Start here if you're new
what it is
Hamilton sells insurance and reinsurance, which means it gets paid now to take other people’s future disaster risk.
how it gets paid
Last year Hamilton Insurance made $2.9B in revenue. casualty was the main engine at $1.31B, or 45% of sales.
why it's growing
Revenue grew 24.7% last year. In the September period, Bermuda delivered strong growth in casualty and specialty reinsurance, while international grew ~17% with gains across property and specialty lines.
what just happened
Hamilton posted $1.69 in EPS versus a $1.07 estimate, a 57.94% beat.
At a glance
B+ balance sheet — decent shape, but not bulletproof
5.7x trailing p/e — the market's not buying it — or you found a deal
16.2% return on capital — fine for a diversified insurer
$5.25 fy2026 eps est
~$3B market cap
xvary composite: 55/100 — below average
What they do
Hamilton sells insurance and reinsurance, which means it gets paid now to take other people’s future disaster risk.
Hamilton wins by staying picky when risk gets weird. Combined ratio (claims and expenses divided by premiums, so lower is better) was 87.8% in the third quarter, which means it kept about 12.2 cents of underwriting profit on every premium dollar. You do not need the biggest insurer if you are one of the more disciplined ones.
How they make money
$2.9B
annual revenue · their business grew +24.7% last year
casualty
$1.31B
up
specialty
$0.87B
up
property
$0.73B
flat
The products that matter
writes specialty policies
Insurance
part of a $2.9B revenue base
this is the front line of underwriting. It sits inside a $2.9B revenue business that grew 24.7% compared to last year. If pricing holds and claims stay contained, this is where the earnings power shows up.
core underwriting
assumes insurer risk
Reinsurance
supports a 5.7x p/e debate
reinsurance is where a cheap multiple gets tested. With the stock at 5.7x trailing earnings and the company already at $2.9B of revenue, the market is asking one question: are these earnings durable, or just timely.
pricing cycle exposure
capital and reserve discipline
Balance Sheet
B+ grade · $150M debt
for an insurer, the balance sheet is part of the product. A B+ grade and $150M of long-term debt, equal to 5% of capital, say Hamilton has room to operate but not room for sloppiness.
capital matters
Key numbers
$5.25
fy2026 eps est
$2.9B
fy rev est
SEC filings point to roughly $2.9B in annual sales.
5.7x
trailing p/e
n/a
dividend yield
Financial health
B+
strength
- balance sheet grade B+ — solid but not elite
- risk rank 3 — safer than 50% of stocks
- long-term debt $150M (5% of capital)
- return on equity 16% — $0.16 profit for every $1 investors have put in
B+ — functional but not a standout on the balance sheet.
Total return vs. market
Return history isn't available for HG right now.
source: institutional data · return history unavailable
What just happened
beat estimates
Hamilton posted $1.69 in EPS versus a $1.07 estimate, a 57.94% beat.
The quarter was driven by strong underwriting and premium growth. Third-quarter net income reached $136 million, helped by an 87.8% combined ratio and $64 million of underwriting income.
~$725M
quarter revenue (FY÷4)
$1.69
quarter eps
87.8%
combined ratio
the number that mattered
The 87.8% combined ratio mattered most because it shows Hamilton made money on underwriting before investment income showed up.
-
the company reported $136 million in third-quarter net income, which represents an annualized return on average equity of 21%.
-
this success was driven by robust underwriting results, with a combined ratio of 87.8% and underwriting income of $64 million.investment income also played a significant role, contributing $98 million, with gains from both the two sigma hamilton fund and the fixed income portfolios.
-
gross premiums written probably rose during the fourth quarter, as they did in the third quarter.the growth was likely fueled by strategic decisions to focus on attractive lines of business, while pulling back from areas experiencing pricing pressure.
-
in the september period, the bermuda segment delivered 40% growth, driven by casualty and specialty reinsurance classes, while the international segment grew by 17%, with notable increases in property insurance and specialty classes.
-
hamilton select grew by 26%, with casualty lines leading the way at 50% growth.
source: company earnings report, 2026
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What could go wrong
Hamilton's top risk is claims and reserve volatility in specialty insurance and reinsurance. A 5.7x multiple is the market's way of saying it wants proof that today's earnings survive the next bad loss period.
med
catastrophe and large-loss exposure
Hamilton writes insurance and reinsurance. That means one bad claims stretch can hit results fast and make a cheap stock look cheap for a reason.
this risk reaches across the full $2.9B revenue base, not one side business
med
pricing cycle reversal
Revenue grew 24.7% compared to last year, but insurers often look best when pricing is strong. If pricing cools, growth slows and the low multiple can stay low.
the bull case needs growth and underwriting discipline to show up together
med
capital and regulatory pressure
A B+ balance sheet, $150M of long-term debt, and recent regulatory capital activity tell you funding flexibility matters here. That is normal for insurers. It still caps how aggressive Hamilton can be.
capital needs can limit upside even while premium growth looks healthy
If underwriting slips, the damage is not cosmetic. It hits a $2.9B insurer the market already prices at just 5.7x trailing earnings because it does not trust smooth results yet.
source: institutional data · regulatory filings · risk analysis
Pay attention to
metric
24.7% revenue growth against a 5.7x trailing p/e
That disconnect is the whole puzzle. If the growth is durable, the stock looks cheap. If the cycle is doing the work, the multiple already knows.
trend
three straight quarters of institutional net buying
In 3Q2025 there were 88 buyers versus 71 sellers, with total institutional holdings at 52.7M shares. Funds are leaning in. They are not all-in.
risk
reserve discipline and capital activity
The London Regulation S reference is a reminder that balance-sheet decisions are part of the operating story here, not a footnote.
calendar
the next quarterly print
You want to see whether the recent $228.1M quarter was the start of a pattern or one loud datapoint in a volatile business.
Analyst rankings
street midpoint
$35
about 25% above the current price. in human-speak, analysts see upside, but they are not pricing in a fairy tale.
target range
$30–$45
the low end says mild upside from here. the high end says Hamilton gets credit for earnings durability it has not fully earned yet.
valuation message
5.7x
this is the quiet part loud. Coverage likes the stock more than the market trusts the earnings stream.
source: institutional data
Institutional activity
institutions have been net buying for 3 consecutive quarters — 88 buyers vs. 71 sellers in 3q2025. total institutional holdings: 52.7M shares. net buying for 3 quarters.
source: institutional data
Price targets
3-5 year target range
$22
$47
$28
current price
$35
target midpoint · +25% from current · 3-5yr high: $45 (+60% · 13% ann'l return)
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