Insurance platform Hippo's Q1 revenue rises less than expected

Hippo Holdings

30/04/2026 11:11

Overview

US insurance platform's Q1 revenue grew 10% yr/yr but missed analyst expectations

Adjusted EPS for Q1 beat analyst expectations

Net income turned positive, driven by improved underwriting and lower catastrophe losses

Outlook

Hippo raises 2026 gross written premium outlook to $1.45-$1.525 bln from $1.4-$1.5 bln

Company lifts 2026 net written premium forecast to $520-$550 mln from $500-$540 mln

Hippo expects 2026 revenue of $560-$570 mln and adjusted net income of $48-$56 mln

Result Drivers

UNDERWRITING IMPROVEMENT - Q1 net income and adjusted net income benefited from stronger underwriting performance and a 60-point reduction in combined ratio, mainly due to lower catastrophe losses versus last year

PREMIUM GROWTH - Gross written premium rose 58% yr/yr, led by 193% growth in Casualty and 89% in Commercial Multi-Peril lines

FEE INCOME DECLINE - Revenue growth was partially offset by a $5.5 mln drop in commissions after the sale of the homebuilder distribution network

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Miss
$122 mln
$130.46 mln (4 Analysts)
Q1 Adjusted EPS
Beat
$0.65
$0.17 (3 Analysts)
Q1 EPS
$0.27
Q1 Net Income
$7 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the property & casualty insurance peer group is "buy"

Wall Street's median 12-month price target for Hippo Holdings Inc is $38.00, about 34.7% above its April 29 closing price of $28.22

The stock recently traded at 56 times the next 12-month earnings vs. a P/E of 9,033 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)