Hsbc Holdings PLC Has $129.83 Million Stake in Chubb Limited $CB

Key Points

• HSBC Holdings PLC reduced its stake in Chubb Limited by 4.6%, owning 430,866 shares valued at approximately $129.83 million at the end of the last quarter.
• Analyst ratings for Chubb are mixed, with some upgrades alongside target price adjustments, including UBS lowering their target to $292 while Keefe, Bruyette & Woods increased theirs to $324.
• Chubb has declared a quarterly dividend of $0.97 per share and announced a $5 billion stock buyback plan, indicating management's belief in the stock's undervaluation.

Hsbc Holdings PLC lessened its stake in shares of Chubb Limited (NYSE:CB - Free Report) by 4.6% during the first quarter, according to its most recent filing with the Securities & Exchange Commission. The firm owned 430,866 shares of the financial services provider's stock after selling 20,688 shares during the period. Hsbc Holdings PLC owned 0.11% of Chubb worth $129,826,000 at the end of the most recent reporting period.

Other institutional investors also recently modified their holdings of the company. Peoples Bank KS acquired a new position in shares of Chubb during the 1st quarter valued at $25,000. Opal Wealth Advisors LLC acquired a new position in shares of Chubb during the 1st quarter valued at $25,000. North Capital Inc. acquired a new position in shares of Chubb during the 1st quarter valued at $26,000. IMA Advisory Services Inc. acquired a new position in shares of Chubb during the 1st quarter valued at $31,000. Finally, Clal Insurance Enterprises Holdings Ltd lifted its position in shares of Chubb by 391.7% during the 1st quarter. Clal Insurance Enterprises Holdings Ltd now owns 118 shares of the financial services provider's stock valued at $36,000 after acquiring an additional 94 shares during the period. Institutional investors and hedge funds own 83.81% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research firms recently issued reports on CB. UBS Group dropped their target price on shares of Chubb from $304.00 to $292.00 and set a "neutral" rating on the stock in a research report on Monday, July 28th. Keefe, Bruyette & Woods boosted their price target on shares of Chubb from $314.00 to $324.00 and gave the company an "outperform" rating in a research note on Wednesday, July 9th. Deutsche Bank Aktiengesellschaft lowered shares of 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. Morgan Stanley decreased their price target on shares of Chubb from $300.00 to $295.00 and set an "equal weight" rating for the company in a research note on Monday. Finally, 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. One research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, eleven have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Hold" and a consensus price target of $302.00.

Insider Activity at Chubb

In related news, insider John J. Lupica sold 5,513 shares of the 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 completion of the transaction, 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 transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Michael Corbat purchased 425 shares of Chubb stock in a transaction that occurred on Friday, July 25th. The shares were bought at an average price of $269.80 per share, with a total value of $114,665.00. Following the transaction, the director owned 2,450 shares of the company's stock, 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 owned by company insiders.

Chubb Stock Performance

NYSE CB opened at $274.0170 on Wednesday. Chubb Limited has a 1 year low of $252.16 and a 1 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. The firm has a market cap of $109.25 billion, a price-to-earnings ratio of 12.09, a PEG ratio of 3.08 and a beta of 0.53. The company has a fifty day moving average price of $277.28 and a 200-day moving average price of $282.48.

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

Chubb Announces Dividend

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

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

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.

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