Chubb Ltd
Exchange: NYSESector: Financial ServicesIndustry: Insurance - Property & Casualty
Chubb is a world leader in insurance. With operations in 54 countries and territories, Chubb provides commercial and personal property and casualty insurance, personal accident and supplemental health insurance, reinsurance and life insurance to a diverse group of clients. The company is defined by its extensive product and service offerings, broad distribution capabilities, exceptional financial strength and local operations globally. Parent company Chubb Limited is listed on the New York Stock Exchange and is a component of the S&P 500 index. Chubb employs approximately 45,000 people worldwide.
Did you know?
A large-cap company with a $129.2B market cap.
Current Price
$328.33
+0.36%GoodMoat Value
$839.55
155.7% undervaluedProfile
Valuation (TTM)
Market Cap$129.21B
P/E12.53
EV$146.95B
P/B1.75
Shares Out393.55M
P/Sales2.18
Revenue$59.40B
EV/EBITDA10.71
Chubb Ltd (CB) Stock Analysis
GoodMoat Analysis
Chubb Ltd is a global property & casualty insurer with a strong competitive position and high-quality financials, trading at a valuation that appears deeply undervalued according to a GoodMoat DCF model. Its combination of a durable moat, high returns, and a significant margin of safety makes it a compelling candidate for a value investor's research list.
Read full analysis
Chubb Ltd is a leading global provider of property and casualty (P&C) insurance and reinsurance. Its competitive advantages, or moat, stem from its massive scale, global underwriting expertise, and strong brand reputation, which collectively create significant switching costs and pricing power. While the GoodMoat framework's 14-point checklist is geared towards tech, Chubb scores highly on criteria like scale privilege, brand, and pricing power, indicating a durable competitive position. The business demonstrates high quality, with a strong ROE of 14.0%, a robust operating margin of 23.2%, and a healthy free cash flow yield of 10.1%, supported by a conservative debt/equity ratio of 0.28. According to the GoodMoat Decision Framework, the stock passes the Moat & Quality Gate. The valuation is the most striking feature: with a P/E of 12.3 and a GoodMoat Target price of $839.55, the current price of $323.21 implies a margin of safety of over 60%, which falls into the 'Deeply Undervalued' band (>40%) per the framework's valuation assessment. This significant discount to estimated intrinsic value, coupled with the company's fundamental strength, makes Chubb Ltd a company very much worth investigating further for a value investor seeking a margin of safety. Analysis based on data as of 2024-05-15.
Market Cap$129.21B
Current Price$328.33
P/E Ratio12.53
Forward P/E—
PEG Ratio0.46
EPS$25.68
Book Value$187.41
P/B Ratio1.75
CB Financial Charts
FCF vs CAPEX
FCFCAPEX
Forward estimates use 12.4% FCF growth (CAGR)
Cash vs Debt
Net Debt: 18.5B
Revenue
34.2B
FY19
36.0B
FY20
40.9B
FY21
43.1B
FY22
49.7B
FY23
55.8B
FY24
59.4B
FY25
Net Income
4.5B
FY19
3.5B
FY20
8.5B
FY21
5.2B
FY22
9.0B
FY23
9.3B
FY24
10.3B
FY25
CB 52-Week Range
$263.46
$341.75
50-Day MA: $324.41200-Day MA: $293.97
Did you know?
Pays a 1.16% dividend yield.
Chubb Ltd (CB) Financial Summary
Chubb Ltd (CB) is a Financial Services company in the Insurance - Property & Casualty industry, listed on NYSE. The stock currently trades at $328.33 with a market capitalization of $129.21B.
Key valuation metrics include a P/E ratio of 12.53, price-to-book ratio of 1.75, and EPS of $25.68. The company reports a profit margin of 17.4% and return on equity of 14.0%.
CB Key Financial Metrics
| Metric | Value |
|---|---|
| Market Cap | $129.21B |
| P/E Ratio | 12.53 |
| EPS | $25.68 |
| P/B Ratio | 1.75 |
| P/S Ratio | 2.18 |
| EV/EBITDA | 10.71 |
| Dividend Yield | 1.16% |
| Profit Margin | 17.4% |
| Return on Equity | 14.0% |
| Debt/Equity | 0.28 |
CB Revenue & Earnings History
| Year | Revenue | Net Income |
|---|---|---|
| FY19 | $34.19B | $4.45B |
| FY20 | $35.99B | $3.53B |
| FY21 | $40.87B | $8.53B |
| FY22 | $43.10B | $5.25B |
| FY23 | $49.73B | $9.03B |
| FY24 | $55.75B | $9.27B |
| FY25 | $59.40B | $10.31B |
Chubb Ltd (CB) Valuation
Based on GoodMoat's DCF model, Chubb Ltd has a fair value estimate of $839.55. At the current price of $328.33, the stock appears 60.9% undervalued relative to our intrinsic value estimate.
CB Quality Indicators
Chubb Ltd maintains a profit margin of 17.4% and an operating margin of 23.2%. Return on equity stands at 14.0%. Debt-to-equity ratio is 0.28.
About Chubb Ltd
Chubb is a world leader in insurance. With operations in 54 countries and territories, Chubb provides commercial and personal property and casualty insurance, personal accident and supplemental health insurance, reinsurance and life insurance to a diverse group of clients. The company is defined by its extensive product and service offerings, broad distribution capabilities, exceptional financial strength and local operations globally. Parent company Chubb Limited is listed on the New York Stock Exchange and is a component of the S&P 500 index. Chubb employs approximately 45,000 people worldwide.
CB Free Cash Flow
Chubb Ltd generated $12.82B in trailing twelve-month free cash flow, representing an FCF yield of 9.92%. This strong FCF yield suggests the company generates substantial cash relative to its market value.
CB Shares Outstanding
Chubb Ltd has 0.39 billion shares outstanding at a share price of $328.33, giving it a market capitalization of $129.21B.
CB Recent Insider Trades
Recent insider transactions at Chubb Ltd include:
| Insider | Type | Shares | Value |
|---|---|---|---|
| Steimer Olivier (Director) | SELL | 2,000 | $658600.00 |
| Ohsiek George F. (Chief Accounting Officer) | SELL | 770 | $250407.85 |
| Johns Bryce L. (Senior Vice President,*) | SELL | 1,500 | $504925.05 |