Hiscox Ltd

LSE:HSX Stock Report

Market Cap: UK£5.1b

Hiscox Valuation

Is HSX undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Future Cash Flow Value

What is the Fair Price of HSX when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Ultimate guide to DCF valuation for stock investing

Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: HSX (£15.84) is trading below our estimate of future cash flow value (£33.51)

Significantly Below Future Cash Flow Value: HSX is trading below future cash flow value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for HSX?

Key metric: As HSX is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for HSX. This is calculated by dividing HSX's market cap by their current earnings.
What is HSX's PE Ratio?
PE Ratio11.5x
EarningsUS$604.10m
Market CapUS$6.94b

Price to Earnings Ratio vs Peers

How does HSX's PE Ratio compare to its peers?

The above table shows the PE ratio for HSX vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average10.5x
BEZ Beazley
11.2x-10.71%UK£7.5b
ADM Admiral Group
13.5x4.77%UK£10.1b
LRE Lancashire Holdings
6.8x-1.40%UK£1.5b
SBRE Sabre Insurance Group
10.4x6.17%UK£394.8m
HSX Hiscox
11.5x5.23%UK£5.1b

Price-To-Earnings vs Peers: HSX is expensive based on its Price-To-Earnings Ratio (11.5x) compared to the peer average (10.5x).

Historical Price to Earnings Ratio

Historical Price to Earnings Ratio compares a stock's price to its earnings over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data

Price to Earnings Ratio vs Industry

How does HSX's PE Ratio compare vs other companies in the European Insurance Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
HSX 11.5xIndustry Avg. 13.3xNo. of Companies15PE0816243240+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: HSX is good value based on its Price-To-Earnings Ratio (11.5x) compared to the European Insurance industry average (13.1x).

Price to Earnings Ratio vs Fair Ratio

What is HSX's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

HSX PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio11.5x
Fair PE Ratio12.4x

Price-To-Earnings vs Fair Ratio: HSX is good value based on its Price-To-Earnings Ratio (11.5x) compared to the estimated Fair Price-To-Earnings Ratio (12.4x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst HSX forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUK£15.89
UK£16.03
+0.90%
12.02%UK£17.87UK£11.32n/a13
Apr ’27UK£15.41
UK£16.26
+5.54%
11.75%UK£17.91UK£11.53n/a13
Mar ’27UK£15.48
UK£15.78
+1.95%
12.85%UK£17.68UK£10.73n/a13
Feb ’27UK£14.82
UK£14.74
-0.51%
11.68%UK£16.84UK£10.30n/a13
Jan ’27UK£14.23
UK£14.53
+2.12%
10.42%UK£16.70UK£10.46n/a14
Dec ’26UK£13.26
UK£14.68
+10.69%
10.10%UK£16.99UK£10.64n/a14
Nov ’26UK£13.75
UK£15.15
+10.21%
6.71%UK£17.13UK£13.32n/a15
Oct ’26UK£13.87
UK£14.62
+5.44%
6.73%UK£16.91UK£12.98n/a15
Sep ’26UK£12.98
UK£14.51
+11.79%
6.81%UK£16.87UK£12.95n/a15
Aug ’26UK£12.68
UK£14.50
+14.33%
5.43%UK£16.31UK£13.18n/a15
Jul ’26UK£12.47
UK£13.59
+8.95%
8.24%UK£15.74UK£10.92n/a15
Jun ’26UK£12.61
UK£12.77
+1.27%
9.67%UK£14.50UK£9.97n/a16
May ’26UK£11.09
UK£12.48
+12.53%
10.25%UK£14.27UK£10.01n/a15
Apr ’26UK£12.08
UK£12.61
+4.38%
9.47%UK£14.67UK£10.02UK£15.4114
Mar ’26UK£11.86
UK£12.81
+8.04%
10.00%UK£15.49UK£10.03UK£15.4814
Feb ’26UK£10.93
UK£13.05
+19.44%
9.86%UK£15.72UK£10.13UK£14.8214
Jan ’26UK£10.83
UK£12.85
+18.63%
10.37%UK£15.34UK£9.88UK£14.2314
Dec ’25UK£10.50
UK£12.90
+22.82%
10.49%UK£15.29UK£9.85UK£13.2614
Nov ’25UK£10.94
UK£13.07
+19.45%
7.14%UK£14.92UK£11.29UK£13.7514
Oct ’25UK£11.28
UK£12.90
+14.40%
6.92%UK£14.50UK£11.06UK£13.8716
Sep ’25UK£11.77
UK£12.66
+7.57%
9.60%UK£14.67UK£9.84UK£12.9816
Aug ’25UK£12.45
UK£13.00
+4.41%
11.65%UK£15.45UK£9.62UK£12.6816
Jul ’25UK£11.34
UK£13.00
+14.67%
11.32%UK£15.57UK£9.70UK£12.4716
Jun ’25UK£11.42
UK£12.77
+11.83%
11.06%UK£15.43UK£9.69UK£12.6116
May ’25UK£12.17
UK£12.90
+5.96%
10.66%UK£15.68UK£9.84UK£11.0916
Apr ’25UK£12.40
UK£12.68
+2.24%
11.67%UK£15.58UK£9.78UK£12.0816
UK£16.03
Fair Value
0.9% undervalued intrinsic discount
13
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/04/15 17:38
End of Day Share Price 2026/04/15 00:00
Earnings2025/12/31
Annual Earnings2025/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Hiscox Ltd is covered by 25 analysts. 7 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Ivan BokhmatBarclays
Michael ChristodoulouBerenberg
Thomas SeidlBernstein