Chubb Limited provides property and casualty insurance to businesses and individuals. It offers personal insurance products for homes, valuable articles, homeowners, automobiles, and yachts; and personal liability, and personal accident and supplemental health insurance products. The company also provides various commercial insurance products, including multiple peril, primary liability, excess and umbrella liability, automobile, workers compensation, and property and marine insurance products. The company was formerly known as ACE Limited and changed its name to Chubb Limited in January 2016. Chubb Limited was founded in 1985 and is based in Zurich, Switzerland.
CB Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Chubb Ltd. To summarize, we found that Chubb Ltd ranked in the 60th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 100% on a DCF basis. The most interesting components of our discounted cash flow analysis for Chubb Ltd ended up being:
The company's debt burden, as measured by earnings divided by interest payments, is 6.14; that's higher than 57.35% of US stocks in the Financial Services sector that have positive free cash flow.
Chubb Ltd's weighted average cost of capital (WACC) is 7%; for context, that number is higher than merely 16.7% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Chubb Ltd? See FNHC, IVZ, Y, GL, and FHI.
AM Best has assigned a Long-Term Issue Credit Rating of "a+" to Chubb INA Holdings Inc.’s (Chubb) (Delaware) recently announced $1 billion 1.375% 10-year senior unsecured notes offering. These notes will be guaranteed by Chubb Limited [NYSE: CB]. The outlook assigned to the Credit Rating (rating) is stable.
Chubb (CB) prices a public offering of $1.0B of 1.375% senior notes due 2030 and intends to use the proceeds plus available cash to repay at maturity the $1.0B of its 2.875% senior notes due Nov. 3, 2022.Joint book-running managers for the offering are Citigroup Global Markets and JPMorgan Securities.Chubb's...
ZURICH, Sept. 14, 2020 /PRNewswire/ -- Chubb Limited (NYSE: CB) announced today that its subsidiary, Chubb INA Holdings Inc. (Chubb INA), has priced a public offering of $1.0 billion of 1.375% senior notes due 2030. The notes are guaranteed by Chubb Limited. Chubb INA intends to use the…