How Investors May Respond To Hagerty (HGTY) Broad Arrow’s Surging Private Sales And Global Expansion

• In 2025, Hagerty’s Broad Arrow subsidiary recorded more than US$624 million in total transaction value across auctions, private sales, and financing, reflecting very large year-over-year growth and successful expansion into Europe and other new venues.
• An interesting shift was that Broad Arrow Private Sales surpassed auction totals for the first time, highlighting growing demand for discreet, high-value collector car transactions alongside the unit’s broader global expansion.
• We’ll now examine how Broad Arrow’s rapid growth and the rise of private sales reshape Hagerty’s existing investment narrative and risk profile.

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Hagerty Investment Narrative Recap

To own Hagerty, you need to believe that collectible car enthusiasm can support an expanding ecosystem of insurance, marketplaces, and financing, even as demographics and soft valuations create long term questions. Broad Arrow’s US$624 million in 2025 transactions strengthens the near term growth story around non insurance revenue, but it does not remove the key risk that classic car demand could cool or that international marketplace investments fail to scale profitably.

Against this backdrop, Hagerty’s raised 2025 guidance to US$1.368 billion to US$1.38 billion of revenue and US$124 million to US$129 million of net income is particularly relevant, because it implicitly bakes marketplace progress like Broad Arrow into expectations and raises the bar for execution. If Broad Arrow’s rapid expansion in Europe stalls or collector car valuations stay soft, that guidance could prove harder to deliver.

Yet investors should also be aware that Hagerty’s reliance on international marketplace expansion leaves it more exposed if...

Read the full narrative on Hagerty (it's free!)

Hagerty's narrative projects $1.8 billion revenue and $228.5 million earnings by 2028. This requires 11.1% yearly revenue growth and roughly a $210 million earnings increase from $18.4 million today.

Uncover how Hagerty's forecasts yield a $13.71 fair value, a 5% upside to its current price.

Exploring Other Perspectives

One Simply Wall St Community member currently pegs Hagerty’s fair value at US$3.94, far below the recent market price, underscoring how sharply individual views can diverge. Set against Broad Arrow’s rapid growth and Hagerty’s dependence on international marketplace expansion, this gap invites you to compare multiple perspectives before forming a view on the company’s long term prospects.

Explore another fair value estimate on Hagerty - why the stock might be worth less than half the current price!

Build Your Own Hagerty Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Hagerty research is our analysis highlighting 2 key rewards that could impact your investment decision.
• Our free Hagerty research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Hagerty's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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