CHUBB LTD (CB) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CB - CH0044328745 - Common Stock
306.81 USD
-6.19 (-1.98%)
306.81 USD
0 (0%)
Overall CB gets a fundamental rating of 5 out of 10. We evaluated CB against 146 industry peers in the Insurance industry. CB has only an average score on both its financial health and profitability. CB is not valued too expensively and it also shows a decent 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.
Each year in the past 5 years CB has been profitable.
Each year in the past 5 years CB had a positive operating cash flow.
1.2 Ratios
CB has a better Return On Assets (3.58%) than 72.30% of its industry peers.
With a Return On Equity value of 13.46%, CB perfoms like the industry average, outperforming 59.46% of the companies in the same industry.
CB has a Return On Invested Capital of 4.37%. This is in the better half of the industry: CB outperforms 74.32% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CB is significantly below the industry average of 15.11%.
The last Return On Invested Capital (4.37%) for CB is above the 3 year average (3.86%), which is a sign of increasing profitability.
| 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 83.78% of the companies in the same industry.
CB's Profit Margin has improved in the last couple of years.
The Operating Margin of CB (21.76%) is better than 77.70% of its industry peers.
In the last couple of years the Operating Margin of CB has grown nicely.
| 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CB is destroying value.
CB has less shares outstanding than it did 1 year ago.
The number of shares outstanding for CB has been reduced compared to 5 years ago.
Compared to 1 year ago, CB has an improved debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of CB is 1.32, which is an excellent value as it means it would take CB, only 1.32 years of fcf income to pay off all of its debts.
CB has a better Debt to FCF ratio (1.32) than 62.84% of its industry peers.
A Debt/Equity ratio of 0.25 indicates that CB is not too dependend on debt financing.
The Debt to Equity ratio of CB (0.25) is better than 63.51% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 1.32 | ||
| Altman-Z | N/A |
ROIC/WACC0.91
WACC4.8%
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.
Looking at the last year, CB shows a small growth in Revenue. The Revenue has grown by 7.22% in the last year.
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
Based on estimates for the next years, CB will show a small growth in Earnings Per Share. The EPS will grow by 2.81% on average per year.
The Revenue is expected to grow by 4.90% on average over the next years.
EPS Next Y8.88%
EPS Next 2Y9.71%
EPS Next 3Y9.53%
EPS Next 5Y2.81%
Revenue Next Year4.38%
Revenue Next 2Y4.88%
Revenue Next 3Y4.9%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 13.15 indicates a correct valuation of CB.
CB's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.19, CB is valued rather cheaply.
With a Price/Forward Earnings ratio of 11.31, the valuation of CB can be described as very reasonable.
CB's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of CB to the average of the S&P500 Index (23.92), we can say CB is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.15 | ||
| Fwd PE | 11.31 |
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 ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.06 | ||
| EV/EBITDA | 10.31 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
CB has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.48
PEG (5Y)0.76
EPS Next 2Y9.71%
EPS Next 3Y9.53%
5. Dividend
5.1 Amount
CB has a Yearly Dividend Yield of 1.24%.
CB's Dividend Yield is comparable with the industry average which is at 2.42.
Compared to the average S&P500 Dividend Yield of 1.92, CB is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.24% |
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 2Y9.71%
EPS Next 3Y9.53%
306.81
-6.19 (-1.98%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners82.56%
Inst Owner Change0.05%
Ins Owners0.59%
Ins Owner Change-1.75%
Market Cap120.75B
Revenue(TTM)58.51B
Net Income(TTM)9.68B
Analysts71.76
Price Target316.63 (3.2%)
Short Float %0.97%
Short Ratio1.87
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.24% |
Yearly Dividend3.56
Dividend Growth(5Y)3.7%
DP15.38%
Div Incr Years8
Div Non Decr Years8
Ex-DateN/A
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)0.61%
PT rev (3m)3.53%
EPS NQ rev (1m)0.62%
EPS NQ rev (3m)2.73%
EPS NY rev (1m)0.15%
EPS NY rev (3m)9.98%
Revenue NQ rev (1m)0.2%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0.24%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.15 | ||
| Fwd PE | 11.31 | ||
| P/S | 2.06 | ||
| P/FCF | 9.06 | ||
| P/OCF | 9.06 | ||
| P/B | 1.68 | ||
| P/tB | 2.67 | ||
| EV/EBITDA | 10.31 |
EPS(TTM)23.33
EY7.6%
EPS(NY)27.12
Fwd EY8.84%
FCF(TTM)33.85
FCFY11.03%
OCF(TTM)33.85
OCFY11.03%
SpS148.68
BVpS182.58
TBVpS115.11
PEG (NY)1.48
PEG (5Y)0.76
Graham Number309.58
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
WACC4.8%
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 Y8.88%
EPS Next 2Y9.71%
EPS Next 3Y9.53%
EPS Next 5Y2.81%
Revenue 1Y (TTM)7.22%
Revenue growth 3Y10.91%
Revenue growth 5Y10.24%
Sales Q2Q%5.35%
Revenue Next Year4.38%
Revenue Next 2Y4.88%
Revenue Next 3Y4.9%
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.
Can you provide the valuation status for CHUBB LTD?
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 6 / 10.
Can you provide the PE and PB ratios for CB stock?
The Price/Earnings (PE) ratio for CHUBB LTD (CB) is 13.15 and the Price/Book (PB) ratio is 1.68.
Is the dividend of CHUBB LTD sustainable?
The dividend rating of CHUBB LTD (CB) is 5 / 10 and the dividend payout ratio is 15.38%.