Zacks Investment Research upgraded
The Chubb Corporation
) to a Zacks Rank #1 (Strong Buy) on Dec 27, 2013.
ALLIED WORLD AS (AWH): Free Stock Analysis
CHUBB CORP (CB): Free Stock Analysis Report
CINCINNATI FINL (CINF): Free Stock Analysis
CNA FINL CORP (CNA): Free Stock Analysis
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Why the Upgrade?
Chubb Corporation witnessed upward estimate revisions on the back
of solid earnings results. This property and casualty insurer
delivered positive earnings surprises in the last 4 quarters with
an average beat of 49.5%. Moreover, the company provided an
enhanced guidance for full-year 2013.
In the last reported quarter, Chubb Corporation's operating
earnings per share came in at $2.06, surpassing the Zacks
Consensus Estimate by 12%. The earnings also improved 4% year
over year. Earnings were primarily aided by solid growth in
premiums written and a decrease in losses and loss
Other important metrics like combined ratio showed an improvement
of 60 basis points and book value improved 1.7% year over year
during the quarter. The company also continued with its share
repurchases and boosted investor confidence on the stock.
Based on its progress over the first nine months of 2013, Chubb
Corporation raised its earnings per share projection for
full-year 2013 to $7.90-$8.00 from $7.30-$7.50. The Zacks
Consensus Estimate for full-year 2013 is pegged at $7.96 per
share, which lies within the company guided range. This estimate
also reflects a year-over-year improvement of 52.1%. The Zacks
Consensus Estimate for full-year 2014 increased nearly 1% to
$7.40 per share as many estimates were revised higher over the
last 60 days. The long-term expected earnings growth rate for
this stock is 10.4%
Chubb Corporation is scheduled to release its fourth-quarter 2013
results on Jan 30, 2014. The Zacks Consensus Estimate for the
fourth quarter is pegged at $1.99 per share, representing an
enormous year-over-year improvement of 1146%.
Other Stocks to Consider
Other players in the property and casualty insurance space, which
look attractive at current levels, include
Allied World Assurance Company Holdings, AG
Cincinnati Financial Corp.
CNA Financial Corporation
). All these stocks carry the same Zacks Rank as Chubb