Chubb (NYSE:CB) Posts Earnings Results, Beats Expectations By $0.30 EPS

Chubb (NYSE:CB - Get Free Report) announced its earnings results on Tuesday. The financial services provider reported $6.14 earnings per share for the quarter, topping the consensus estimate of $5.84 by $0.30, Zacks reports. Chubb had a net margin of 15.05% and a return on equity of 12.37%.

Chubb Stock Performance

CB stock traded up $5.04 during trading on Tuesday, hitting $279.06. 2,329,973 shares of the company's stock traded hands, compared to its average volume of 1,652,319. The company has a quick ratio of 0.28, a current ratio of 0.28 and a debt-to-equity ratio of 0.21. Chubb has a 52 week low of $252.16 and a 52 week high of $306.91. The stock has a fifty day moving average price of $286.14 and a two-hundred day moving average price of $282.31. The stock has a market capitalization of $111.83 billion, a price-to-earnings ratio of 13.43, a price-to-earnings-growth ratio of 3.05 and a beta of 0.53.

Chubb Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, July 3rd. Investors of record on Friday, June 13th were issued a $0.97 dividend. The ex-dividend date of this dividend was Friday, June 13th. This is a boost from Chubb's previous quarterly dividend of $0.91. This represents a $3.88 annualized dividend and a yield of 1.39%. Chubb's dividend payout ratio is currently 18.67%.

Insider Buying and Selling at Chubb

In other news, insider John J. Lupica sold 5,513 shares of the business's 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 completion of the transaction, the insider owned 91,180 shares of the company's stock, valued at approximately $26,447,670.80. The trade was a 5.70% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. 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 transaction, the chief operating officer directly owned 247,538 shares of the company's stock, valued at approximately $72,526,158.62. This trade represents a 3.81% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders have sold 100,390 shares of company stock valued at $29,163,135. 0.86% of the stock is owned by insiders.

Institutional Investors Weigh In On Chubb

Institutional investors have recently bought and sold shares of the stock. Revolve Wealth Partners LLC bought a new stake in Chubb in the fourth quarter worth about $205,000. Brighton Jones LLC raised its position in Chubb by 12.8% in 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 in the last quarter. Finally, Woodline Partners LP raised its position in Chubb by 13.0% in the first quarter. Woodline Partners LP now owns 12,599 shares of the financial services provider's stock worth $3,805,000 after acquiring an additional 1,449 shares in the last quarter. Institutional investors and hedge funds own 83.81% of the company's stock.

Analyst Upgrades and Downgrades

Several research analysts have recently issued reports on the stock. UBS Group upped their target price on shares of Chubb from $303.00 to $304.00 and gave the company a "neutral" rating in a report on Monday, April 28th. Jefferies Financial Group increased their price target on shares of Chubb from $307.00 to $308.00 and gave the company a "hold" rating in a report on Friday, April 11th. JPMorgan Chase & Co. raised their target price on shares of Chubb from $300.00 to $307.00 and gave the company a "neutral" rating in a report on Tuesday, April 8th. Morgan Stanley raised their target price on shares of Chubb from $280.00 to $300.00 and gave the company an "equal weight" rating in a report on Monday, May 19th. Finally, Deutsche Bank Aktiengesellschaft cut shares of Chubb from a "buy" rating to a "hold" rating and set a $303.00 price target on the stock. in a research note on Tuesday, May 20th. One equities research analyst has rated the stock with a sell rating, seven have issued a hold rating, seven have issued a buy rating and two have assigned a strong buy rating to the company. According to MarketBeat, the stock has an average rating of "Moderate Buy" and an average target price of $307.13.

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

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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