Hagerty, Inc. (HGTY): A Bull Case Theory 

We came across a bullish thesis on Hagerty, Inc. on The Catholic Capitalist’s Substack by Logan Shearer. In this article, we will summarize the bulls’ thesis on HGTY. Hagerty, Inc.’s share was trading at $12.29 as of September 23rd. HGTY’s trailing and forward P/E were 61.45 and 27.32 respectively according to Yahoo Finance.

Hagerty represents a compelling investment in the classic-car insurance and enthusiast ecosystem, benefiting from a combination of high-growth revenues, expanding margins, and an aligned management team deeply embedded in the business. The company dominates a niche market where pricing complexity, driven by vintage car rarity and VIN variability, creates a high barrier to entry. Hagerty’s proprietary data and valuation tools give it a multi-year head start in accurately pricing collectible cars, while its direct-to-consumer platform, agency partnerships, and ecosystem offerings—including the Hagerty Drivers Club and a marketplace for auctions and private sales—strengthen customer retention and create a defensible network effect.

The insurance operation is highly profitable, with a low combined ratio, strong underwriting discipline, and a transition to a fronting agreement with Markel that enables regulatory efficiency and full control over premiums and investments. Hagerty’s auction business, led by seasoned executives from Sotheby’s and RM Sotheby’s, is positioned to grow significantly, leveraging the company’s niche brand and network to expand both domestically and internationally. With ROIC projected above 18% against a 9% cost of capital, Hagerty demonstrates substantial economic value creation, and its culture, high Net Promoter Score, and over 90% customer retention highlight both operational excellence and brand loyalty.

Risks include catastrophe exposure, key-person reliance on McKeel Hagerty, and evolving classic car market dynamics, while valuation is tempered by ambitious 20% EBITDA growth assumptions. Nonetheless, Hagerty’s combination of a differentiated insurance franchise, ecosystem flywheel, and high-quality management provides a strong moat, attractive behavioral bias, and multi-year growth potential, making it a rare opportunity in a highly specialized segment with meaningful upside for patient investors.

Previously we covered a bullish thesis on Lemonade, Inc. (LMND) by Oliver | MMMT Wealth in April 2025, which highlighted the company’s resilience through a diversified insurance portfolio, limited tariff exposure, and insulation from macroeconomic volatility. The stock has appreciated approximately 104.62% since our coverage as its model proved durable. Logan Shearer shares a similar perspective but emphasizes Hagerty’s niche classic-car insurance ecosystem and marketplace growth.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy NOW 

Disclosure: None.