Royal Bank of Canada Has $1.23 Billion Stock Position in Chubb Limited $CB

Key Points

• Royal Bank of Canada reduced its stake in Chubb Limited by 7.8%, owning approximately 4.06 million shares worth $1.23 billion after the sale.
• Chubb reported a better-than-expected quarterly earnings with $6.14 EPS, surpassing the consensus estimate of $5.84, alongside a revenue of $14.20 billion, up 6.3% year-over-year.
• The company declared a $0.97 quarterly dividend, yielding 1.4%, with an upcoming ex-dividend date on September 12.

Royal Bank of Canada lessened its position in Chubb Limited (NYSE:CB - Free Report) by 7.8% during the first quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 4,063,592 shares of the financial services provider's stock after selling 342,460 shares during the quarter. Royal Bank of Canada owned approximately 1.01% of Chubb worth $1,227,165,000 as of its most recent filing with the SEC.

Several other institutional investors have also recently made changes to their positions in the stock. E Fund Management Co. Ltd. increased its position in shares of Chubb by 3.9% during the 1st quarter. E Fund Management Co. Ltd. now owns 964 shares of the financial services provider's stock worth $291,000 after purchasing an additional 36 shares during the last quarter. Sunflower Bank N.A. increased its position in shares of Chubb by 4.4% during the 1st quarter. Sunflower Bank N.A. now owns 905 shares of the financial services provider's stock worth $273,000 after purchasing an additional 38 shares during the last quarter. Avantax Planning Partners Inc. increased its position in shares of Chubb by 5.1% during the 1st quarter. Avantax Planning Partners Inc. now owns 783 shares of the financial services provider's stock worth $236,000 after purchasing an additional 38 shares during the last quarter. Lincoln Capital LLC increased its position in shares of Chubb by 0.6% during the 1st quarter. Lincoln Capital LLC now owns 6,962 shares of the financial services provider's stock worth $2,022,000 after purchasing an additional 39 shares during the last quarter. Finally, HighPoint Advisor Group LLC increased its position in shares of Chubb by 0.5% during the 1st quarter. HighPoint Advisor Group LLC now owns 8,857 shares of the financial services provider's stock worth $2,524,000 after purchasing an additional 40 shares during the last quarter. Institutional investors and hedge funds own 83.81% of the company's stock.

Chubb Stock Performance

CB traded up $1.70 during trading on Thursday, hitting $279.92. The stock had a trading volume of 1,486,192 shares, compared to its average volume of 1,783,670. The company has a 50 day moving average price of $275.21 and a 200-day moving average price of $282.87. The firm has a market cap of $111.60 billion, a price-to-earnings ratio of 12.35, a P/E/G ratio of 3.10 and a beta of 0.56. Chubb Limited has a one year low of $252.16 and a one year high of $306.91. The company has a debt-to-equity ratio of 0.18, a current ratio of 0.28 and a quick ratio of 0.28.

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

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

Chubb Announces Dividend

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

Insider Activity

In other news, insider John J. Lupica sold 5,513 shares of the company's stock in a transaction on Tuesday, July 1st. The stock was sold at an average price of $290.06, for a total transaction of $1,599,100.78. Following the completion of the sale, the insider directly owned 91,180 shares in the company, valued at approximately $26,447,670.80. This represents a 5.70% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, COO John W. Keogh sold 9,794 shares of the company's 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 owned 247,538 shares of the company's stock, valued at approximately $72,526,158.62. The trade was a 3.81% 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.

Analyst Ratings Changes

A number of research analysts recently weighed in on CB shares. Piper Sandler reissued a "neutral" rating and set a $283.00 target price (down from $335.00) on shares of Chubb in a report on Thursday, July 24th. Hsbc Global Res lowered Chubb from a "strong-buy" rating to a "hold" rating in a report on Friday, August 1st. Cantor Fitzgerald raised Chubb to a "hold" rating in a report on Wednesday, August 13th. HSBC lowered Chubb from a "buy" rating to a "hold" rating and decreased their target price for the stock from $317.00 to $300.00 in a report on Friday, August 1st. Finally, Wells Fargo & Company decreased their target price on Chubb from $285.00 to $267.00 and set an "equal weight" rating on the stock in a report on Thursday, July 24th. One equities research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, eleven have given a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, the stock currently has an average rating of "Hold" and a consensus price target of $302.00.

Chubb 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.