Chubb Corp. (NYSE:CB) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research report issued on Wednesday.
According to Zacks, “Chubb’s exposure to cat loss and a low interest rate environment are headwinds. Rising expenses and eroding margins are concerns. Nonetheless, it stands a good chance of taking leadership in the P&C space benefiting from complementary products and services. It’s inorganic growth story seems impressive and should help it achieve higher long-term ROE. A strong capital position helps Chubb to engage in shareholder friendly moves and invest in strategic initiatives that drive growth. Recently, Chubb’s unit, ESIS, introduced three new industry practices that will offer a better and superior level of expertise to the clients and drive excellent claim outcomes. It stays focused on reviewing underwriting actions in portfolios that do not meet its risk appetite and lower net premium and hence will either terminate or re-insure to improve risk/reward profile. Chubb expects third quarter investment income between $820-830 million.”
Several other analysts have also issued reports on the stock. Atlantic Securities lowered shares of Chubb Corp. from a “neutral” rating to an “underweight” rating and set a $115.00 price target on the stock. in a research report on Thursday, June 16th. Credit Suisse Group AG set a $136.00 price target on shares of Chubb Corp. and gave the company a “buy” rating in a research report on Monday, September 12th. Citigroup Inc. reissued a “neutral” rating on shares of Chubb Corp. in a research report on Tuesday, June 21st. BMO Capital Markets lowered shares of Chubb Corp. from an “outperform” rating to a “market perform” rating and set a $136.00 price target on the stock. in a research report on Monday, July 11th. They noted that the move was a valuation call. Finally, MKM Partners reissued a “buy” rating and issued a $150.00 price target (up previously from $140.00) on shares of Chubb Corp. in a research report on Friday, July 15th. Two research analysts have rated the stock with a sell rating, three have assigned a hold rating and ten have issued a buy rating to the stock. The company has a consensus rating of “Buy” and an average price target of $131.14.
Chubb Corp. (NYSE:CB) opened at 124.39 on Wednesday. The company has a 50-day moving average of $126.09 and a 200 day moving average of $124.60. Chubb Corp. has a 52 week low of $100.34 and a 52 week high of $131.00. The company has a market cap of $57.85 billion, a P/E ratio of 20.60 and a beta of 1.00.
Chubb Corp. (NYSE:CB) last announced its quarterly earnings data on Tuesday, July 26th. The company reported $2.25 EPS for the quarter, missing the consensus estimate of $2.45 by $0.20. The company earned $7.64 billion during the quarter, compared to the consensus estimate of $7.40 billion. Chubb Corp. had a return on equity of 9.92% and a net margin of 9.35%. The business’s revenue was up 59.7% on a year-over-year basis. During the same period in the prior year, the firm posted $2.08 EPS. On average, equities analysts forecast that Chubb Corp. will post $9.57 EPS for the current fiscal year.
The firm also recently disclosed a quarterly dividend, which will be paid on Friday, October 21st. Stockholders of record on Friday, September 30th will be paid a $0.69 dividend. The ex-dividend date of this dividend is Wednesday, September 28th. This represents a $2.76 dividend on an annualized basis and a dividend yield of 2.22%. Chubb Corp.’s dividend payout ratio (DPR) is 44.37%.
In other news, EVP Sean Ringsted sold 15,570 shares of the company’s stock in a transaction on Tuesday, August 2nd. The shares were sold at an average price of $125.00, for a total value of $1,946,250.00. Following the completion of the sale, the executive vice president now owns 169,762 shares of the company’s stock, valued at approximately $21,220,250. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Robert W. Scully acquired 10,725 shares of the business’s stock in a transaction dated Wednesday, August 3rd. The stock was acquired at an average cost of $125.95 per share, with a total value of $1,350,813.75. Following the purchase, the director now directly owns 5,779 shares in the company, valued at approximately $727,865.05. The disclosure for this purchase can be found here. 0.43% of the stock is currently owned by insiders.
Large investors have recently made changes to their positions in the stock. Pathstone Family Office LLC boosted its stake in shares of Chubb Corp. by 47.8% in the second quarter. Pathstone Family Office LLC now owns 773 shares of the company’s stock worth $101,000 after buying an additional 250 shares during the period. Motco raised its stake in Chubb Corp. by 3.5% in the second quarter. Motco now owns 915 shares of the company’s stock worth $120,000 after buying an additional 31 shares in the last quarter. FNY Managed Accounts LLC raised its stake in Chubb Corp. by 31.6% in the second quarter. FNY Managed Accounts LLC now owns 987 shares of the company’s stock worth $129,000 after buying an additional 237 shares in the last quarter. Global X Management Co. LLC raised its stake in Chubb Corp. by 207.4% in the second quarter. Global X Management Co. LLC now owns 993 shares of the company’s stock worth $130,000 after buying an additional 670 shares in the last quarter. Finally, Integrated Investment Consultants LLC raised its stake in Chubb Corp. by 14.5% in the second quarter. Integrated Investment Consultants LLC now owns 1,011 shares of the company’s stock worth $132,000 after buying an additional 128 shares in the last quarter. 87.25% of the stock is owned by institutional investors.
About Chubb Corp.
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