AQR Capital Management LLC Buys 231,404 Shares of Chubb Limited $CB

Key Points

• AQR Capital Management LLC boosted its stake in Chubb Limited by 19.6%, acquiring a total of 1,410,449 shares worth approximately $423.8 million.
• Chubb reported $6.14 earnings per share for its most recent quarter, exceeding the consensus estimate of $5.84, while revenue reached $14.20 billion, surpassing expectations.
• The company has initiated a $5 billion share repurchase program, which reflects the board's belief that the shares are undervalued.

AQR Capital Management LLC increased its stake in Chubb Limited (NYSE:CB - Free Report) by 19.6% in the 1st quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 1,410,449 shares of the financial services provider's stock after acquiring an additional 231,404 shares during the quarter. AQR Capital Management LLC owned 0.35% of Chubb worth $423,826,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also bought and sold shares of the company. Peoples Bank KS bought a new stake in Chubb during the 1st quarter valued at $25,000. Opal Wealth Advisors LLC bought a new stake in Chubb during the 1st quarter valued at $25,000. North Capital Inc. bought a new stake in Chubb during the 1st quarter valued at $26,000. IMA Advisory Services Inc. bought a new stake in Chubb during the 1st quarter valued at $31,000. Finally, 1248 Management LLC bought a new stake in Chubb during the 1st quarter valued at $31,000. Institutional investors own 83.81% of the company's stock.

Chubb Stock Performance

Chubb stock traded down $1.37 during midday trading on Monday, reaching $276.01. The stock had a trading volume of 429,821 shares, compared to its average volume of 1,779,854. Chubb Limited has a 12 month low of $252.16 and a 12 month high of $306.91. The firm's 50-day moving average price is $274.97 and its 200 day moving average price is $283.28. The firm has a market capitalization of $110.04 billion, a PE ratio of 12.17, a P/E/G ratio of 3.13 and a beta of 0.56. The company has a quick ratio of 0.28, a current ratio of 0.28 and a debt-to-equity ratio of 0.18.

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

Chubb Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, October 3rd. Investors of record on Friday, September 12th will be paid a $0.97 dividend. This represents a $3.88 dividend on an annualized basis and a yield of 1.4%. The ex-dividend date is Friday, September 12th. Chubb's payout ratio is currently 17.12%.

Chubb declared that its board has authorized a stock buyback program on Thursday, May 15th that authorizes the company to repurchase $5.00 billion in outstanding shares. This repurchase authorization authorizes the financial services provider to repurchase up to 4.3% of its stock through open market purchases. Stock repurchase programs are typically an indication that the company's management believes its shares are undervalued.

Analyst Upgrades and Downgrades

A number of analysts have commented on the stock. Piper Sandler restated a "neutral" rating and set a $283.00 price target (down previously from $335.00) on shares of Chubb in a research note on Thursday, July 24th. Deutsche Bank Aktiengesellschaft downgraded shares of Chubb from a "buy" rating to a "hold" rating and set a $303.00 price objective on the stock. in a report on Tuesday, May 20th. Citigroup assumed coverage on shares of Chubb in a report on Wednesday, August 13th. They set a "buy" rating and a $326.00 price objective on the stock. UBS Group cut their price objective on shares of Chubb from $304.00 to $292.00 and set a "neutral" rating on the stock in a report on Monday, July 28th. Finally, Hsbc Global Res downgraded shares of Chubb from a "strong-buy" rating to a "hold" rating in a report on Friday, August 1st. One analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, eleven have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus price target of $302.00.

Insider Activity

In related news, Director Michael Corbat purchased 425 shares of the firm's stock in a transaction dated Friday, July 25th. The shares were purchased at an average cost of $269.80 per share, for a total transaction of $114,665.00. Following the completion of the transaction, the director directly owned 2,450 shares in the company, valued at approximately $661,010. This represents a 20.99% increase in their position. The acquisition was disclosed in a filing with the SEC, which is available 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 value of $1,599,100.78. Following the sale, the insider owned 91,180 shares in the company, valued at approximately $26,447,670.80. This represents a 5.70% decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 0.86% of the company's stock.

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.