CHUBB LTD (CB)
CH0044328745 - Common Stock
Taking everything into account, CB scores 5 out of 10 in our fundamental rating. CB was compared to 141 industry peers in the Insurance industry. While CB belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. CB has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year CB was profitable.
In the past year CB had a positive cash flow from operations.
In the past 5 years CB has always been profitable.
In the past 5 years CB always reported a positive cash flow from operatings.
1.2 Ratios
CB's Return On Assets of 3.95% is fine compared to the rest of the industry. CB outperforms 77.14% of its industry peers.
Looking at the Return On Equity, with a value of 15.33%, CB is in the better half of the industry, outperforming 69.29% of the companies in the same industry.
CB's Return On Invested Capital of 3.86% is fine compared to the rest of the industry. CB outperforms 75.71% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CB is in line with the industry average of 3.97%.
The last Return On Invested Capital (3.86%) for CB is above the 3 year average (3.70%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.95% | ||
| ROE | 15.33% | ||
| ROIC | 3.86% |
ROA(3y)3.62%
ROA(5y)3.04%
ROE(3y)13.33%
ROE(5y)10.8%
ROIC(3y)3.7%
ROIC(5y)3.18%
1.3 Margins
With an excellent Profit Margin value of 17.99%, CB belongs to the best of the industry, outperforming 82.14% of the companies in the same industry.
In the last couple of years the Profit Margin of CB has grown nicely.
CB has a better Operating Margin (19.31%) than 76.43% of its industry peers.
In the last couple of years the Operating Margin of CB has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.31% | ||
| PM (TTM) | 17.99% | ||
| GM | N/A |
OM growth 3Y23.23%
OM growth 5Y4.69%
PM growth 3Y22.75%
PM growth 5Y8.46%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
CB has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
CB has less shares outstanding than it did 1 year ago.
The number of shares outstanding for CB has been reduced compared to 5 years ago.
Compared to 1 year ago, CB has an improved debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of CB is 1.16, which is an excellent value as it means it would take CB, only 1.16 years of fcf income to pay off all of its debts.
CB's Debt to FCF ratio of 1.16 is fine compared to the rest of the industry. CB outperforms 65.00% of its industry peers.
A Debt/Equity ratio of 0.26 indicates that CB is not too dependend on debt financing.
CB has a Debt to Equity ratio of 0.26. This is in the better half of the industry: CB outperforms 67.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | 1.16 | ||
| Altman-Z | N/A |
ROIC/WACC0.78
WACC4.96%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 30.05% over the past year.
Measured over the past years, CB shows a quite strong growth in Earnings Per Share. The EPS has been growing by 15.97% on average per year.
CB shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 15.22%.
CB shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.70% yearly.
EPS 1Y (TTM)30.05%
EPS 3Y39.51%
EPS 5Y15.97%
EPS Q2Q%49.82%
Revenue 1Y (TTM)15.22%
Revenue growth 3Y11.38%
Revenue growth 5Y8.7%
Sales Q2Q%N/A
3.2 Future
CB is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.53% yearly.
The Revenue is expected to grow by 5.06% on average over the next years.
EPS Next Y12.5%
EPS Next 2Y10.99%
EPS Next 3Y10.3%
EPS Next 5Y3.53%
Revenue Next Year8.05%
Revenue Next 2Y7.29%
Revenue Next 3Y8.8%
Revenue Next 5Y5.06%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 13.63, which indicates a correct valuation of CB.
Compared to the rest of the industry, the Price/Earnings ratio of CB is on the same level as its industry peers.
CB's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 24.29.
Based on the Price/Forward Earnings ratio of 11.06, the valuation of CB can be described as reasonable.
CB's Price/Forward Earnings ratio is in line with the industry average.
CB is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 20.35, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.63 | ||
| Fwd PE | 11.06 |
4.2 Price Multiples
CB's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CB is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.06 | ||
| EV/EBITDA | 11.41 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of CB may justify a higher PE ratio.
PEG (NY)1.09
PEG (5Y)0.85
EPS Next 2Y10.99%
EPS Next 3Y10.3%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.40%, CB has a reasonable but not impressive dividend return.
CB's Dividend Yield is comparable with the industry average which is at 4.80.
Compared to the average S&P500 Dividend Yield of 2.29, CB is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.4% |
5.2 History
The dividend of CB has a limited annual growth rate of 3.25%.
CB has been paying a dividend for at least 10 years, so it has a reliable track record.
CB has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)3.25%
Div Incr Years7
Div Non Decr Years7
5.3 Sustainability
15.07% of the earnings are spent on dividend by CB. This is a low number and sustainable payout ratio.
The dividend of CB is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP15.07%
EPS Next 2Y10.99%
EPS Next 3Y10.3%
CHUBB LTD
NYSE:CB (7/26/2024, 2:42:07 PM)
After market: 270.06 0 (0%)270.06
+8.45 (+3.23%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap109.66B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.4% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.63 | ||
| Fwd PE | 11.06 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.09
PEG (5Y)0.85
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.95% | ||
| ROE | 15.33% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 19.31% | ||
| PM (TTM) | 17.99% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.26 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)30.05%
EPS 3Y39.51%
EPS 5Y
EPS Q2Q%
EPS Next Y12.5%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)15.22%
Revenue growth 3Y11.38%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y