Chubb (NYSE:CB) Announces Earnings Results

Chubb (NYSE:CB - Get Free Report) posted its earnings results on Tuesday. The financial services provider reported $6.14 EPS for the quarter, topping the consensus estimate of $5.84 by $0.30, Zacks reports. The firm had revenue of $14.20 billion during the quarter, compared to analysts' expectations of $12.53 billion. Chubb had a net margin of 16.08% and a return on equity of 12.55%. Chubb's quarterly revenue was up 6.3% on a year-over-year basis. During the same quarter in the prior year, the firm earned $5.38 EPS.

Chubb Price Performance

CB traded up $0.79 during trading on Thursday, hitting $270.94. 644,786 shares of the stock traded hands, compared to its average volume of 1,773,775. The company has a market cap of $108.57 billion, a price-to-earnings ratio of 11.95, a PEG ratio of 3.09 and a beta of 0.53. The business has a 50 day moving average price of $285.47 and a 200 day moving average price of $282.21. The company has a debt-to-equity ratio of 0.21, a current ratio of 0.28 and a quick ratio of 0.28. Chubb has a twelve month low of $252.16 and a twelve month high of $306.91.

Chubb Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, July 3rd. Stockholders of record on Friday, June 13th were paid a $0.97 dividend. The ex-dividend date was Friday, June 13th. This is a boost from Chubb's previous quarterly dividend of $0.91. This represents a $3.88 dividend on an annualized basis and a dividend yield of 1.43%. Chubb's dividend payout ratio is 18.67%.

Insider Transactions at Chubb

In other news, insider John J. Lupica sold 5,513 shares of Chubb stock in a transaction on Tuesday, July 1st. The shares were sold at an average price of $290.06, for a total transaction of $1,599,100.78. Following the transaction, the insider owned 91,180 shares in the company, valued at $26,447,670.80. This trade represents a 5.70% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, COO John W. Keogh sold 9,794 shares of the business's stock in a transaction on Friday, June 6th. The shares were sold at an average price of $292.99, for a total transaction of $2,869,544.06. Following the sale, the chief operating officer directly owned 247,538 shares of the company's stock, valued at $72,526,158.62. This represents a 3.81% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 100,390 shares of company stock worth $29,163,135 in the last 90 days. 0.77% of the stock is currently owned by company insiders.

Institutional Trading of Chubb

Institutional investors have recently made changes to their positions in the company. Revolve Wealth Partners LLC acquired a new stake in shares of Chubb during the fourth quarter worth about $205,000. Brighton Jones LLC increased its position in shares of Chubb by 12.8% during the fourth quarter. Brighton Jones LLC now owns 1,945 shares of the financial services provider's stock worth $537,000 after acquiring an additional 221 shares during the last quarter. Finally, Woodline Partners LP grew its position in shares of Chubb by 13.0% during the 1st quarter. Woodline Partners LP now owns 12,599 shares of the financial services provider's stock valued at $3,805,000 after buying an additional 1,449 shares during the last quarter. Hedge funds and other institutional investors own 83.81% of the company's stock.

Chubb announced that its board has authorized a share repurchase plan on Thursday, May 15th that allows the company to repurchase $5.00 billion in shares. This repurchase authorization allows the financial services provider to purchase up to 4.3% of its stock through open market purchases. Stock repurchase plans are usually an indication that the company's management believes its shares are undervalued.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently commented on the stock. Raymond James Financial reiterated a "strong-buy" rating on shares of Chubb in a research report on Thursday, April 24th. Keefe, Bruyette & Woods lifted their target price on Chubb from $314.00 to $324.00 and gave the stock an "outperform" rating in a research note on Wednesday, July 9th. Jefferies Financial Group raised their target price on shares of Chubb from $307.00 to $308.00 and gave the stock a "hold" rating in a report on Friday, April 11th. JPMorgan Chase & Co. upped their price target on shares of Chubb from $300.00 to $307.00 and gave the company a "neutral" rating in a research report on Tuesday, April 8th. Finally, Wells Fargo & Company reduced their target price on Chubb from $285.00 to $267.00 and set an "equal weight" rating on the stock in a research note on Thursday. One equities research analyst has rated the stock with a sell rating, eight have assigned a hold rating, six have issued a buy rating and two have issued a strong buy rating to the company. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $302.47.

Chubb Company Profile

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.