5.4 |
| Price / operating cash flow | 5.5 | 7.0 | 12.1 | 6.8 | 5.8 | 6.3 | 9.2 | 9.1 | 6.6 | 5.3 |
| EV / sales | 0.7 | 0.7 | -0.5 | -0.4 | 1.2 | 1.2 | -0.1 | -0.3 | 1.2 | 1.1 |
| EV / EBITDA | 5.4 | 7.7 | — | — | 10.7 | 11.8 | — | — | 13.7 | 29.9 |
| EV / free cash flow | 4.1 | 5.5 | — | — | 7.5 | 8.5 | — | — | 7.4 | 6.1 |
| Earnings yield | 10.2% | 7.6% | 0.8% | 2.4% | 8.9% | 8.1% | 7.7% | 7.8% | 4.0% | 3.9% |
| Free cash flow yield | 17.9% | 14.1% | 8.0% | 14.4% | 17.1% | 15.6% | 10.6% | 10.7% | 14.8% | 18.4% |
| Dividend yield | 2.0% | 2.2% | 2.7% | 2.2% | 2.1% | 2.2% | 7.0% | 1.9% | 1.9% | 2.0% |
| Shareholder yield (dividends + buybacks) | 4.0% | 2.7% | 2.7% | 2.9% | 5.6% | 7.0% | 17.1% | 3.0% | 2.7% | 4.7% |
| Share price at fiscal year-end | $182.77 | $154.66 | $121.42 | $135.13 | $131.06 | $116.92 | $136.67 | $116.77 | $108.08 | $91.01 |
| Per share | ||||||||||
| Revenue per share | $184.80 | $170.79 | $165.19 | $150.50 | $141.75 | $126.47 | $120.46 | $103.86 | $99.25 | $91.80 |
| Earnings per share | $18.56 | $11.70 | $0.98 | $3.21 | $11.62 | $9.41 | $10.47 | $9.09 | $4.33 | $3.59 |
| Operating cash flow per share | $33.00 | $22.15 | $10.02 | $20.01 | $22.63 | $18.57 | $14.85 | $12.82 | $16.39 | $17.21 |
| Free cash flow per share | $32.78 | $21.87 | $9.69 | $19.52 | $22.41 | $18.18 | $14.52 | $12.52 | $15.95 | $16.71 |
| Cash per share | $83.94 | $55.58 | $229.96 | $215.70 | $6.34 | $3.17 | $170.02 | $167.03 | $8.75 | $6.54 |
| Book value per share | $100.04 | $78.07 | $68.30 | $64.65 | $86.40 | $84.05 | $71.83 | $68.71 | $69.71 | $66.15 |
| Tangible book value per share | $75.34 | $54.95 | $46.15 | $42.94 | $76.57 | $74.66 | $63.02 | $54.07 | $55.23 | $49.89 |
| Dividends per share | $3.66 | $3.41 | $3.25 | $3.02 | $2.81 | $2.61 | $9.51 | $2.19 | $2.02 | $1.86 |
| Capex per share | $0.22 | $0.28 | $0.33 | $0.49 | $0.22 | $0.39 | $0.33 | $0.30 | $0.43 | $0.36 |
| Debt per share | $34.13 | $21.54 | $21.70 | $21.67 | $42.93 | $40.97 | $16.09 | $18.09 | $18.30 | $18.20 |
| Shares outstanding | 35.7M | 36.4M | 36.1M | 36.1M | 36.4M | 38.1M | 40.6M | 43.0M | 43.0M | 43.2M |
| Change in shares outstanding | −1.9% | +0.8% | 0.0% | −0.8% | −4.5% | −6.2% | −5.6% | 0.0% | −0.5% | −3.6% |
| Returns & profitability | ||||||||||
| Return on equity (ROE) | 20.7% | 16.1% | 1.5% | 4.2% | 13.3% | 11.7% | 14.5% | 13.1% | 6.4% | 5.4% |
| Return on invested capital (ROIC) | 38.9% | — | — | — | 9.2% | 55.3% | — | — | 6.4% | 1.8% |
| Return on assets (ROA) | 4.1% | 2.9% | 0.2% | 0.8% | 3.1% | 2.8% | 3.4% | 2.8% | 1.3% | 1.1% |
| Return on tangible assets | 4.1% | 3.0% | 0.3% | 0.9% | 3.0% | 2.7% | 3.5% | 3.3% | 1.3% | 1.1% |
| Free cash flow margin | 17.7% | 12.8% | 5.9% | 13.0% | 15.8% | 14.4% | 12.1% | 12.1% | 16.1% | 18.2% |
| Income quality (OCF / net income) | 1.78 | 1.89 | 10.25 | 6.23 | 1.95 | 1.97 | 1.42 | 1.41 | 3.78 | 4.79 |
| Financial health | ||||||||||
| Total debt | $1.22B | $784.1M | $783.2M | $782.4M | $1.56B | $1.56B | $653.4M | $777.9M | $786.9M | $786.4M |
| Cash & short-term investments | $3.00B | $2.02B | $8.30B | $7.79B | $230.9M | $120.6M | $6.90B | $7.18B | $376.4M | $282.6M |
| Net debt | −$1.78B | −$1.24B | −$7.52B | −$7.00B | $1.33B | $1.44B | −$6.25B | −$6.40B | $410.5M | $503.8M |
| Debt / equity | 0.34 | 0.28 | 0.32 | 0.34 | 0.50 | 0.49 | 0.22 | 0.26 | 0.26 | 0.28 |
| Debt / assets | 0.07 | 0.05 | 0.05 | 0.06 | 0.11 | 0.12 | 0.05 | 0.06 | 0.05 | 0.06 |
| Net debt / EBITDA | −2.02 | −2.16 | −92.25 | −36.67 | 2.33 | 2.88 | −10.75 | −18.18 | 1.11 | 3.40 |
| Current ratio | 0.62 | 7.18 | 1.99 | 15.59 | 65.48 | 68.89 | 4.04 | 169.04 | 2.71 | 2.36 |
| Quick ratio | 0.62 | 7.18 | 3.14 | 14.52 | 102.58 | 107.12 | 39.03 | 69.78 | 10.10 | 8.92 |
| Interest coverage | 19.5 | 15.8 | 1.2 | 4.2 | 15.3 | 12.0 | 13.9 | 6.3 | 6.5 | 1.3 |
| Working capital | −$4.29B | $5.07B | $6.03B | $10.68B | $3.55B | $3.29B | $162.3M | $6.27B | $1.23B | $992.7M |
| Invested capital | $1.79B | $1.60B | −$5.05B | −$4.67B | $4.48B | $4.64B | −$3.33B | −$3.45B | $3.41B | $3.36B |
| Tangible asset value | $2.69B | $2.00B | $1.67B | $1.55B | $2.79B | $2.84B | $2.56B | $2.33B | $2.38B | $2.16B |
| Net current asset value | −$6.43B | −$6.54B | −$25.7M | −$254.2M | −$7.50B | −$6.91B | −$9.36B | −$3.14B | −$10.53B | −$9.64B |
| Graham number | $204.38 | $143.38 | $38.76 | $68.37 | $150.27 | $133.43 | $130.08 | $118.57 | $82.42 | $73.10 |
| Graham net-net per share | −$207.66 | −$206.34 | −$124.56 | −$21.23 | −$257.37 | −$226.66 | −$32.02 | $39.71 | −$262.14 | −$241.40 |
| Capital allocation | ||||||||||
| Dividends paid | $130.6M | $124.1M | $117.2M | $108.9M | $102.2M | $99.5M | $386.2M | $94.3M | $86.8M | $80.4M |
| Share buybacks (net) | $129.2M | $26.7M | $0 | $30.8M | $162.6M | $212.8M | $563.6M | $57.7M | $37.2M | $105.6M |
| Dividend payout ratio | 19.7% | 29.1% | 332.0% | 93.9% | 24.2% | 27.7% | 90.8% | 24.1% | 46.6% | 51.8% |
| Dividends + buybacks / free cash flow | 22.2% | 18.9% | 33.5% | 19.8% | 32.5% | 45.1% | 161.1% | 28.2% | 18.1% | 25.8% |
| Capex / revenue | 0.1% | 0.2% | 0.2% | 0.3% | 0.2% | 0.3% | 0.3% | 0.3% | 0.4% | 0.4% |
| Capex / operating cash flow | 0.7% | 1.3% | 3.3% | 2.5% | 1.0% | 2.1% | 2.2% | 2.4% | 2.6% | 2.1% |
| Capex / depreciation | — | 6.80 | 1.89 | 1.38 | 0.47 | 0.82 | 0.62 | 0.53 | 0.62 | 0.51 |
| Stock-based compensation / revenue | 0.5% | 0.5% | 0.5% | 0.5% | 0.4% | 0.4% | 0.4% | 0.3% | 0.3% | 0.3% |
| Efficiency | ||||||||||
| Days sales outstanding | 216.3 | 225.6 | 227.7 | 235.0 | 233.1 | 238.2 | 220.2 | 304.4 | 370.9 | 371.7 |
| Days of inventory on hand | — | — | -214.6 | -48.7 | -172.6 | -178.8 | 88.3 | -80.1 | -536.8 | -259.9 |
| Days payables outstanding | 4.1 | 3.7 | 4.6 | 4.9 | 4.6 | 4.9 | 4.4 | 19.3 | 31.8 | 24.9 |
| Cash conversion cycle (days) | 212.2 | 221.9 | 8.4 | 181.5 | 55.9 | 54.5 | 304.1 | 205.0 | -197.7 | 86.8 |
| Receivables turnover | 1.69 | 1.62 | 1.60 | 1.55 | 1.57 | 1.53 | 1.66 | 1.20 | 0.98 | 0.98 |
| Payables turnover | 89.97 | 97.63 | 78.91 | 75.22 | 79.55 | 74.58 | 83.62 | 18.93 | 11.46 | 14.66 |
| Asset turnover | 0.41 | 0.42 | 0.42 | 0.38 | 0.37 | 0.37 | 0.39 | 0.32 | 0.29 | 0.28 |
| Average receivables | $3.91B | $3.84B | $3.72B | $3.50B | $3.30B | $3.14B | $2.95B | $3.72B | $4.34B | $4.04B |
| Average payables | $41.5M | $51.0M | $67.3M | $62.7M | $51.8M | $50.9M | $45.4M | $191.1M | $298.4M | $228.6M |
| Average inventory | — | — | −$3.12B | −$629.1M | −$1.95B | −$1.86B | $917.0M | −$793.8M | −$5.03B | −$2.39B |
| Intangibles / total assets | 5.2% | 5.5% | 5.5% | 5.6% | 2.5% | 2.7% | 2.9% | 5.1% | 4.0% | 4.9% |
Computed from THG's annual financial statements (latest annual report filed February 20, 2026) and the closing share price on each fiscal year-end, adjusted for stock splits. Figures in U.S. dollars; data from EODHD. Averages use the opening and closing balance of each year.
THG valuation and financial ratios
At the end of fiscal 2025 (December 31, 2025), Hanover Insurance traded at 9.8 times earnings, against a 10-year median of 13.1. Based on the latest twelve months, the trailing P/E is 11.2 and the forward P/E is 11.1. Hanover Insurance earned a return on equity of 20.7% and a return on invested capital of 38.9% in fiscal 2025. It ended the year with $1.2 billion of debt and $3.0 billion in cash and short-term investments, a net cash position of $1.8 billion. It returned $259.8 million to shareholders: $130.6 million in dividends and $129.2 million in share buybacks, 22% of free cash flow. The share count fell 17.4% from 43.2M to 35.7M over 9 years.
See the THG income statement, the THG chart for price history, or the THG stock overview for the latest quote and news.
THG key metrics FAQ
What is Hanover Insurance's P/E ratio?
Hanover Insurance's trailing P/E ratio is 11.2 based on the last twelve months of earnings (as of October 18, 2026), and its forward P/E is 11.1. At the end of fiscal 2025 it was 9.8, compared with a 10-year median of 13.1.
What is Hanover Insurance's EV/EBITDA?
Hanover Insurance's enterprise value was 5.4 times EBITDA at the end of fiscal 2025 (enterprise value $4.7 billion, EBITDA $882.4 million).
What is Hanover Insurance's return on equity?
Hanover Insurance's return on equity (ROE) was 20.7% in fiscal 2025: net income of $662.5 million on average shareholders' equity of $3.2 billion.
What is Hanover Insurance's ROIC?
Hanover Insurance's return on invested capital was 38.9% in fiscal 2025, using after-tax operating income divided by average debt plus equity minus cash.
How much debt does Hanover Insurance have?
Hanover Insurance had total debt of $1.2 billion at the end of fiscal 2025, a debt-to-equity ratio of 0.34 and more cash than debt.
What is Hanover Insurance's dividend yield?
Hanover Insurance's forward dividend yield is 1.63%. Hanover Insurance paid $130.6 million in dividends in fiscal 2025 ($3.66 per share), a payout ratio of 19.7%.
Does Hanover Insurance buy back its shares?
Yes. Hanover Insurance spent $129.2 million on net share repurchases in fiscal 2025 Shares outstanding changed −1.9% over the year, to 35.7M..
What is Hanover Insurance's free cash flow yield?
Hanover Insurance generated $1.2 billion of free cash flow in fiscal 2025, a free cash flow yield of 17.9% on its market value at year-end ($6.5 billion).
What is Hanover Insurance's current ratio?
Hanover Insurance's current ratio was 0.62 at the end of fiscal 2025: current assets were 0.62 times current liabilities.