Here's Why Chubb (CB) is a Strong Value Stock
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.
Why Investors Should Pay Attention to This Value Stock
Finding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, and Price/Cash Flow to highlight the most attractive and discounted stocks.
Chubb (CB)
Chubb Limited was formerly known as ACE Limited. ACE Limited after acquiring The Chubb Corp in Jan 2016 assumed the name of Chubb. Headquartered in Zurich, Switzerland, the company boasts being one of the world’s largest providers of property and casualty (P&C) insurance and reinsurance and largest publicly traded P&C insurer, based on market capitalization of $86 billion. Chubb has diversified through acquisitions into many specialty lines, including marine, medical risk, excess property, environmental and terrorism insurance and has local operations in 54 countries and territories. Chubb provides specialized insurance products such as personal accident, supplemental health and life insurance to individuals in select countries. Its reinsurance operations include both P&C and life companies.
CB sits at a Zacks Rank #2 (Buy), holds a Value Style Score of A, and has a VGM Score of A. Compared to the Insurance - Property and Casualty industry's P/E of 16.3X, shares of Chubb are trading at a forward P/E of 11.7X. CB also has a PEG Ratio of 1.2, a Price/Cash Flow ratio of 13.4X, and a Price/Sales ratio of 1.9X.
Many value investors pay close attention to a company's earnings as well. For CB, nine analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.84 to $19.18 per share for 2023. Per share CB boasts an average earnings surprise of 6.5%.
CB should be on investors' short lists because of its impressive earnings and valuation fundamentals, a good Zacks Rank, and strong Value and VGM Style Scores.
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Chubb Limited (CB) : Free Stock Analysis Report
