Heritage: Still Growing, But The Stock Is Correcting

David Zanoni12K FollowersFollow5ShareSavePlay(10min)CommentsSummaryHeritage Insurance delivered robust Q4 2025 results, with revenue up 2.4% YoY to $215M and GAAP EPS surging 226% YoY to $2.15.The company achieved rate adequacy in 90% of its regions, increased new business premium production by 60% YoY, and maintained a diversified, data-driven portfolio.Looking ahead to 2026, HRTG plans a Texas expansion and deeper AI integration and expects continued reinsurance pricing improvements driven by favorable tort reform trends.The two factors I don't like are that the valuation is less compelling than it was a few years ago, and the stock is in a correction mode. af_istocker/iStock via Getty Images I'm continuing my coverage of Heritage Insurance Holdings, Inc. (HRTG), which I last wrote about in May 2025. The stock has increased 367% since I initiated coverage on the company back inThis article was written byDavid Zanoni12K FollowersFollowDavid focuses on growth & momentum stocks that are reasonably priced and likely to outperform the market over the long-term. He is a long term investor of quality stocks and uses options for strategy. David told investors to buy in March 2009 at the bottom of the financial crisis. The S&P 500 increased 367% and the Nasdaq increased 685% from 2009 through 2019. He wants to help make people money by investing in high-quality growth stocks.Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. The article is for informational purposes only (not a solicitation or recommendation to buy or sell stocks). David is not a registered investment adviser. Investors should do their own research or consult a financial adviser to determine what investments are appropriate for their individual situation. This article expresses my opinions, and I cannot guarantee that the information/results will be accurate. Investing in stocks involves risk and could result in losses.Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.