Chubb (CB) AI Stock Analysis

• Market Cap: $107.07B
• Dividend Yield: 1.39%
• Average Volume (3M): 1.96M
• Price to Earnings (P/E): 11.8
• Beta (1Y): 0.28
• Revenue Growth: 6.74%
• EPS Growth: -4.05%
• Country: US
• Employees: 43,000
• Sector: Financial
• Sector Strength: 72
• Industry: Insurance - Property & Casualty
• EPS (TTM): 6.14
• Shares Outstanding: 398,690,300
• 10 Day Avg. Volume: 2,687,113
• 30 Day Avg. Volume: 1,963,433
• PEG Ratio: 1.35
• Price to Book (P/B): 1.66
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 7.45
• Enterprise Value/Market Cap: 1.13
• Enterprise Value/Revenue: 0.54
• Enterprise Value/Gross Profit: 7.90
• Enterprise Value/Ebitda: 2.54
• 1Y Price Target: $303.07
• Price Target Upside: 13.72% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 16

• Rating: 74 Outperform
• Price Target: $303.00 ▲(13.69%Upside)

Chubb's strong financial performance and positive earnings call sentiment are the primary drivers of its score. However, bearish technical indicators and potential debt-related risks slightly temper the overall outlook.

Positive Factors

Earnings

Chubb reported operating EPS of $6.14 for the second quarter, beating the consensus of $5.96.

Share Repurchases

2Q repurchases of $676mn exceeded the forecast of $500mn.

Underwriting Performance

Despite challenges, Chubb's underwriting results were better than expected, indicating some areas of strength.

Negative Factors

Competition

The insurance cycle is softening, and competition is increasing, which may negatively impact Chubb's business.

Earnings Projection

Earnings growth is expected to decline in the future before returning to modest growth.

Underwriting Deceleration

Underwriting results are beginning to show signs of coming off peak levels, with further deceleration likely.

Chubb Business Overview & Revenue Model

Company Description

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, cyber risk, surety, and excess casualty; and group accident and health insurance to large, middle market, and small commercial businesses. Its North America Personal P&C Insurance segment provides affluent and high net worth individuals and families with homeowners, automobile and collector cars, valuable articles, personal and excess liability, travel insurance, and recreational marine insurance and services. The company's North America Agricultural Insurance segment offers multiple peril crop and crop-hail insurance; and coverage for farm and ranch property, and commercial agriculture products. Its Overseas General Insurance segment provides coverage for traditional commercial property and casualty; specialty categories, such as financial lines, marine, energy, aviation, political risk, and construction risk; and group accident and health, and traditional and specialty personal lines for corporations, middle markets, and small customers through retail brokers, agents, and other channels. The company's Global Reinsurance segment offers traditional and specialty reinsurance under the Chubb Tempest Re brand to property and casualty companies. Its Life Insurance segment provides protection and savings products comprising whole life, endowment plans, individual term life, group term life, medical and health, personal accident, credit life, universal life, and unit linked contracts. The company markets its products primarily through insurance and reinsurance brokers. The company was formerly known as ACE Limited and changed its name to Chubb Limited in January 2016. Chubb Limited was incorporated in 1985 and is headquartered in Zurich, Switzerland.

How the Company Makes Money

Chubb generates revenue primarily through the underwriting of insurance policies and the collection of premiums from its clients. Its key revenue streams include premiums from property and casualty insurance, personal accident and supplemental health insurance, and life insurance products. Chubb also earns income from its investment portfolio, which includes bonds, equities, and other financial instruments. The company leverages its global presence and extensive distribution channels to expand its customer base and enhance premium income. Strategic partnerships and acquisitions further bolster its market position and offer opportunities for growth in revenue.

Chubb Financial Statement Overview

Summary

Chubb exhibits strong financial health with solid revenue growth, efficient operations, and robust cash flow generation. The balance sheet is stable, although rising debt levels require monitoring. Overall, Chubb is well-positioned in the insurance industry, but attention to debt management and potential investment needs is advisable.

Income Statement

Chubb has demonstrated strong revenue growth over the years, with a substantial increase from $34.23 billion in 2019 to $49.83 billion in 2023. The gross profit margin is consistently at 100% due to the nature of the insurance business where total revenue equals gross profit. The EBIT and EBITDA margins are solid, reflecting strong operational efficiency. Net profit margin is robust, with a notable increase in net income to $9.27 billion in 2024. However, the 2024 data lacks a total revenue figure, making it challenging to evaluate the latest margins accurately.

Balance Sheet

Chubb maintains a strong equity position, with stockholders' equity increasing from $55.33 billion in 2019 to $64.02 billion in 2024. The debt-to-equity ratio is manageable, indicating prudent financial leverage. The equity ratio shows a stable balance between assets and liabilities. However, the total debt has increased slightly, which could pose risks if not managed carefully.

Cash Flow

Chubb's operating cash flow has shown consistent growth, indicating strong cash generation capabilities. The free cash flow has also increased, supporting healthy financial flexibility. The operating cash flow to net income ratio is favorable, suggesting efficient cash earnings conversion. However, the absence of capital expenditures in recent years raises questions about potential underinvestment.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	56.15B	50.13B	43.12B	40.96B	35.99B
Gross Profit	16.17B	13.84B	43.12B	40.96B	35.99B
EBITDA	12.52B	10.51B	7.34B	10.57B	4.97B
Net Income	9.27B	9.03B	5.25B	8.53B	3.53B
Balance Sheet
Total Assets	246.55B	230.68B	199.02B	200.05B	190.77B
Cash, Cash Equivalents and Short-Term Investments	39.19B	4.55B	2.01B	1.66B	1.75B
Total Debt	15.18B	14.49B	14.88B	16.17B	14.95B
Total Liabilities	178.15B	166.99B	148.50B	140.34B	131.33B
Stockholders Equity	64.02B	59.51B	50.52B	59.71B	59.44B
Cash Flow
Free Cash Flow	16.18B	12.63B	11.26B	11.15B	9.79B
Operating Cash Flow	16.18B	12.63B	11.26B	11.15B	9.79B
Investing Cash Flow	-13.92B	-7.65B	-5.65B	-6.66B	-7.52B
Financing Cash Flow	-2.18B	-4.49B	-5.14B	-4.41B	-2.08B

Chubb Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 266.51
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CB, the sentiment is Negative. The current price of 266.51 is below the 20-day moving average (MA) of 275.44, below the 50-day MA of 283.29, and below the 200-day MA of 280.95, indicating a bearish trend. The MACD of -4.54 indicates Positive momentum. The RSI at 34.91 is Neutral, neither overbought nor oversold. The STOCH value of 16.67 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CB.

Chubb Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WRB	84 Outperform	$26.04B	15.63	20.63%	2.30%	11.40%	15.32%
TRV	78 Outperform	$58.49B	11.49	19.29%	1.64%	8.54%	43.51%
CB	74 Outperform	$107.07B	11.85	14.10%	1.39%	6.74%	-4.05%
MKL	73 Outperform	$25.60B	14.79	10.94%	―	-6.46%	-26.71%
ALL	70 Outperform	$51.35B	13.25	19.88%	2.00%	11.49%	219.86%
Sector *	67 Neutral	$17.06B	11.24	9.31%	3.84%	11.08%	-3.39%
PGR	66 Neutral	$141.57B	13.60	34.34%	2.03%	19.58%	51.72%

Chubb Corporate Events

Chubb Shareholders Approve Capital Band Amendment

At the Chubb Limited Annual General Meeting held on May 15, 2025, shareholders approved an amendment to renew the company’s capital band, allowing the Board of Directors to adjust share capital by up to 20% until May 15, 2026. This decision enables the board to limit or withdraw shareholders’ pre-emptive rights under certain conditions. Additionally, all agenda items proposed by the company were approved except for a shareholder proposal on Scope 3 greenhouse gas emissions reporting, which was rejected.

The most recent analyst rating on (CB) stock is a Buy with a $300.00 price target. To see the full list of analyst forecasts on Chubb stock, see the CB Stock Forecast page.