Chubb (CB) AI Stock Analysis

• Market Cap: $128.35B
• Dividend Yield: 1.22%
• Average Volume (3M): 1.81M
• Price to Earnings (P/E): 12.0
• Beta (1Y): 0.20
• Revenue Growth: 6.68%
• EPS Growth: -1.78%
• Country: US
• Employees: 43,000
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Property & Casualty
• EPS (TTM): 7.52
• Shares Outstanding: 390,156,560
• 10 Day Avg. Volume: 1,922,123
• 30 Day Avg. Volume: 1,810,786
• PEG Ratio: 0.93
• Price to Book (P/B): 1.68
• Price to Sales (P/S): 2.08
• P/FCF Ratio: 8.51
• Enterprise Value/Market Cap: 1.16
• Enterprise Value/Revenue: 2.50
• Enterprise Value/Gross Profit: 7.47
• Enterprise Value/Ebitda: 10.56
• 1Y Price Target: $337.41
• Price Target Upside: 2.57% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 18
• EPS Forecast (FY): 26.75
• Revenue Forecast (FY): $59.45B

• Rating: 81 Outperform
• Price Target: $373.00 ▲(13.38% Upside)
• Action: Reiterated Date: 03/12/26
• Date: Action: Reiterated 03/12/26

The score is driven primarily by strong financial quality (growth, profitability, and a conservative balance sheet) and a constructive earnings outlook supported by record underwriting/investment performance. Valuation is favorable with a low P/E, while the main restraint is mixed near-term technical momentum and ongoing exposure to catastrophe and pricing-cycle volatility.

Positive Factors

Balance sheet strength

Chubb’s very conservative balance sheet — equity growth to ~$73.8B, asset base expansion and reported total debt of $0 — provides durable financial flexibility. This supports sustained underwriting capacity, reinsurance buying power, and steady capital returns even through adverse insurance cycles.

Underwriting discipline

Sustained low combined ratios and record P&C underwriting income reflect disciplined pricing, risk selection and reserve management. That underwriting strength underpins durable margin sustainability and reduces reliance on investment yield swings for long-run profitability.

Diversified premium growth

Broad-based premium growth across geographies and product lines — consumer, commercial, life and worksite benefits — builds a diversified, recurring revenue base. Geographic and product mix diversification smooths volatility and strengthens long-term float and fee generation.

Negative Factors

Catastrophe volatility

Material catastrophe losses introduce persistent earnings volatility and can depress underwriting margins in peak-loss years. Repeated large-cat years raise reinsurance costs, strain reserving and capital, and can force higher pricing or tighter underwriting that impacts long-term premium growth.

Pricing pressure in large accounts

Significant rate declines and competitive intensity in large-account property and certain wholesale markets threaten profitable growth in high-margin segments. Prolonged price compression could erode underwriting margins and force either greater exposure or a pullback from lucrative but contested lines.

Regulatory/political risk

Regulatory pressures on personal-lines pricing or perceived excess profits represent a structural threat to pricing power and product availability. Policy actions or heightened regulatory scrutiny could constrain long-term rate adequacy and profitability in retail lines across key jurisdictions.

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 primarily makes money through (1) underwriting insurance and (2) investing the premiums it holds (its investment portfolio/“float”), with additional income from fees and services related to its insurance operations. 1) Underwriting income (core insurance revenue) - Premiums: Chubb collects premiums from policyholders across commercial lines (e.g., property, general liability, workers’ compensation, financial lines/professional liability), personal lines (e.g., homeowners and auto), and accident & health products. Premiums are recognized as revenue over the coverage period, not all at once. - Claims management and underwriting margin: Profitability depends on pricing policies to exceed expected losses (claims) and expenses (commissions, operating costs). If premiums earned exceed claims and expenses, Chubb generates underwriting income; if not, it incurs an underwriting loss. - Reinsurance: Chubb uses reinsurance to manage exposure to large losses (e.g., catastrophes) by paying a portion of premiums to reinsurers in exchange for coverage; it may also assume risk as a reinsurer in certain markets. Reinsurance affects net premiums earned and net claims costs, influencing underwriting results. - Catastrophe and risk selection: Results can be materially affected by catastrophe losses (hurricanes, earthquakes, wildfires) and by the company’s ability to select risks, set deductibles/limits, and adjust pricing over time. 2) Net investment income and realized/unrealized investment results (earnings on float) - Investing premiums (“float”): Chubb receives premiums before paying claims, creating investable funds. It invests these assets—typically in a diversified portfolio that includes high-quality fixed income and other assets—seeking to generate ongoing net investment income. - Returns and market conditions: Interest rates, credit spreads, equity/alternative performance (where applicable), and realized capital gains/losses can meaningfully influence reported earnings in addition to underwriting profitability. 3) Fee and service-related income (ancillary) - Policy fees/other charges: Insurance operations may include policy-related fees and other service charges depending on product and jurisdiction. - Distribution economics: Chubb sells largely through independent agents/brokers and other distribution partners; while commissions are an expense to Chubb rather than revenue, the breadth and effectiveness of distribution relationships help drive premium volume and retention, which in turn drives underwriting and investment earnings. Overall, Chubb’s earnings are driven by the scale and profitability of net premiums written/earned (underwriting discipline and claims experience) plus investment income generated on its insurance float, with reinsurance, catastrophe experience, and financial market conditions as major factors influencing results.

Chubb Financial Statement Overview

Summary

Strong multi-year revenue and earnings expansion with improved net margins into 2025 and a conservative balance sheet (equity growth and very low reported debt). Main offset is typical P&C volatility in profitability and swings in free cash flow visibility/consistency.

Income Statement

Chubb shows a strong multi-year expansion in scale and earnings: revenue rose from $36.1B (2020) to $59.6B (2025), with solid profit levels (2025 net income of $10.3B). Profitability is generally healthy, with net margins improving materially from ~9.8% (2020) to ~17.3% (2025). A key weakness is volatility in profitability over time (notably the 2022 dip in net margin to ~12.2% and lower margins in 2024 versus 2023), which is common in P&C insurance but still a risk factor.

Balance Sheet

The balance sheet looks conservative and increasingly strong: equity grew from ~$59.4B (2020) to ~$73.8B (2025) alongside asset growth to ~$272.3B. Leverage is modest in the earlier years (debt-to-equity ~0.24–0.29 during 2022–2024) and appears exceptionally low in 2025 (reported total debt of $0, driving debt-to-equity to 0.0), which meaningfully strengthens financial flexibility. Return on equity remains solid in the low-to-mid teens (about 14% in 2024–2025), though it has fluctuated across the cycle (down to ~5.9% in 2020).

Cash Flow

Cash generation is strong in absolute dollars, with operating cash flow in the $9.8B–$16.2B range across 2020–2025 and free cash flow matching operating cash flow each year (as reported). Free cash flow also aligns with net income (free cash flow to net income of 1.0), supporting earnings quality. The main weakness is volatility: free cash flow declined in 2025 (down ~3.8%) after a very strong 2024, and the provided cash flow coverage metric is 0.0 throughout, limiting visibility into cash coverage based on the supplied data.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	59.58B	56.15B	50.13B	42.98B	40.77B
Gross Profit	27.54B	16.17B	13.84B	10.83B	11.33B
EBITDA	10.08B	12.52B	10.51B	7.34B	10.57B
Net Income	10.31B	9.27B	9.03B	5.25B	8.53B
Balance Sheet
Total Assets	247.83B	246.55B	230.68B	199.02B	200.05B
Cash, Cash Equivalents and Short-Term Investments	2.47B	39.19B	33.79B	25.79B	97.91B
Total Debt	22.19B	15.29B	14.49B	14.88B	16.17B
Total Liabilities	168.05B	178.15B	166.99B	148.50B	140.34B
Stockholders Equity	73.76B	64.02B	59.51B	50.52B	59.71B
Cash Flow
Free Cash Flow	14.54B	16.18B	12.63B	11.26B	11.15B
Operating Cash Flow	14.54B	16.18B	12.63B	11.26B	11.15B
Investing Cash Flow	-12.98B	-13.92B	-7.65B	-5.65B	-6.66B
Financing Cash Flow	-1.85B	-2.18B	-4.49B	-5.14B	-4.41B

Chubb Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 328.97
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CB, the sentiment is Positive. The current price of 328.97 is below the 20-day moving average (MA) of 330.92, above the 50-day MA of 318.64, and above the 200-day MA of 291.30, indicating a neutral trend. The MACD of 1.92 indicates Positive momentum. The RSI at 53.05 is Neutral, neither overbought nor oversold. The STOCH value of 25.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CB.

Chubb Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WRB	81 Outperform	$25.75B	15.63	18.88%	1.88%	11.08%	22.01%
CB	81 Outperform	$128.35B	12.00	14.69%	1.22%	6.68%	-1.78%
ALL	80 Outperform	$53.51B	5.29	39.47%	1.91%	7.07%	100.42%
PGR	76 Outperform	$120.21B	13.18	40.02%	2.20%	18.35%	32.36%
TRV	76 Outperform	$65.41B	10.34	20.58%	1.49%	6.75%	30.83%
MKL	74 Outperform	$24.43B	12.95	11.85%	―	-6.96%	-26.28%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

Chubb Corporate Events

Chubb Reduces Share Capital Through Treasury Share Cancellation

On March 10, 2026, Chubb Limited’s board executed a share capital reduction of CHF 5,993,287 by canceling 11,986,574 treasury shares with a par value of CHF 0.50 each that had been repurchased in 2025. The reduction aligns the company’s registered share capital with its share repurchase activity and reflects a tightening of the share count for existing shareholders.

Following the move, Chubb’s share capital decreased from CHF 206,053,710.50, divided into 412,107,421 registered shares, to CHF 200,060,423.50, divided into 400,120,847 registered shares. The change was implemented through an amendment to Article 3 of the company’s Articles of Association and became effective upon registration with the Commercial Register of the Canton of Zurich, underscoring the board’s use of authorized capital band provisions to actively manage equity structure.

The most recent analyst rating on (CB) stock is a Buy with a $347.00 price target. To see the full list of analyst forecasts on Chubb stock, see the CB Stock Forecast page.