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The Hanover Insurance Group (FRA:AF4) Price-to-Free-Cash-Flow

: 13.40 (As of Today)
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As of today (2024-04-18), The Hanover Insurance Group's share price is €120.00. The Hanover Insurance Group's Free Cash Flow per Share for the trailing twelve months (TTM) ended in Dec. 2023 was €8.96. Hence, The Hanover Insurance Group's Price-to-Free-Cash-Flow Ratio for today is 13.40.

The historical rank and industry rank for The Hanover Insurance Group's Price-to-Free-Cash-Flow or its related term are showing as below:

FRA:AF4' s Price-to-Free-Cash-Flow Range Over the Past 10 Years
Min: 4.59   Med: 6.76   Max: 14.15
Current: 13.16

During the past 13 years, The Hanover Insurance Group's highest Price-to-Free-Cash-Flow Ratio was 14.15. The lowest was 4.59. And the median was 6.76.

FRA:AF4's Price-to-Free-Cash-Flow is ranked worse than
63.05% of 341 companies
in the Insurance industry
Industry Median: 8.7 vs FRA:AF4: 13.16

The Hanover Insurance Group's Free Cash Flow per Share for the three months ended in Dec. 2023 was €2.23. Its Free Cash Flow per Share for the trailing twelve months (TTM) ended in was €8.96.

During the past 12 months, the average Free Cash Flow per Share Growth Rate of The Hanover Insurance Group was -50.30% per year. During the past 3 years, the average Free Cash Flow per Share Growth Rate was -18.90% per year. During the past 5 years, the average Free Cash Flow per Share Growth Rate was -0.50% per year. During the past 10 years, the average Free Cash Flow per Share Growth Rate was 5.00% per year.

During the past 13 years, The Hanover Insurance Group's highest 3-Year average Free Cash Flow per Share Growth Rate was 159.50% per year. The lowest was -38.40% per year. And the median was 9.70% per year.


The Hanover Insurance Group Price-to-Free-Cash-Flow Historical Data

The historical data trend for The Hanover Insurance Group's Price-to-Free-Cash-Flow can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

The Hanover Insurance Group Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Price-to-Free-Cash-Flow
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 9.41 6.43 5.85 6.92 12.53

The Hanover Insurance Group Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Price-to-Free-Cash-Flow Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.92 8.85 7.51 8.82 12.53

Competitive Comparison

For the Insurance - Property & Casualty subindustry, The Hanover Insurance Group's Price-to-Free-Cash-Flow, along with its competitors' market caps and Price-to-Free-Cash-Flow data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


The Hanover Insurance Group Price-to-Free-Cash-Flow Distribution

For the Insurance industry and Financial Services sector, The Hanover Insurance Group's Price-to-Free-Cash-Flow distribution charts can be found below:

* The bar in red indicates where The Hanover Insurance Group's Price-to-Free-Cash-Flow falls into.



The Hanover Insurance Group Price-to-Free-Cash-Flow Calculation

The Hanover Insurance Group's Price-to-Free-Cash-Flow ratio for today is calculated as

Price-to-Free-Cash-Flow Ratio=Share Price/ Free Cash Flow per Share (TTM)
=120.00/8.957
=13.40

The Hanover Insurance Group's Share Price of today is €120.00.
The Hanover Insurance Group's Free Cash Flow per Share for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was €8.96.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:

Price-to-Free-Cash-Flow Ratio=Market Cap/Free Cash Flow

The Hanover Insurance Group  (FRA:AF4) Price-to-Free-Cash-Flow Explanation

Free Cash Flow is considered more important than earnings by value investors. The reason is because, in principle, only the net cash that can be taken from the business belongs to shareholders. This Free Cash Flow can be used to grow the business, reduce debt or return to shareholders in dividends or share buybacks.

In a DCF Calculation Free Cash Flow is used to determine the intrinsic value of companies.


Be Aware

In real business, Free Cash Flow can be affected by the change in accounts receivable, accounts payable, management's decision on expansion, etc. Therefore, investors should look at the Free Cash Flow over the longer term. Long-term average of Free Cash Flow is a more reliable indicator for real free cash flow.


The Hanover Insurance Group Price-to-Free-Cash-Flow Related Terms

Thank you for viewing the detailed overview of The Hanover Insurance Group's Price-to-Free-Cash-Flow provided by GuruFocus.com. Please click on the following links to see related term pages.


The Hanover Insurance Group (FRA:AF4) Business Description

Traded in Other Exchanges
Address
440 Lincoln Street, Worcester, MA, USA, 01653
The Hanover Insurance Group Inc is a holding company whose primary business is offering property and casualty insurance products and services. The company markets itself through independent agents and brokers in the United States while conducting business internationally through a wholly owned subsidiary, Chaucer Holdings Limited, domiciled in the United Kingdom. The company conducts business operations through three operating segments: Commercial Lines, Personal Lines and Other. The company operates an investment portfolio that is primarily exposed to fixed-income securities.

The Hanover Insurance Group (FRA:AF4) Headlines

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