# HCI Group (HCI.US)

Canonical: https://gigainvestors.com/s/HCI

Analysis as of: 2026-10-16T07:28:58.791Z. Financial observations: FY2015–FY2025.

Listing currency: USD. Reporting currency: USD.

## Verdict

A wonderful business at too high a price

Quality tests for Buy: pass (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: $196.38 per share; close as of 2026-10-15.

Estimated value: low $111.02 per share, central $138.77 per share, high $185.03 per share. Buy at or below the central value $138.77 per share. Valuation as of 2026-10-16T07:28:58.791Z; scenarios are not confidence intervals.

Expected annual return: 8.8% at the stated quote. About 8.8% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; US 10-year bond 5.1% + 4 points).

## Checklist

### understandable: pass

- Financial history: 10 years

- Profitable years in the last ten: 8

- Required profitable years: 8

- Return on common equity variation (informational): 1.97×

Chart: Net income; fiscal year observations.

- FY2016: $29M

- FY2017: -$6.9M

- FY2018: $18M

- FY2019: $25M

- FY2020: $26M

- FY2021: $1.8M

- FY2022: -$55M

- FY2023: $76M

- FY2024: $106M

- FY2025: $287M

### moat: pass

- Common book per share

- Parent-total proxy for preferred equity

- Underwriting economics assessed through return on tangible common equity

- Bank / P&C ROTE, median of available years: 12.7%

- Required median return: 12.0%

- Return uses tangible common equity: Yes

- Bank ROTE, second-lowest year: -3.6%

- Years with reported combined ratio: 0

Chart: Return on tangible common equity; fiscal year observations.

- FY2016: 12.2%

- FY2017: -3.6%

- FY2018: 10.4%

- FY2019: 13.9%

- FY2020: 13.2%

- FY2021: 0.6%

- FY2022: -36.2%

- FY2023: 24.1%

- FY2024: 23.6%

- FY2025: 29.3%

### economics: pass

- Common book per share

- Parent-total proxy for preferred equity

- Book value per share + reinvested dividends, annualized return: 20.8%

- Book return interval: 10 years

- Starting book value per share: $20.94

- Ending book value per share: $80.84

Chart: Annual book + dividend return; fiscal year observations.

- FY2016: 12.5%

- FY2017: 8.4%

- FY2018: 7.7%

- FY2019: -15.6%

- FY2020: 21.7%

- FY2021: 89.5%

- FY2022: -46.5%

- FY2023: 66.2%

- FY2024: 25.9%

- FY2025: 130.4%

### management: pass

- Common book per share

- Parent-total proxy for preferred equity

- Diluted shares, 10-year annual growth: 1.3%

- Diluted shares, 5-year annual growth: 5.8%

- Share growth excluding flagged crisis recapitalisations: 1.3%

- Five-year share growth excluding flagged crisis recapitalisations: 5.8%

- Flagged crisis recapitalisations: 0

- Book created / earnings retained after dividends and buybacks: 16.42×

- Book value created per share: $59.91

- Earnings retained per share after dividends and buybacks: $3.65

Chart: Shares (first year = 100); fiscal year observations.

- FY2015: 100

- FY2016: 96

- FY2017: 75

- FY2018: 70

- FY2019: 90

- FY2020: 85

- FY2021: 76

- FY2022: 78

- FY2023: 97

- FY2024: 112

- FY2025: 113

### accounting: pass

- Financial accounting warning count: 0

- Known restatement years: 0

## Holders

## Price story

The price assumes profits grow 7.2% a year forever · net income +171.1%

Story as of 2026-10-16T09:58:52.014Z; price observation 2026-10-15.

The price assumes profits grow 7.2% a year forever

- 2026-06-02: HCI Boosts Catastrophe Coverage to $4.06 Billion, Lowers Costs ([finance.yahoo.com](https://finance.yahoo.com/markets/stocks/articles/hci-boosts-catastrophe-coverage-4-154900511.html))

- 2026-08-06: HCI outlines over $10M per quarter reinsurance savings as GEICO begins selling new product ([seekingalpha.com](https://seekingalpha.com/news/4628660-hci-outlines-over-10m-per-quarter-reinsurance-savings-as-geico-begins-selling-new-product?utm_source=feed_news_all&utm_medium=referral&feed_item_type=news))

### Net income · FY2025

net income +171.1%; source https://www.sec.gov/Archives/edgar/data/1400810/000119312526076743/hci-20251231.htm; observed 2026-02-26.

- FY2016: $29M 

- FY2017: -$6.9M 

- FY2018: $18M 

- FY2019: $25M 

- FY2020: $26M 

- FY2021: $1.8M 

- FY2022: -$55M 

- FY2023: $76M 

- FY2024: $106M 

- FY2025: $287M 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in insurance property & casualty; annual sales are USD 900.9 million.

- Source: https://www.sec.gov/Archives/edgar/data/1400810/000119312526076743/hci-20251231.htm#000119312526076743 (filed 2026-02-26); FY2025: revenue 900946000.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-15); HCI.US: HCI Group, Inc., together with its subsidiaries, engages in the property and casualty insurance business in the United States. The company operates through Insurance Operations, Exzeo, Reciprocal Exchange Operations, and Real Estate segments. It provides homeowners' property and casualty insurance products; claim adjusting and processing services; turnkey insurance technology and operations solutions to property and casualty insurance carriers and its agents through the Exzeo platform; and SAMSTM, a web-based system designed to automate and streamline the process of managing insurance policies. The company also offers Harmony, a policy administration platform; ClaimColony, an end-to-end claims management platform; AtlasViewer, a mapping and data visualization platform. In addition, it is involved in reciprocal exchange operations; and developing and operating commercial properties for investment purposes. The company was formerly known as Homeowners Choice, Inc. and changed its name to HCI Group, Inc. in May 2013. HCI Group, Inc. was incorporated in 2006 and is headquartered in Tampa, Florida.

### Why customers stay

It earns 12.7% on shareholders’ money, excluding intangible assets.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-26); 10-year return on tangible equity observations [[2016,0.12150456149752771],[2017,-0.03647475923378135],[2018,0.10440384735140766],[2019,0.13856002999707748],[2020,0.1321975218658892],[2021,0.005858107179059185],[2022,-0.362115012695865],[2023,0.24089802764326068],[2024,0.23618974085471306],[2025,0.2932177481321628]]; median 0.12685104168170847. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 10 of 10 years; bought back USD 1.5 million of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-26); Dividend observations: [[2016,12438000],[2017,13906000],[2018,11318000],[2019,13012000],[2020,12694000],[2021,14065000],[2022,15233000],[2023,13719000],[2024,16598000],[2025,19289000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://www.sec.gov/Archives/edgar/data/1400810/000119312526076743/hci-20251231.htm (filed 2026-02-26); FY2025: cash repurchases 1524000 USD.

### Are managers owners

Insiders own 14.7% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-15); HCI.US SharesStats.PercentInsiders = 14.655999999999999 percentage points; cache date 2026-10-15.

### What the price says

The price assumes profits grow 7.2% a year forever.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-26); Price 196.38; FX 1; original perpetual distributable cash 5.550852914414779; discount 0.1; growth 0.0717341230552257. Same book-value model and 4× ceiling; no ten-year operating fade applies. Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2016-10: $27.11 per share

- 2016-11: $32.34 per share

- 2016-12: $39.48 per share

- 2017-01: $41.36 per share

- 2017-02: $49.30 per share

- 2017-03: $45.58 per share

- 2017-04: $47.69 per share

- 2017-05: $44.47 per share

- 2017-06: $46.98 per share

- 2017-07: $45.09 per share

- 2017-08: $38.99 per share

- 2017-09: $38.25 per share

- 2017-10: $37.46 per share

- 2017-11: $30.07 per share

- 2017-12: $29.90 per share

- 2018-01: $34.95 per share

- 2018-02: $34.63 per share

- 2018-03: $38.16 per share

- 2018-04: $41.89 per share

- 2018-05: $41.46 per share

- 2018-06: $41.57 per share

- 2018-07: $42.79 per share

- 2018-08: $40.50 per share

- 2018-09: $43.75 per share

- 2018-10: $43.67 per share

- 2018-11: $54.35 per share

- 2018-12: $50.81 per share

- 2019-01: $47.38 per share

- 2019-02: $46.16 per share

- 2019-03: $42.73 per share

- 2019-04: $42.62 per share

- 2019-05: $40.65 per share

- 2019-06: $40.47 per share

- 2019-07: $40.09 per share

- 2019-08: $38.97 per share

- 2019-09: $42.04 per share

- 2019-10: $42.05 per share

- 2019-11: $46.30 per share

- 2019-12: $45.65 per share

- 2020-01: $44.27 per share

- 2020-02: $42.52 per share

- 2020-03: $40.25 per share

- 2020-04: $41.65 per share

- 2020-05: $44.85 per share

- 2020-06: $46.18 per share

- 2020-07: $44.62 per share

- 2020-08: $54.72 per share

- 2020-09: $49.29 per share

- 2020-10: $46.98 per share

- 2020-11: $52.15 per share

- 2020-12: $52.30 per share

- 2021-01: $55.63 per share

- 2021-02: $57.87 per share

- 2021-03: $76.82 per share

- 2021-04: $73.42 per share

- 2021-05: $80.56 per share

- 2021-06: $99.43 per share

- 2021-07: $100.48 per share

- 2021-08: $111.66 per share

- 2021-09: $110.77 per share

- 2021-10: $134.01 per share

- 2021-11: $110.40 per share

- 2021-12: $83.54 per share

- 2022-01: $67.87 per share

- 2022-02: $62.26 per share

- 2022-03: $68.18 per share

- 2022-04: $64.09 per share

- 2022-05: $67.97 per share

- 2022-06: $67.76 per share

- 2022-07: $68.47 per share

- 2022-08: $47.79 per share

- 2022-09: $39.20 per share

- 2022-10: $36.64 per share

- 2022-11: $37.42 per share

- 2022-12: $39.59 per share

- 2023-01: $50.21 per share

- 2023-02: $52.50 per share

- 2023-03: $53.60 per share

- 2023-04: $50.66 per share

- 2023-05: $52.89 per share

- 2023-06: $61.78 per share

- 2023-07: $62.81 per share

- 2023-08: $53.28 per share

- 2023-09: $54.29 per share

- 2023-10: $58.97 per share

- 2023-11: $84.77 per share

- 2023-12: $87.40 per share

- 2024-01: $89.67 per share

- 2024-02: $97.62 per share

- 2024-03: $116.08 per share

- 2024-04: $114.18 per share

- 2024-05: $95.88 per share

- 2024-06: $92.17 per share

- 2024-07: $94.26 per share

- 2024-08: $95.83 per share

- 2024-09: $107.06 per share

- 2024-10: $113.31 per share

- 2024-11: $121.87 per share

- 2024-12: $116.53 per share

- 2025-01: $121.93 per share

- 2025-02: $131.66 per share

- 2025-03: $149.23 per share

- 2025-04: $146.30 per share

- 2025-05: $168.77 per share

- 2025-06: $152.20 per share

- 2025-07: $140.04 per share

- 2025-08: $166.71 per share

- 2025-09: $191.93 per share

- 2025-10: $204.01 per share

- 2025-11: $177.75 per share

- 2025-12: $191.69 per share

- 2026-01: $158.67 per share

- 2026-02: $176.42 per share

- 2026-03: $154.61 per share

- 2026-04: $153.57 per share

- 2026-05: $154.07 per share

- 2026-06: $175.25 per share

- 2026-07: $175.01 per share

- 2026-08: $185.73 per share

- 2026-09: $173.82 per share

- 2026-10: $196.38 per share

## Annual estimated value (USD per share)

- FY2016: low $70.29 per share, central $87.87 per share, high $117.16 per share

- FY2017: low $50.19 per share, central $55.21 per share, high $61.34 per share

- FY2018: low $40.41 per share, central $44.45 per share, high $49.39 per share

- FY2019: low $24.43 per share, central $26.87 per share, high $29.86 per share

- FY2020: low $37.39 per share, central $46.73 per share, high $62.31 per share

- FY2021: low $60.56 per share, central $75.70 per share, high $100.93 per share

- FY2022: low $24.33 per share, central $30.41 per share, high $40.55 per share

- FY2023: low $40.52 per share, central $50.66 per share, high $67.54 per share

- FY2024: low $49.84 per share, central $62.30 per share, high $83.07 per share

- FY2025: low $107.23 per share, central $134.04 per share, high $178.72 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

[Original 10-K filing](https://www.sec.gov/Archives/edgar/data/1400810/000119312526076743/hci-20251231.htm); period 2025-12-31, filed 2026-02-26.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.