CHUBB LTD (CB) Stock Fundamental Analysis
USA - NYSE:CB - CH0044328745 - Common Stock
292.42 USD
+4.17 (+1.45%)
292.42 USD
0 (0%)
Taking everything into account, CB scores 5 out of 10 in our fundamental rating. CB was compared to 146 industry peers in the Insurance industry. While CB has a great profitability rating, there are some minor concerns on its financial health. CB has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
CB had positive earnings in the past year.
In the past year CB had a positive cash flow from operations.
CB had positive earnings in each of the past 5 years.
Each year in the past 5 years CB had a positive operating cash flow.
1.2 Ratios
The Return On Assets of CB (3.58%) is better than 73.29% of its industry peers.
With a decent Return On Equity value of 13.46%, CB is doing good in the industry, outperforming 61.64% of the companies in the same industry.
CB's Return On Invested Capital of 4.37% is fine compared to the rest of the industry. CB outperforms 76.71% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CB is in line with the industry average of 4.51%.
The 3 year average ROIC (3.86%) for CB is below the current ROIC(4.37%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.58% | ||
| ROE | 13.46% | ||
| ROIC | 4.37% |
ROA(3y)3.44%
ROA(5y)3.28%
ROE(3y)13.35%
ROE(5y)12.05%
ROIC(3y)3.86%
ROIC(5y)3.49%
1.3 Margins
With an excellent Profit Margin value of 16.54%, CB belongs to the best of the industry, outperforming 82.88% of the companies in the same industry.
CB's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 21.76%, CB belongs to the best of the industry, outperforming 81.51% of the companies in the same industry.
CB's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.76% | ||
| PM (TTM) | 16.54% | ||
| GM | N/A |
OM growth 3Y1.62%
OM growth 5Y5.71%
PM growth 3Y-7.27%
PM growth 5Y5.04%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CB is destroying value.
CB has less shares outstanding than it did 1 year ago.
CB has less shares outstanding than it did 5 years ago.
The debt/assets ratio for CB has been reduced compared to a year ago.
2.2 Solvency
CB has a debt to FCF ratio of 1.32. This is a very positive value and a sign of high solvency as it would only need 1.32 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 1.32, CB is doing good in the industry, outperforming 63.70% of the companies in the same industry.
A Debt/Equity ratio of 0.25 indicates that CB is not too dependend on debt financing.
CB's Debt to Equity ratio of 0.25 is fine compared to the rest of the industry. CB outperforms 65.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 1.32 | ||
| Altman-Z | N/A |
ROIC/WACC0.91
WACC4.79%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
CB shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 5.80%.
CB shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 17.36% yearly.
CB shows a small growth in Revenue. In the last year, the Revenue has grown by 7.22%.
CB shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.24% yearly.
EPS 1Y (TTM)5.8%
EPS 3Y21.41%
EPS 5Y17.36%
EPS Q2Q%30.94%
Revenue 1Y (TTM)7.22%
Revenue growth 3Y10.91%
Revenue growth 5Y10.24%
Sales Q2Q%5.35%
3.2 Future
CB is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 2.81% yearly.
CB is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.78% yearly.
EPS Next Y8.38%
EPS Next 2Y9.67%
EPS Next 3Y9.45%
EPS Next 5Y2.81%
Revenue Next Year4.12%
Revenue Next 2Y4.64%
Revenue Next 3Y4.78%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 12.53 indicates a correct valuation of CB.
Compared to the rest of the industry, the Price/Earnings ratio of CB is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 26.35, CB is valued rather cheaply.
With a Price/Forward Earnings ratio of 10.79, the valuation of CB can be described as very reasonable.
CB's Price/Forward Earnings is on the same level as the industry average.
CB's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 33.72.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.53 | ||
| Fwd PE | 10.79 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as CB.
CB's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.75 | ||
| EV/EBITDA | 9.86 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of CB may justify a higher PE ratio.
PEG (NY)1.5
PEG (5Y)0.72
EPS Next 2Y9.67%
EPS Next 3Y9.45%
5. Dividend
5.1 Amount
CB has a Yearly Dividend Yield of 1.37%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.45, CB has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.36, CB's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.37% |
5.2 History
The dividend of CB has a limited annual growth rate of 3.70%.
CB has been paying a dividend for at least 10 years, so it has a reliable track record.
As CB did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)3.7%
Div Incr Years8
Div Non Decr Years8
5.3 Sustainability
CB pays out 15.38% of its income as dividend. This is a sustainable payout ratio.
The dividend of CB is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP15.38%
EPS Next 2Y9.67%
EPS Next 3Y9.45%
292.42
+4.17 (+1.45%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners84.21%
Inst Owner Change-1.53%
Ins Owners0.59%
Ins Owner Change-6%
Market Cap116.58B
Revenue(TTM)58.51B
Net Income(TTM)9.68B
Analysts72.12
Price Target314.14 (7.43%)
Short Float %0.62%
Short Ratio1.22
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.37% |
Yearly Dividend3.56
Dividend Growth(5Y)3.7%
DP15.38%
Div Incr Years8
Div Non Decr Years8
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)9.01%
Min EPS beat(2)-0.21%
Max EPS beat(2)18.24%
EPS beat(4)3
Avg EPS beat(4)9.46%
Min EPS beat(4)-0.21%
Max EPS beat(4)18.24%
EPS beat(8)6
Avg EPS beat(8)6.83%
EPS beat(12)8
Avg EPS beat(12)4.99%
EPS beat(16)12
Avg EPS beat(16)6.88%
Revenue beat(2)0
Avg Revenue beat(2)-3.49%
Min Revenue beat(2)-4.32%
Max Revenue beat(2)-2.66%
Revenue beat(4)0
Avg Revenue beat(4)-4.57%
Min Revenue beat(4)-5.86%
Max Revenue beat(4)-2.66%
Revenue beat(8)0
Avg Revenue beat(8)-3.24%
Revenue beat(12)2
Avg Revenue beat(12)0.28%
Revenue beat(16)5
Avg Revenue beat(16)2.2%
PT rev (1m)2.72%
PT rev (3m)0.59%
EPS NQ rev (1m)2.09%
EPS NQ rev (3m)1.05%
EPS NY rev (1m)9.48%
EPS NY rev (3m)10.81%
Revenue NQ rev (1m)-0.2%
Revenue NQ rev (3m)-0.14%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)0.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.53 | ||
| Fwd PE | 10.79 | ||
| P/S | 1.99 | ||
| P/FCF | 8.75 | ||
| P/OCF | 8.75 | ||
| P/B | 1.62 | ||
| P/tB | 2.57 | ||
| EV/EBITDA | 9.86 |
EPS(TTM)23.33
EY7.98%
EPS(NY)27.1
Fwd EY9.27%
FCF(TTM)33.41
FCFY11.43%
OCF(TTM)33.41
OCFY11.43%
SpS146.76
BVpS180.23
TBVpS113.62
PEG (NY)1.5
PEG (5Y)0.72
Graham Number307.58
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.58% | ||
| ROE | 13.46% | ||
| ROCE | 4.91% | ||
| ROIC | 4.37% | ||
| ROICexc | 4.41% | ||
| ROICexgc | 6.15% | ||
| OM | 21.76% | ||
| PM (TTM) | 16.54% | ||
| GM | N/A | ||
| FCFM | 22.77% |
ROA(3y)3.44%
ROA(5y)3.28%
ROE(3y)13.35%
ROE(5y)12.05%
ROIC(3y)3.86%
ROIC(5y)3.49%
ROICexc(3y)3.9%
ROICexc(5y)3.53%
ROICexgc(3y)5.6%
ROICexgc(5y)5.06%
ROCE(3y)4.33%
ROCE(5y)3.92%
ROICexgc growth 3Y1.27%
ROICexgc growth 5Y7.11%
ROICexc growth 3Y2.52%
ROICexc growth 5Y7.66%
OM growth 3Y1.62%
OM growth 5Y5.71%
PM growth 3Y-7.27%
PM growth 5Y5.04%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 1.32 | ||
| Debt/EBITDA | 1.35 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 19.96 | ||
| Cash Conversion | 102.15% | ||
| Profit Quality | 137.69% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score5
WACC4.79%
ROIC/WACC0.91
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)176.35%
Profit Quality(5y)187.36%
High Growth Momentum
Growth
EPS 1Y (TTM)5.8%
EPS 3Y21.41%
EPS 5Y17.36%
EPS Q2Q%30.94%
EPS Next Y8.38%
EPS Next 2Y9.67%
EPS Next 3Y9.45%
EPS Next 5Y2.81%
Revenue 1Y (TTM)7.22%
Revenue growth 3Y10.91%
Revenue growth 5Y10.24%
Sales Q2Q%5.35%
Revenue Next Year4.12%
Revenue Next 2Y4.64%
Revenue Next 3Y4.78%
Revenue Next 5YN/A
EBIT growth 1Y17.08%
EBIT growth 3Y12.71%
EBIT growth 5Y16.53%
EBIT Next Year11.22%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y9.98%
FCF growth 3Y13.22%
FCF growth 5Y20.6%
OCF growth 1Y9.98%
OCF growth 3Y13.22%
OCF growth 5Y20.6%
CHUBB LTD / CB FAQ
Can you provide the ChartMill fundamental rating for CHUBB LTD?
ChartMill assigns a fundamental rating of 5 / 10 to CB.
What is the valuation status for CB stock?
ChartMill assigns a valuation rating of 5 / 10 to CHUBB LTD (CB). This can be considered as Fairly Valued.
Can you provide the profitability details for CHUBB LTD?
CHUBB LTD (CB) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for CB stock?
The Price/Earnings (PE) ratio for CHUBB LTD (CB) is 12.53 and the Price/Book (PB) ratio is 1.62.
What is the financial health of CHUBB LTD (CB) stock?
The financial health rating of CHUBB LTD (CB) is 4 / 10.