Chubb (NYSE:CB) Given New $292.00 Price Target at UBS Group

Key Points

• UBS Group has decreased its price target for Chubb's shares from $304.00 to $292.00, maintaining a "neutral" rating which suggests a potential upside of 9.83% from the current stock price.
• Chubb's recent earnings report exceeded expectations, with an EPS of $6.14 compared to analyst estimates of $5.84, and revenue significantly surpassing projections at $14.20 billion.
• The company has authorized a $5.00 billion stock buyback program, indicating management's belief that the stock is currently undervalued.

Chubb (NYSE:CB - Get Free Report) had its price target decreased by UBS Group from $304.00 to $292.00 in a research note issued on Monday,Benzinga reports. The firm presently has a "neutral" rating on the financial services provider's stock. UBS Group's target price suggests a potential upside of 9.83% from the company's current price.

Several other research analysts also recently commented on CB. Morgan Stanley boosted their price objective on shares of Chubb from $280.00 to $300.00 and gave the company an "equal weight" rating in a research report on Monday, May 19th. JPMorgan Chase & Co. upped their price target on shares of Chubb from $300.00 to $307.00 and gave the stock a "neutral" rating in a report on Tuesday, April 8th. Piper Sandler reiterated a "neutral" rating and set a $283.00 price target (down from $335.00) on shares of Chubb in a report on Thursday. Evercore ISI set a $312.00 price target on shares of Chubb in a report on Wednesday, July 23rd. Finally, Barclays downgraded shares of Chubb from an "overweight" rating to an "equal weight" rating and lowered their price target for the stock from $321.00 to $298.00 in a report on Monday, July 7th. One investment analyst has rated the stock with a sell rating, eight have assigned a hold rating, five have issued a buy rating and two have given a strong buy rating to the stock. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $303.14.

Chubb Stock Down 1.2%

Shares of NYSE:CB traded down $3.28 during midday trading on Monday, reaching $265.87. The company had a trading volume of 2,541,489 shares, compared to its average volume of 1,798,728. The company has a quick ratio of 0.28, a current ratio of 0.34 and a debt-to-equity ratio of 0.21. The business's 50 day moving average price is $284.54 and its 200 day moving average price is $282.46. The stock has a market cap of $106.54 billion, a PE ratio of 11.73, a P/E/G ratio of 3.07 and a beta of 0.53. Chubb has a 1-year low of $252.16 and a 1-year high of $306.91.

Chubb (NYSE:CB - Get Free Report) last issued its quarterly earnings data on Tuesday, July 22nd. The financial services provider reported $6.14 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $5.84 by $0.30. The company had revenue of $14.20 billion during the quarter, compared to analysts' expectations of $12.53 billion. Chubb had a return on equity of 12.34% and a net margin of 16.08%. The business's revenue was up 6.3% on a year-over-year basis. During the same quarter in the previous year, the company posted $5.38 earnings per share. Research analysts forecast that Chubb will post 21.52 EPS for the current fiscal year.

Chubb declared that its Board of Directors has authorized a stock buyback program on Thursday, May 15th that allows the company to buyback $5.00 billion in outstanding shares. This buyback authorization allows the financial services provider to reacquire up to 4.3% of its stock through open market purchases. Stock buyback programs are often a sign that the company's board of directors believes its stock is undervalued.

Insider Activity

In other Chubb news, COO John W. Keogh sold 9,794 shares of Chubb stock in a transaction on Friday, June 6th. The shares were sold at an average price of $292.99, for a total value of $2,869,544.06. Following the sale, the chief operating officer directly owned 247,538 shares in the company, valued at approximately $72,526,158.62. The trade was a 3.81% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Michael Corbat purchased 425 shares of Chubb stock in a transaction on Friday, July 25th. The stock was bought at an average price of $269.80 per share, for a total transaction of $114,665.00. Following the completion of the acquisition, the director owned 2,450 shares in the company, valued at $661,010. The trade was a 20.99% increase in their position. The disclosure for this purchase can be found here. Insiders have sold 100,390 shares of company stock worth $29,163,135 in the last three months. Company insiders own 0.77% of the company's stock.

Hedge Funds Weigh In On Chubb

A number of institutional investors and hedge funds have recently made changes to their positions in the business. Demars Financial Group LLC lifted its position in shares of Chubb by 26,761.4% in the 4th quarter. Demars Financial Group LLC now owns 5,360,455 shares of the financial services provider's stock worth $1,481,094,000 after purchasing an additional 5,340,499 shares during the period. GQG Partners LLC lifted its position in shares of Chubb by 112.1% in the 1st quarter. GQG Partners LLC now owns 9,394,018 shares of the financial services provider's stock worth $2,836,899,000 after purchasing an additional 4,964,298 shares during the period. GAMMA Investing LLC raised its stake in shares of Chubb by 36,831.3% during the 1st quarter. GAMMA Investing LLC now owns 2,084,033 shares of the financial services provider's stock worth $629,357,000 after acquiring an additional 2,078,390 shares in the last quarter. Nuveen LLC acquired a new stake in Chubb in the first quarter valued at approximately $562,221,000. Finally, Royal Bank of Canada boosted its stake in Chubb by 46.7% in the fourth quarter. Royal Bank of Canada now owns 4,406,052 shares of the financial services provider's stock valued at $1,217,392,000 after acquiring an additional 1,403,545 shares in the last quarter. 83.81% of the stock is owned by hedge funds and other institutional investors.

About Chubb

Chubb Limited provides insurance and reinsurance products worldwide. The company's North America Commercial P&C Insurance segment offers commercial property, casualty, workers' compensation, package policies, risk management, financial lines, marine, construction, environmental, medical risk, cyber risk, surety, and casualty; and group accident and health insurance to large, middle market, and small commercial businesses.

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