Vident Advisory LLC Reduces Stock Holdings in Chubb Limited $CB

Key Points

• Vident Advisory LLC has reduced its holdings in Chubb Limited by 34.8%, selling 10,329 shares and now owning 19,367 shares valued at approximately $5.85 million.
• Chubb's quarterly earnings beat analyst expectations, reporting EPS of $6.14 compared to the consensus estimate of $5.84, with revenue of $14.20 billion exceeding expectations by $1.67 billion.
• The company has authorized a $5 billion stock buyback program, indicating management's belief that the stock is undervalued, while also declaring a quarterly dividend of $0.97 per share.

Vident Advisory LLC cut its stake in shares of Chubb Limited (NYSE:CB - Free Report) by 34.8% during the first quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 19,367 shares of the financial services provider's stock after selling 10,329 shares during the quarter. Vident Advisory LLC's holdings in Chubb were worth $5,849,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also bought and sold shares of the company. Legato Capital Management LLC lifted its position 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 purchasing an additional 5,582 shares during the period. Jump Financial LLC raised its position in shares of Chubb by 633.6% in the first quarter. Jump Financial LLC now owns 8,180 shares of the financial services provider's stock worth $2,470,000 after acquiring an additional 7,065 shares during the period. Davis Rea LTD. acquired a new position in shares of Chubb in the first quarter worth about $5,117,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised 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 acquiring an additional 366,559 shares during the last quarter. Finally, First Horizon Advisors Inc. raised its holdings in Chubb by 3.3% in 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 acquiring an additional 1,375 shares during the last quarter. 83.81% of the stock is owned by hedge funds and other institutional investors.

Chubb Stock Up 0.5%

CB traded up $1.37 during midday trading on Thursday, hitting $279.59. 349,964 shares of the company's stock traded hands, compared to its average volume of 1,776,754. The stock's fifty day simple moving average is $275.21 and its 200-day simple moving average is $282.87. The company has a market cap of $111.47 billion, a PE ratio of 12.33, a price-to-earnings-growth ratio of 3.10 and a beta of 0.56. 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 one year low of $252.16 and a one year high of $306.91.

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 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 during the quarter, compared to analysts' expectations of $12.53 billion. During the same period in the previous year, the business posted $5.38 earnings per share. The firm's revenue for the quarter was up 6.3% compared to the same quarter last year. As a group, equities analysts anticipate that Chubb Limited will post 21.52 earnings per share for the current fiscal year.

Chubb Dividend Announcement

The business 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 dividend yield of 1.4%. The ex-dividend date of this dividend is Friday, September 12th. Chubb's payout ratio is currently 17.12%.

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 reacquire up to 4.3% of its shares through open market purchases. Shares buyback plans are usually an indication that the company's board believes its stock is undervalued.

Wall Street Analyst Weigh In

A number of research firms recently weighed in on CB. Deutsche Bank Aktiengesellschaft cut shares of Chubb from a "buy" rating to a "hold" rating and set a $303.00 price objective for the company. in a research report on Tuesday, May 20th. Keefe, Bruyette & Woods lifted their target price on shares of Chubb from $314.00 to $324.00 and gave the company an "outperform" rating in a report on Wednesday, July 9th. UBS Group lowered their target price 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. Morgan Stanley lowered their target price on shares of Chubb from $300.00 to $295.00 and set an "equal weight" rating on the stock in a report on Monday, August 18th. Finally, HSBC downgraded shares of Chubb from a "buy" rating to a "hold" rating and lowered their target price for the company from $317.00 to $300.00 in a report on Friday, August 1st. One research 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, the company presently has an average rating of "Hold" and an average price target of $302.00.

Insider Transactions at Chubb

In other news, insider John J. Lupica sold 5,513 shares of the company's stock in a transaction that occurred 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 transaction, the insider directly owned 91,180 shares of the company's stock, valued at $26,447,670.80. This represents a 5.70% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, COO John W. Keogh bought 9,810 shares of the stock in a transaction dated Friday, June 6th. The shares were purchased at an average cost of $292.99 per share, for a total transaction of $2,874,231.90. Following the completion of the transaction, the chief operating officer directly owned 247,538 shares of the company's stock, valued at $72,526,158.62. This trade represents a 4.13% increase in their ownership of the stock. The disclosure for this purchase can be found here. 0.86% of the stock is owned by insiders.

Chubb Company 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.