A month has gone by since the last earnings report for Chubb (CB) . Shares have added about 3.5% in that time frame, underperforming the S&P 500.Will the recent positive trend continue leading up to its next earnings release, or is Chubb due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers. Chubb's Q4 Earnings Surpass on Underwriting StrengthChubb Limited ...

Chubb Limited’s (CB) board of directors announced to propose a 5.8% hike in its dividend. The insurer will now pay, if approved, an annual dividend of $3.64 or 91 cents per share quarterly. The latest hike would mark the 31st straight year of dividend increase.Based on the closing price of $255.44 as of Feb 22, the company’s dividend yield is 1.4%, much above the industry average of 0.3%. This makes the stock an attractive pick for yield-seeking investors.This Zacks Rank #2 (Buy) insurer is one of the world ...

Chubb Limited (CB) is well-positioned for growth, driven by a compelling portfolio, strong renewal retention, positive rate increases, strategic initiatives to fuel profitability, solid capital position and favorable growth estimates.Earnings Surprise HistoryChubb’s earnings beat estimates in each of the last four quarters, the average being 23.44%.Return on EquityReturn on equity of Chubb was 16.4% in the trailing 12 months, which expanded 390 basis points year over year and was better than the industry av ...

We could be adversely affected by certain features of the Inflation Reduction Act. On August 16, 2022, President Biden signed the Inflation Reduction Act (IRA) of 2022 (H.R. 5376). Key tax provisions included in the IRA include a 15 percent corporate alternative minimum tax (CAMT) on adjusted financial statement income for corporations with average profits over $1 billion, and a 1 percent excise tax on repurchases of corporate stock. The CAMT and the excise tax on share repurchases are effective for tax yea ...

New Chubb and National Center of Middle Market Survey reveals inflation remains the number one risk, and rising concerns over cybersecurity, natural catastrophes and insurance coverage gaps WHITEHOUSE STATION, N.J., Feb. 22, 2024  /PRNewswire/ -- Chubb and the National Center for the Middle Market (NCMM) released today new data that reveals middle market companies demonstrated continued robust growth against the backdrop of inflationary pressures, cybersecurity threats, natural catastrophes and insurance co ...

ZURICH, Feb. 22, 2024 /PRNewswire/ -- Chubb Limited (NYSE: CB) announced today that its Board of Directors will recommend to shareholders at the company's 2024 Annual General Meeting an increase in its quarterly dividend for the thirty-first consecutive year. The proposal calls for a $3.64 annual per share dividend, payable in four quarterly installments of $0.91 per share, compared to the current quarterly dividend amount of $0.86 per share. The Board also declared a quarterly dividend equal to $0.86 per s ...

Shares of Chubb (CB) have been strong performers lately, with the stock up 10.2% over the past month. The stock hit a new 52-week high of $249.62 in the previous session. Chubb has gained 10.3% since the start of the year compared to the 0.1% move for the Zacks Finance sector and the 9.3% return for the Zacks Insurance - Property and Casualty industry.What's Driving the Outperformance?The stock has a great record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of ...

Investors interested in stocks from the Insurance - Property and Casualty sector have probably already heard of Chubb (CB) and Cincinnati Financial (CINF) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.Everyone has their own methods for finding great value opportunities, but our model includes pairing an impressive grade in the Value category of our Style Scores system with a strong Zacks Rank. The Zacks Rank favors stocks with strong ...

WHITEHOUSE STATION, N.J., Jan. 31, 2024 /PRNewswire/ -- Chubb has named Seth Gillston Executive Vice President, Head of North America Industry Practices. In this role, Gillston will drive and lead overall strategy for Chubb's industry-focused initiatives, which include coordinated underwriting, risk engineering and claims services targeted to specific industries across various market segments.Gillston will continue to serve as Private Equity Industry Practice Leader. He will be based in New York City and re ...

Financial Data and Key Metrics Changes - The company reported a record year with core operating income exceeding $9.3 billion, up 45%, or $8.2 billion excluding a one-time tax benefit, which represents a 28% increase [5][17] - The core operating return on equity (ROE) was 15.4%, while the return on tangible equity was 24.2%. Excluding the tax benefit, the core operating ROE was 13.6% and tangible ROE was 21.6% [6][17] - The book value per share increased by 12.2% in the quarter and 18.2% for the full year, reaching an all-time high of $146.83 [49][50] Business Line Data and Key Metrics Changes - North America commercial P&C, which represents 40% of the company, grew by 7.5%, while the remaining 60% of the company grew by 18% [8] - U.S. high net-worth personal lines grew by 11%, international consumer P&C grew by 18%, international commercial P&C grew over 11%, and life insurance grew by 52% [8][17] - The combined ratio for the year was 95.4%, with an underwriting profit of $146 million in the agriculture business [11] Market Data and Key Metrics Changes - International general insurance operations saw net premiums grow by 19.3% with a combined ratio of 85.9%. Asia led growth with premiums up 37% [23] - Pricing in the retail business increased by over 7%, with property and casualty line pricing up over 10% [12] - Loss cost inflation across the international retail commercial portfolio is trending at 5.8% [12] Company Strategy and Development Direction - The company aims to return to more robust growth in North America commercial P&C, with expectations of strong pricing and exposure changes [10] - The company is focused on maintaining a healthy balance between underwriting income and investment income, which was approximately 50-50 for the year [17] - The company continues to leverage its global diversification to achieve broad-based growth across various regions [19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the underwriting environment, noting that while there are pockets of elevated loss costs, overall trends remain steady [30][36] - The company anticipates continued double-digit growth in operating earnings through P&C revenue growth and improved underwriting margins [47][113] - Management acknowledged the challenges posed by geopolitical risks but maintained a positive outlook for growth in Asia and Europe [108] Other Important Information - A one-time deferred tax benefit of $1.14 billion was recognized due to changes in Bermuda's corporate income tax law, which will positively impact book value over the next decade [25] - The investment portfolio grew over 20% year-over-year, reaching $137 billion, benefiting from strong operating cash flows [26] Q&A Session Summary Question: What gives comfort that the underwriting environment remains strong despite long-tail loss inflation? - Management noted that while loss costs have been steady, they have visibility on loss costs and believe the underwriting environment remains favorable [30][32] Question: Expectations for North America commercial growth in 2024? - Management refrained from providing specific guidance but indicated that growth rates prior to the fourth quarter were more robust than the reported 7.5% [33] Question: Update on reserve releases in North America commercial? - Management clarified that reserve changes were not connected to underwriting actions and that the loss ratio was not impacted by those changes [59][60] Question: How does the company manage climate change risks in agriculture? - Management highlighted their ability to select risks and operate efficiently due to scale and technology, which helps manage pricing adequacy [88] Question: Thoughts on the E&S market and high net worth business? - Management expressed a preference for admitted markets due to customer convenience but acknowledged the need to use E&S where necessary [90] Question: How does the company view geopolitical risks in Asia and Europe? - Management believes that while risks exist, stability is sought by all parties involved, and they do not foresee a significant conflict [108]