Chubb (NYSE:CB) Raised to Hold at Cantor Fitzgerald

Key Points

• Chubb (NYSE:CB) has been upgraded to a "hold" rating by Cantor Fitzgerald, following a series of mixed ratings from other analysts, including a downgrade from Barclays and a reaffirmation of "strong-buy" by Raymond James.
• The company's stock price has recently opened at $275.04, with a current market cap of $109.66 billion and a consensus price target of $302.31 from analysts.
• Chubb also announced a stock buyback plan allowing for the repurchase of $5.00 billion in shares, which indicates potential confidence in the stock's valuation from the board of directors.

Chubb (NYSE:CB - Get Free Report) was upgraded by equities researchers at Cantor Fitzgerald to a "hold" rating in a research report issued to clients and investors on Wednesday,Zacks.com reports.

CB has been the topic of several other research reports. Barclays lowered Chubb from an "overweight" rating to an "equal weight" rating and cut their target price for the company from $321.00 to $298.00 in a research report on Monday, July 7th. Raymond James Financial reaffirmed a "strong-buy" rating on shares of Chubb in a research report on Thursday, April 24th. Wells Fargo & Company cut their target price on shares of Chubb from $285.00 to $267.00 and set an "equal weight" rating on the stock in a research note on Thursday, July 24th. UBS Group reduced their target price on Chubb from $304.00 to $292.00 and set a "neutral" rating for the company in a research note on Monday, July 28th. Finally, Piper Sandler reaffirmed a "neutral" rating and set a $283.00 price target (down from $335.00) on shares of Chubb in a research note on Thursday, July 24th. One analyst has rated the stock with a sell rating, eleven have issued a hold rating, five have issued a buy rating and one has assigned a strong buy rating to the company's stock. According to MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus price target of $302.31.

Chubb Stock Up 2.0%

Shares of NYSE:CB opened at $275.04 on Wednesday. The business has a fifty day simple moving average of $278.56 and a 200 day simple moving average of $282.43. The company has a quick ratio of 0.28, a current ratio of 0.28 and a debt-to-equity ratio of 0.18. The firm has a market cap of $109.66 billion, a P/E ratio of 12.13, a P/E/G ratio of 3.05 and a beta of 0.53. Chubb has a 12-month low of $252.16 and a 12-month high of $306.91.

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

Chubb announced that its Board of Directors has initiated a stock buyback plan on Thursday, May 15th that permits the company to repurchase $5.00 billion in outstanding shares. This repurchase authorization permits 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 board of directors believes its stock is undervalued.

Insider Activity

In related news, COO John W. Keogh sold 85,083 shares of Chubb stock in a transaction dated Wednesday, May 21st. The stock was sold at an average price of $290.24, for a total value of $24,694,489.92. Following the completion of the sale, the chief operating officer owned 237,728 shares of the company's stock, valued at approximately $68,998,174.72. This trade represents a 26.36% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, insider John J. Lupica sold 5,513 shares of the company's stock in a transaction dated 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 sale, the insider directly owned 91,180 shares in the company, valued at approximately $26,447,670.80. This trade represents a 5.70% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 100,390 shares of company stock valued at $29,163,135 in the last 90 days. Insiders own 0.77% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the business. Legato Capital Management LLC grew its stake in Chubb by 120.9% during the first quarter. Legato Capital Management LLC now owns 10,200 shares of the financial services provider's stock valued at $3,080,000 after acquiring an additional 5,582 shares in the last quarter. Davis Rea LTD. bought a new position in Chubb in the 1st quarter valued at $5,117,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its holdings in Chubb by 15.4% in the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 2,753,719 shares of the financial services provider's stock valued at $760,853,000 after purchasing an additional 366,559 shares during the period. First Horizon Advisors Inc. grew its position in shares of Chubb by 3.3% during the 1st quarter. First Horizon Advisors Inc. now owns 43,280 shares of the financial services provider's stock valued at $13,070,000 after purchasing an additional 1,375 shares in the last quarter. Finally, Golden State Wealth Management LLC grew its position in shares of Chubb by 9.1% during the 1st quarter. Golden State Wealth Management LLC now owns 549 shares of the financial services provider's stock valued at $166,000 after purchasing an additional 46 shares in the last quarter. 83.81% of the stock is currently 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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