Hippo Holdings Inc Up 30.48% To $18.92 After Earnings Beat

Hippo Holdings Inc (HIPO) surpassed earnings projections on 3/6/2024 for Q4 2023.

Wall Street earnings per share (EPS) projections for Hippo Holdings Inc were at a loss of $2.01 per share. The company beat those estimates with an EPS loss of $1.76 per share. The loss of $1.76 per share (which represents a -12% EPS surprise) led to the company's profits rising 36% compared to last year when the firm reported an EPS loss of $2.74 per share. The increase in Hippo Holdings Inc's annual growth rate represents how the business is performing well amid recent economic conditions.

Analyst projections for Hippo Holdings Inc revenue came in at a consensus of $55.3 million. Fourth-Quarter revenues surpassed estimates for $64.5 million by $9.3 million (17%). The company achieved 80% growth year-over-year compared to the firm's revenue of $35.8 million from the year-ago quarter. The lower earnings growth relative to revenue signals Hippo Holdings Inc has not been able to improve its profit margin.

The stock is up 30.48% to $18.92 after the report.

Despite revenues increasing, earnings decreased, signaling a decline in profit margins.

Wall Street Analysts had an average rating of Buy on the stock prior to the report.

InvestorsObserver gives the stock a Bearish Sentiment score at the moment based on recent trading.

Prior to the report, InvestorsObserver gave the stock an overall score of 59. Meanwhile, the average Wall Street analyst rated the stock a Buy.

Hippo Holdings Inc is a home insurance group that created a new standard of care and protection for homeowners. It provides insurance for computers, home offices, electronics, appliances, water backup, service line coverage, among others.