Chubb (NYSE:CB) Sees Strong Trading Volume on Strong Earnings

Chubb Limited (NYSE:CB) shares saw an uptick in trading volume on Wednesday following a better than expected earnings announcement. 1,282,306 shares traded hands during mid-day trading, a decline of 25% from the previous session’s volume of 1,717,698 shares.The stock last traded at $342.8860 and had previously closed at $354.80.

The financial services provider reported $7.26 EPS for the quarter, topping analysts’ consensus estimates of $6.77 by $0.49. The firm had revenue of $16.01 billion for the quarter, compared to analysts’ expectations of $15.07 billion. Chubb had a net margin of 18.10% and a return on equity of 14.47%. The business’s revenue for the quarter was up 3.6% on a year-over-year basis. During the same period in the prior year, the business posted $6.14 earnings per share.

Chubb Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, July 2nd. Shareholders of record on Friday, June 12th were given a $1.02 dividend. This is a positive change from Chubb’s previous quarterly dividend of $0.97. The ex-dividend date of this dividend was Friday, June 12th. This represents a $4.08 annualized dividend and a yield of 1.2%. Chubb’s dividend payout ratio is presently 14.41%.

Trending Headlines about Chubb

Here are the key news stories impacting Chubb this week:

• Positive Sentiment: Chubb beat Q2 expectations, with earnings and revenue both coming in above consensus, helped by stronger P&C underwriting, lower catastrophe losses, and record investment income. CB Q2 Earnings Beat on Higher Underwriting and Investment Income
• Positive Sentiment: Analysts turned more constructive after earnings, with Goldman Sachs reiterating a Buy rating and JPMorgan and Citizens JMP raising price targets, signaling expectations for continued upside. Chubb Earns Buy Rating on Strong Core EPS and Resilient Underwriting Despite Softer Property-Casualty Markets
• Positive Sentiment: The earnings call and follow-up coverage highlighted resilient underwriting and strong core EPS, suggesting Chubb’s margins are holding up even as parts of the property-casualty market soften. Chubb Ltd Earnings Call Balances Strength and Strain

Analyst Upgrades and Downgrades

CB has been the topic of a number of research reports. Evercore reaffirmed an “outperform” rating and set a $374.00 target price on shares of Chubb in a research report on Friday, July 10th. Keefe, Bruyette & Woods increased their price objective on Chubb from $374.00 to $389.00 and gave the stock an “outperform” rating in a research note on Wednesday, July 8th. Wells Fargo & Company reduced their price objective on Chubb from $358.00 to $356.00 and set an “equal weight” rating on the stock in a report on Thursday. Cantor Fitzgerald lifted their target price on Chubb from $318.00 to $337.00 and gave the company a “neutral” rating in a research report on Thursday, July 9th. Finally, Deutsche Bank Aktiengesellschaft reiterated a “hold” rating and issued a $354.00 target price on shares of Chubb in a report on Wednesday. Two research analysts have rated the stock with a Strong Buy rating, seven have issued a Buy rating, twelve have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, Chubb presently has an average rating of “Hold” and an average price target of $360.09.

Insider Buying and Selling at Chubb

In other news, COO John W. Keogh sold 23,000 shares of the company’s stock in a transaction that occurred on Wednesday, May 27th. The shares were sold at an average price of $321.51, for a total value of $7,394,730.00. Following the completion of the sale, the chief operating officer owned 203,322 shares of the company’s stock, valued at approximately $65,370,056.22. This represents a 10.16% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Insiders own 0.37% of the company’s stock.

Hedge Funds Weigh In On Chubb

Institutional investors have recently bought and sold shares of the business. CBIZ Investment Advisory Services LLC boosted its position in Chubb by 148.5% during the 4th quarter. CBIZ Investment Advisory Services LLC now owns 82 shares of the financial services provider’s stock valued at $26,000 after acquiring an additional 49 shares in the last quarter. Frazier Financial Advisors LLC raised its position in shares of Chubb by 86.4% in the 1st quarter. Frazier Financial Advisors LLC now owns 82 shares of the financial services provider’s stock worth $27,000 after acquiring an additional 38 shares in the last quarter. Merkkuri Wealth Advisors LLC bought a new position in shares of Chubb in the 1st quarter worth $29,000. Laurel Wealth Advisors LLC purchased a new stake in shares of Chubb during the 4th quarter worth $31,000. Finally, Ares Financial Consulting LLC purchased a new stake in shares of Chubb during the 4th quarter worth $32,000. 83.81% of the stock is owned by hedge funds and other institutional investors.

Chubb Stock Performance

The business has a 50-day moving average of $334.84 and a two-hundred day moving average of $326.86. The company has a market cap of $136.90 billion, a P/E ratio of 12.49, a P/E/G ratio of 1.77 and a beta of 0.40. The company has a debt-to-equity ratio of 0.20, a current ratio of 0.36 and a quick ratio of 0.28.

About Chubb

Chubb is a global property and casualty insurance company that underwrites a broad range of commercial and personal insurance products and related services. Its offerings include commercial property and casualty coverage, specialty liability, professional and management liability, cyber and technology insurance, marine and energy, surety, accident and health solutions, and high-net-worth personal lines such as homeowners, auto and valuables protection. Chubb serves businesses, individuals and institutions with tailored underwriting and risk-transfer solutions across multiple industry sectors.

In addition to core underwriting, Chubb provides risk engineering, loss control, claims management and risk consulting services intended to reduce loss severity and help clients manage exposures.