Chubb stock: buy or sell?

CB stock price: $153.40 -1.17% At close on August 23rd, 2019

Updated on:
August 23rd, 2019

4

Chubb decreased a bad -1.17% and closed at $153.40.

Chubb Limited, through its subsidiaries, provides insurance and reinsurance products worldwide. The company's North America Commercial P&C Insurance segment offers commercial property, marine, general casualty, workers' compensation, package policies, and risk management; and professional lines, marine and construction risk, environmental and cyber risk, and excess casualty, as well as group accident and health insurance to large, middle market, and small commercial businesses in the United States, Canada, and Bermuda.

Should I buy Chubb stock?

Make a decision about when to buy or sell stocks is one of the hardest parts of being a trader or investor. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best time to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.

None of our preferred buy setups matches with Chubb stock situation right now, hence this is not a suitable entry point.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This doesn't mean CB will slide in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems.

Is Chubb stock a buy?

Financial institutions and banks publish stock ratings everyday. At Stocks2.com, we detected 15 ratings published for CB stock in the last 30 days.

Is CB a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-8-15Morgan Stanleyn/aEqual Weight
2019-7-5Raymond JamesStrong-BuyStrong-Buy
2019-7-5Raymond Jamesn/aOutperform
2019-7-29UBS Groupn/aNeutral
2019-7-26Morgan Stanleyn/aEqual Weight
2019-7-25JMP Securitiesn/aOutperform
2019-7-24JMP Securitiesn/aOutperform
2019-7-19Morgan Stanleyn/aEqual Weight
2019-7-11Wells Fargo & Con/aOutperform
2019-6-20Atlantic SecuritiesNeutralUnderweight
2019-5-23UBS GroupBuyNeutral
2019-5-22Barclaysn/aOverweight
2019-4-3Sandler O'NeillBuyHold
2019-4-17Morgan StanleyOverweightEqual Weight
2019-2-27Credit Suisse GroupNeutralUnderperform

Chubb stock analysis

Daily outlook

Chubb decreased a bad -1.17% and closed at $153.40.

Chubb closed today at $153.40 and decreased a bad -1.17%. From a daily perspective, CB is in a short term uptrend after plotting its last bottom ($147.48, on August/6) higher than the previous bottom, and its last top ($160.23, on Aug/9) also over the previous top. Now trading in between its last bottom and last top CB might consolidate in a plain range, waiting to break out over $160.23 or down under $147.48. On August/6 CB price bounced up over the SMA of 50 days demonstrating to be a significant support for this stock. On August/9, CB hit a new all time high, pushing higher than on Aug 8th tops. Check different trading setups that use ATHs as triggers.

CB stock chart (daily)

Weekly outlook

Chubb shares decreased -1.29% this week, ending at $153.40.

Chubb stock is trading in the range of its last top and last bottom. Loosing would mean breaking the current uptrend. Breakdowns under last bottom are selling point signals for some trading strategies. Not so far away is the last price record Chubb marked early August. Since SMA20d and SMA40w crossed up by mid March, CB price climbed $18.47 per share (13.69%). Since price and SMA40w lines crossed up by mid February, CB climbed $24.41 (18.92%).

CB stock chart (weekly)

Chubb stock price history

Chubb stock went public on September 7th, 1984 with a price of $0.871. Since then, CB stock surged a 17,532.20%, with a yearly average of 515.70%. If you had invested $1,000 in Chubb stock in 1984, it would worth $175,322.00 today.

1: Adjusted price after possible price splits or reverse-splits.

Chubb stock historical price chart

CB stock reached all-time highs on August 9th with a price of $160.23.

Chubb stock price target is $157.50

How much a stock will be priced tomorrow or next week is quite unpredictable However, many stock price predictions are published every day by banks, financial institutions and independent analysts. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. We have 11 price forecasts for CB stock posted in the last 30 days:
CB stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-8-15Morgan StanleyRaises Target$154.00$163.005.8%
2019-7-5Raymond JamesReiterates$150.00$160.006.7%
2019-7-5Raymond JamesRaises Target$150.00$160.006.7%
2019-7-29UBS GroupRaises Target$156.00$157.000.6%
2019-7-26Morgan StanleyRaises Target$153.00$154.000.7%
2019-7-24JMP SecuritiesRaises Target$160.00$165.003.1%
2019-7-19Morgan StanleyRaises Target$151.00$153.001.3%
2019-7-11Wells Fargo & CoRaises Target$157.00$165.005.1%
2019-6-20Atlantic SecuritiesDowngradesn/a$135.00-
2019-5-23UBS GroupDowngrades$146.00$154.005.5%
2019-5-22BarclaysRaises Target$160.00$167.004.4%
(in average)$153.70$157.502.0%
Moving in a range from $167.00 and $135.00, the price prediction for CB stock is $157.50.

Financials and fundamental analysis

Earnings date and Earnings per Share

Since April, when Chubb posted its last earnings report, it soared a more than good 11.24%. As soon as we get its posted EPS from the earnings report, we will extend this review.
CB earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a2.88n/a
2017-Q32017-10-26-0.24-0.13n/a
2017-Q42018-01-302.292.28-0.4%
2018-Q12018-04-242.242.344.5%
2018-Q22018-07-242.632.681.9%
2018-Q32018-10-232.332.413.4%
2018-Q42019-02-051.932.024.7%
2019-Q12019-04-232.66n/an/a
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

In 2018, Chubb annual turnover grew a slightly good 1.47% to $32,717.00 M dollars from $32,243.00 marked in 2017. When comparing 2018 vs 2017, aligned with this, profit margin (that is, the net income divided by revenues) remained constant a 0.14% to 12.11%.

Chubb presents anual results in December, and to compare its evolution since then, we estimate annual sales and income figures by adding results from the last 4 quarters. This is called TTM (or Twelve Trailing Months). So, Chubb TTM sales up to March 2019 were $32,762.00 and earnings $3,920.00 M USD. If we compare this TTM figures with the last reported annuality, we can esteem Chubb business evolution since December 2018: Annual turnover up to March, compared to lastest yearly report, remained stable a tight 0.14%. Aligned with this, profit margin (net income/revenues) remained constant at 12.11%.

CB annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$18,880 M-$3,760 M19.9%-
2014$19,171 M1.54%$2,853 M14.9%-24.12%
2015$18,987 M-0.96%$2,834 M14.9%-0.67%
2016$31,469 M65.74%$4,135 M13.1%45.91%
2017$32,243 M2.46%$3,861 M12.0%-6.63%
2018$32,717 M1.47%$3,962 M12.1%2.62%
TTM $32,762 M0.14%$3,920 M12.0%-1.06%

Quarterly financial results

Chubb posted $7,876.00 million in sales for 2019-Q1, a 3.28% improvement compared to previous quarter. Reported quarter income marked $1,040.00 million with a profit margin of 13.20%. Profit margin rose a 8.55% compared to previous quarter when profit margin was 4.66%. When comparing sales to same quarter last year, Chubb sales marked a neutral movement and remained constant a 0.57%.
CB quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$8,100 M-$1,310 M16.2%-
2017-Q3$8,600 M6.17%$-70 M-0.8%-105.34%
2017-Q4$8,015 M-6.80%$1,533 M19.1%-2,290.00%
2018-Q1$7,831 M-2.30%$1,082 M13.8%-29.42%
2018-Q2$8,510 M8.67%$1,294 M15.2%19.59%
2018-Q3$8,750 M2.82%$1,231 M14.1%-4.87%
2018-Q4$7,626 M-12.85%$355 M4.7%-71.16%
2019-Q1$7,876 M3.28%$1,040 M13.2%192.96%

Chubb ownership

When you are planning to buy shares of a company, it's worth to have a look its ownership structure.

Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For Chubb, 0.62% of all outstanding shares are owned by its staff.

Bearish positions for CB stock account 0.00%, no big difference from last month.

The following table compares ownership indicators for other stocks related to Chubb:

CBACGLRNR
Market cap$70.2 B$16.0 B$7.5 B
Total shares457.9 M403.8 M40.1 M
Float shares452.5 M356.4 M43.4 M
  - Institutional holdings (%)90.5%90.9%100.9%
  - Insider holdings (%)0.6%3.0%1.6%
Shares in short selling0.0%0.0%0.0%

Chubb summary

Friday, August 23rd, 2019
Open$155.00
Close$153.40
Day range$152.52 - $156.48
Previous close$155.22
Session gain-1.17%
Average true range$3.47
50d mov avg$151.32
100d mov avg$147.07
200d mov avg$138.76
Daily patternlt06a
Weekly pattern lt06a

Chubb performance

To measure stock performance is always good to compare with competitors or related stocks. For Chubb, the comparison is made against Arch Capital and RenaissanceRe.
Stock3m6m12m
CBChubb4.05%15.24%15.99%
ACGLArch Capital15.03%22.51%28.18%
RNRRenaissanceRe8.68%30.30%43.06%

Chubb competitors

Choosing a list of competitors for Chubb it's tough. We selected 2 public companies that are related to and can be considered as competitors of Chubb:

Latest Chubb stock news