Financial Data and Key Metrics Changes - Core operating EPS growth exceeded 15.5% for the quarter, with core operating income reaching $2.3 billion, up 14.3% [6][7] - Global P&C premium revenue grew 7.6%, or 8.5% in constant dollars, reflecting strong contributions from various business segments [6][13] - Net and operating income for the year increased by 16.9% and 13.8% respectively, with record levels achieved [7][29] - The published combined ratio for the quarter was 87.7%, with P&C underwriting income of $1.5 billion, up over 11.5% [8][9] Business Line Data and Key Metrics Changes - Life insurance segment income was $284 million, ahead of plan, with annualized core operating ROE for the quarter at 13.9% [12] - North America P&C premiums excluding agriculture increased by 7.8%, with personal insurance growing by 10% and commercial by 7.2% [16] - International general insurance operations saw net premiums up 4.9%, or 7.5% in constant dollars, with Asia Pacific leading growth at 9.2% [23][24] Market Data and Key Metrics Changes - Commercial premiums increased by 8.1%, while consumer premiums rose by 9.4% [13] - Life premiums grew 10.6% in constant dollars, with international life growing by 10% and North America by 15% [14] - The property book is well-priced, with terms and conditions remaining steady, while casualty pricing in North America was up 12.7% [20][22] Company Strategy and Development Direction - The company aims to continue growing operating earnings and EPS at a superior rate, focusing on P&C revenue growth, investment income, and life income [28] - Management emphasized the importance of risk selection and pricing in maintaining competitive advantages in the underwriting market [36] - The company is confident in its ability to reinvest cash flows at rates that will enhance overall portfolio yield [11][12] Management's Comments on Operating Environment and Future Outlook - Management noted that loss cost inflation remains steady and is accounted for in pricing and reserving [15] - The company expects the Fed to take a cautious approach to lowering rates, which will support future reinvestment rates [10] - Management expressed confidence in the ability to navigate competitive pressures, particularly in the London wholesale market [65] Other Important Information - The company returned $782 million to shareholders in the quarter, including $413 million in share repurchases and $369 million in dividends [30] - Adjusted net investment income for the quarter was $1.64 billion, with a fixed income portfolio yield of 4.9% [10][29] - The company issued $700 million of 5-year debt and $600 million of 10-year debt at an attractive average cost of under 5% [30] Q&A Session Summary Question: North America commercial growth expectations - Management refrained from providing specific guidance but indicated confidence in continued growth due to strong new business and retention rates [35][36] Question: Impact of competition in London on international growth - Management clarified that London wholesale business is only 10% of international operations, with strong growth expected from Asia and other regions [37][38] Question: Expectations for property lines amid hurricane activity - Management noted that pricing remains firm and continues to increase due to active weather events [41] Question: Details on adverse development in casualty - Adverse development was primarily from general casualty, with mixed results across long-tail classes [42] Question: Outlook for troubled classes in North America commercial - Management indicated that there are still a few quarters to go before fully addressing troubled classes, but the impact is not significant relative to total premiums [44][45] Question: Casualty pricing dynamics and adequacy - Management emphasized that pricing varies by area and that the majority of their portfolio is adequately priced [68][90] Question: Growth in invested asset base - Management confirmed that the growth in the invested asset base is driven by overall business growth and strong margins [71] Question: Financial lines premium performance - Management stated that they are not writing business unless it is profitable, indicating a focus on maintaining profitability in D&O and other financial lines [73]

Chubb Limited (CB) reported third-quarter 2024 core operating income of $5.72 per share, which beat the Zacks Consensus Estimate by 16%. The bottom line increased 15.6% year over year. Chubb's results reflect strong performance in North America P&C, Overseas General and Life Insurance divisions, solid underwriting income and improved investment income, partially offset by a higher level of catastrophe. Quarter in Detail Net premiums written improved 5.5% year over year to $13.8 billion in the quarter. Our e ...

Chubb (CB) reported $15.01 billion in revenue for the quarter ended September 2024, representing a year-overyear increase of 6.6%. EPS of $5.72 for the same period compares to $4.95 a year ago. The reported revenue represents a surprise of -1.56% over the Zacks Consensus Estimate of $15.25 billion. With the consensus EPS estimate being $4.93, the EPS surprise was +16.02%. While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine th ...

Chubb (CB) reported $15.01 billion in revenue for the quarter ended September 2024, representing a year-overyear increase of 6.6%. EPS of $5.72 for the same period compares to $4.95 a year ago. The reported revenue represents a surprise of -1.56% over the Zacks Consensus Estimate of $15.25 billion. With the consensus EPS estimate being $4.93, the EPS surprise was +16.02%. While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine th ...

Group 1 - Chubb reported quarterly earnings of $5.72 per share, exceeding the Zacks Consensus Estimate of $4.93 per share, and showing an increase from $4.95 per share a year ago, resulting in an earnings surprise of 16.02% [1] - The company posted revenues of $15.01 billion for the quarter ended September 2024, which was 1.56% below the Zacks Consensus Estimate, but an increase from $14.09 billion year-over-year [2] - Chubb's shares have increased approximately 28.3% since the beginning of the year, outperforming the S&P 500's gain of 22.1% [3] Group 2 - The current consensus EPS estimate for the upcoming quarter is $5.76 on revenues of $14.4 billion, and for the current fiscal year, it is $21.30 on revenues of $56.55 billion [7] - The Zacks Industry Rank for Insurance - Property and Casualty is in the top 39% of over 250 Zacks industries, indicating a favorable outlook for the industry [8]

Financial Performance - Chubb Limited reported net premiums written of $13,829 million for the quarter ended September 30, 2024, representing a 5.5% increase from $13,104 million in the same quarter of 2023[4]. - The company achieved a core operating income of $2,334 million, up 14.3% from $2,041 million year-over-year[4]. - Chubb's net income for the quarter was $2,324 million, a 13.8% increase from $2,043 million in the previous year[4]. - The company reported a diluted earnings per share of $5.70, which is a 15.2% increase from $4.95 in the same quarter of 2023[4]. - The effective tax rate for the quarter was 17.7%, slightly higher than the 16.8% reported in the same quarter last year[4]. - The company reported net realized gains of $198 million in Q3 2024, up from $104 million in Q2 2024[5]. - The company reported a net income of $2,324 million for Q3 2024, up from $2,043 million in Q3 2023, reflecting a year-over-year increase of 13.7%[39]. Underwriting Performance - The P&C combined ratio improved to 87.7%, down from 88.4% in the same quarter last year, indicating better underwriting performance[4]. - Chubb's P&C underwriting income was $1,457 million, reflecting an 11.7% increase from $1,305 million year-over-year[4]. - The combined ratio for Q3 2024 improved to 86.5%, compared to 84.2% in Q3 2023, indicating a slight deterioration in underwriting performance[11][12]. - The loss and loss expense ratio for Q3 2024 was 63.1%, an increase from 60.6% in Q2 2024[6]. - The CAY combined ratio excluding catastrophes for Q3 2024 was 80.8%, compared to 84.0% in Q3 2023, showing an improvement in operational efficiency[11][12]. Premiums and Revenue - Life Insurance net premiums written increased by 6.8% to $1,552 million, compared to $1,452 million in the prior year[4]. - Gross premiums written for Q3 2024 reached $16,761 million, an increase from $16,491 million in Q2 2024 and $14,425 million in Q1 2024[5]. - Total consolidated premiums reached $13.829 billion in Q3 2024, a 5.5% increase from $13.104 billion in Q3 2023[10]. - Total net premiums written for Q3 2024 reached $13,829 million, an increase from $13,104 million in Q3 2023, representing a growth of 5.5% year-over-year[11][12]. Investment Income - Adjusted net investment income rose to $1,640 million, reflecting a 15.9% increase compared to $1,415 million in the prior year[4]. - Adjusted net investment income for Q3 2024 was $1,640 million, up from $1,415 million in Q3 2023, reflecting a growth of 15.9% year-over-year[11][12]. - The investment portfolio's total market value reached $153,327 million as of September 30, 2024, compared to $146,304 million in June 2024, marking a growth of 4.4%[25]. Expenses - Policy acquisition costs in Q3 2024 were $2,324 million, an increase from $2,226 million in Q2 2024 and $2,207 million in Q1 2024[5]. - Administrative expenses for Q3 2024 remained stable at $1,094 million, consistent with Q2 2024[5]. - The company reported total administrative expenses for Q3 2024 were $104 million, up from $99 million in Q2 2024[22]. Assets and Liabilities - Total assets increased to $250.557 billion as of September 30, 2024, up from $238.551 billion in June 2024, representing a 5.3% increase[8]. - Total liabilities increased to $180.437 billion as of September 30, 2024, compared to $173.976 billion in June 2024, marking a 7.9% increase[8]. - The company reported a total financial debt of $16,131 million as of September 30, 2024, an increase from $14,731 million in June 30, 2024[34]. Market and Economic Conditions - The average market yield of fixed income investments decreased to 5.2% in September 2024 from 5.9% in June 2024[25]. - The company emphasizes the importance of non-GAAP measures for understanding overall results, despite their differing definitions across companies[37]. - Future outlook includes a focus on enhancing underwriting performance and managing market risks effectively[37].

Core Viewpoint - Analysts forecast a quarterly earnings per share (EPS) of $4.92 for Chubb, indicating a year-over-year decline of 0.6%, while revenues are expected to reach $15.24 billion, reflecting an increase of 8.2% compared to the previous year [1] Financial Estimates - The consensus estimate for 'Net Premiums written - North America Personal Lines' is projected at $1.67 billion, showing a year-over-year increase of 9.5% [2] - Analysts anticipate 'Net investment income - Overseas General' to be $286.89 million, representing a year-over-year growth of 15.7% [2] - The estimate for 'Global Reinsurance - Net investment income' is $56.31 million, indicating a year-over-year increase of 19.8% [2] Key Ratios - 'Net Premiums written - P&C' is expected to reach $12.61 billion, reflecting an 8.2% increase from the prior year [3] - The 'Loss and loss expense ratio' is projected at 64.7%, up from 60.1% in the previous year [3] - The estimated 'Combined ratio' is 89.6%, compared to 87.6% a year ago [3] - The 'North America Agricultural Insurance - Combined ratio' is expected to be 89.5%, down from 93.2% in the previous year [3] - The 'North America Agricultural Insurance - Loss and loss expense ratio' is forecasted at 84.0%, compared to 88.1% last year [3] - 'North America Commercial P&C Insurance - Combined ratio' is expected to be 86.6%, up from 84.2% in the same quarter last year [3][4] - The 'North America Commercial P&C Insurance - Loss and loss expense ratio' is projected at 66.3%, compared to 63.9% in the previous year [4] - The 'Overseas General Insurance - Combined ratio' is expected to be 88.1%, compared to 87% last year [4] - The 'Overseas General Insurance - Loss and loss expense ratio' is projected at 52.3%, slightly up from 52.1% in the previous year [4] Stock Performance - Chubb shares have increased by 1.6% over the past month, slightly outperforming the Zacks S&P 500 composite, which rose by 1.5% [4]

Core Viewpoint - Chubb Limited (CB) is expected to report third-quarter 2024 earnings on October 29, with a history of beating earnings estimates in the previous four quarters [1] Group 1: Earnings and Premiums - Premiums in the third quarter are anticipated to benefit from growth across product lines, strong premium retention, rate and exposure increases, and solid new business [2] - The acquisition of Cigna's Asia business and strong performance in distribution channels are likely to have positively impacted life insurance premiums [2] - The Zacks Consensus Estimate for net premiums earned is $13.5 billion, reflecting a 6.9% increase from the previous year, while the expectation for net premiums earned is $13.3 billion [2] Group 2: Investment Income and Revenue - Chubb expects adjusted net investment income to be between $1.57 billion and $1.63 billion, with an anticipated increase of 13.7% to $1.5 billion [3] - The Zacks Consensus Estimate for revenues is $15.2 billion, indicating an 8.2% rise from the year-ago figure [3] - The combined ratio is estimated at 90, indicating a deterioration of 200 basis points from the previous year, with underwriting income expected to be $1.3 billion and the combined ratio at 84.1 [3] Group 3: Expenses and Share Buybacks - Expenses are expected to rise due to higher losses, policy benefits, acquisition costs, administrative expenses, interest expense, and integration costs related to Cigna [3] - Share buybacks in the upcoming quarter are anticipated to positively impact the bottom line [3] Group 4: Earnings Per Share and Predictions - The Zacks Consensus Estimate for third-quarter earnings per share is $4.92, indicating a decrease of 0.6% from the previous year [4] - The model predicts an earnings beat for Chubb due to a positive Earnings ESP of +1.75%, with the Most Accurate Estimate at $5.01 [5] Group 5: Other Stocks to Consider - Arch Capital Group (ACGL) has an Earnings ESP of +7.91% and a Zacks Rank 3, with a consensus estimate of $1.98, reflecting a year-over-year decrease of 14.3% [6] - American Financial Group (AFG) has an Earnings ESP of +1.91% and a Zacks Rank 3, with a consensus estimate of $2.51, indicating a year-over-year increase of 2.5% [6] - Axis Capital Holding (AXS) has an Earnings ESP of +2.87% and a Zacks Rank 3, with a consensus estimate of $2.50, reflecting a year-over-year increase of 6.8% [7]

Company Overview - Chubb (CB) closed at $301.66, reflecting a -0.08% change from the previous session, underperforming the S&P 500's gain of 0.4% [1] - Over the past month, Chubb's shares increased by 3.89%, outperforming the Finance sector's decline of 3.26% and the S&P 500's gain of 3.76% [1] Upcoming Earnings - Chubb's earnings report is anticipated on October 29, 2024, with projected EPS of $4.92, indicating a 0.61% decrease year-over-year [1] - Revenue is expected to reach $15.24 billion, representing an 8.16% increase compared to the same quarter last year [1] Fiscal Year Estimates - For the entire fiscal year, earnings are estimated at $21.29 per share, reflecting a -5.55% change from the previous year, while revenue is projected at $56.52 billion, indicating a +10.71% change [2] - Recent revisions to analyst forecasts for Chubb may signal changes in near-term business trends, with positive revisions generally indicating a favorable business outlook [2] Zacks Rank and Valuation - Chubb currently holds a Zacks Rank of 3 (Hold), with a 0.43% rise in the Zacks Consensus EPS estimate over the past month [3] - The company has a Forward P/E ratio of 14.18, which is lower than the industry average of 15.34, suggesting it is trading at a discount [3] - Chubb's PEG ratio stands at 6.27, compared to the industry average PEG ratio of 1.83, indicating a significant difference in expected earnings growth [3] Industry Context - The Insurance - Property and Casualty industry, part of the Finance sector, holds a Zacks Industry Rank of 94, placing it in the top 38% of over 250 industries [4] - The Zacks Industry Rank measures the strength of industry groups based on the average Zacks Rank of individual stocks, with the top 50% rated industries outperforming the bottom half by a factor of 2 to 1 [4]

Warren Buffett just bet billions of dollars on Chubb. Late last year, Warren Buffett's holding company, Berkshire Hathaway, started buying up shares of a mysterious company. No one knew the company in question because Berkshire had requested an exemption from the SEC that allowed it to skirt disclosure rules. But in early 2024, the mystery stock was revealed as Chubb (CB 0.75%). Here's the strange part: Chubb runs a business model very similar to Berkshire's. It was strange that Buffett would opt to buy sha ...