Gamco Investors INC. ET AL Grows Stake in Chubb Limited $CB

Key Points

• Gamco Investors INC. ET AL increased its stake in Chubb Limited by 21.7% during the first quarter, now owning 17,399 shares worth approximately $5.25 million.
• Chubb recently reported earnings of $6.14 per share, exceeding analyst estimates, with revenue of $14.20 billion for the quarter.
• The company declared a quarterly dividend of $0.97 per share and announced a $5 billion share buyback program, signaling confidence in its stock valuation.

Gamco Investors INC. ET AL raised its stake in shares of Chubb Limited (NYSE:CB - Free Report) by 21.7% in the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 17,399 shares of the financial services provider's stock after buying an additional 3,100 shares during the quarter. Gamco Investors INC. ET AL's holdings in Chubb were worth $5,254,000 at the end of the most recent quarter.

A number of other large investors have also added to or reduced their stakes in the stock. Samalin Investment Counsel LLC purchased a new position in Chubb during the first quarter valued at $288,000. Gabelli Funds LLC raised its stake in shares of Chubb by 31.3% in the first quarter. Gabelli Funds LLC now owns 18,650 shares of the financial services provider's stock worth $5,632,000 after purchasing an additional 4,448 shares during the last quarter. South Plains Financial Inc. raised its stake in shares of Chubb by 32.2% in the first quarter. South Plains Financial Inc. now owns 969 shares of the financial services provider's stock worth $293,000 after purchasing an additional 236 shares during the last quarter. Brooks Moore & Associates Inc. raised its stake in shares of Chubb by 56.0% in the first quarter. Brooks Moore & Associates Inc. now owns 8,027 shares of the financial services provider's stock worth $2,424,000 after purchasing an additional 2,882 shares during the last quarter. Finally, Apexium Financial LP raised its stake in shares of Chubb by 2.5% in the first quarter. Apexium Financial LP now owns 2,618 shares of the financial services provider's stock worth $793,000 after purchasing an additional 63 shares during the last quarter. Hedge funds and other institutional investors own 83.81% of the company's stock.

Insider Buying and Selling

In related news, insider John J. Lupica sold 5,513 shares of the stock in a transaction dated 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 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 transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Michael Corbat bought 425 shares of the firm's stock in a transaction that occurred on Friday, July 25th. The shares were acquired at an average cost of $269.80 per share, for a total transaction of $114,665.00. Following the purchase, the director directly owned 2,450 shares in the company, valued at $661,010. This trade represents a 20.99% increase in their position. The disclosure for this purchase can be found here. 0.86% of the stock is currently owned by company insiders.

Chubb Stock Performance

Shares of CB traded up $1.87 during trading hours on Monday, hitting $275.12. The stock had a trading volume of 1,248,361 shares, compared to its average volume of 1,558,304. 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 Limited has a 12 month low of $252.16 and a 12 month high of $306.91. The firm has a market capitalization of $109.69 billion, a PE ratio of 12.14, a PEG ratio of 3.10 and a beta of 0.56. The stock has a fifty day moving average price of $275.77 and a 200 day moving average price of $282.88.

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. Chubb had a return on equity of 12.34% and a net margin of 16.08%.The business had revenue of $14.20 billion during the quarter, compared to analyst estimates of $12.53 billion. During the same quarter in the previous year, the company posted $5.38 earnings per share. Chubb's revenue for the quarter was up 6.3% on a year-over-year basis. Analysts anticipate that Chubb Limited will post 21.52 EPS for the current year.

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

Chubb Announces Dividend

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

Analysts Set New Price Targets

Several research analysts have recently weighed in on the company. Deutsche Bank Aktiengesellschaft cut Chubb from a "buy" rating to a "hold" rating and set a $303.00 price target for the company. in a research note on Tuesday, May 20th. Citigroup assumed coverage on Chubb in a research note on Wednesday, August 13th. They issued a "buy" rating and a $326.00 price target for the company. Keefe, Bruyette & Woods boosted their price target on Chubb from $314.00 to $324.00 and gave the stock an "outperform" rating in a research note on Wednesday, July 9th. Piper Sandler restated a "neutral" rating and issued a $283.00 price target (down previously from $335.00) on shares of Chubb in a research note on Thursday, July 24th. Finally, Cantor Fitzgerald raised Chubb to a "hold" rating in a report on Wednesday, August 13th. One investment 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 assigned a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of "Hold" and an average 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.