Chubb Limited (CB) vs Cincinnati Financial Corporation (CINF)

Chubb Limited and Cincinnati Financial Corporation are both Insurance Property & Casualty companies. Chubb Limited is the larger, with a market value of $129.3B against $24.9B — 5.2× the size. Cincinnati Financial Corporation trades at the lower P/E: 7.6× against 11.7×. Cincinnati Financial Corporation grew revenue faster over the last twelve months: 19.6% against 8.02%. Cincinnati Financial Corporation has the higher net margin (23.8% vs 18.1%) and the higher return on invested capital (16.7% vs 9.52%). Both pay a dividend; Cincinnati Financial Corporation yields more (2.99% vs 1.46%). Across the 23 metrics below, Cincinnati Financial Corporation leads on 19 and Chubb Limited on 4.

Valuation

Metric CB CINF Insurance Property & Casualty median
P/E 11.68 7.58 10.29
P/S 2.09 1.80 1.17
P/B 1.60 1.50 1.83
Price to free cash flow 8.40 7.37 7.48
EV/EBITDA 9.83 5.54 7.49
EV/Sales 2.39 1.73 1.13
Earnings yield 8.56% 13.19% 9.50%
Free cash flow yield 11.91% 13.57% 13.29%

Profitability

Metric CB CINF Insurance Property & Casualty median
Gross margin 31.02% 30.39% 41.16%
Operating margin 24.55% 30.16% 15.09%
Net margin 18.10% 23.84% 11.51%
Free cash flow margin 24.88% 24.37% 17.59%
Return on equity 14.41% 21.48% 18.19%
Return on assets 4.12% 8.11% 3.74%
Return on invested capital 9.52% 16.65% 12.06%

Growth

Metric CB CINF Insurance Property & Casualty median
Revenue growth (TTM) 8.02% 19.55% 8.69%
EPS growth (last fiscal year) 13.13% 4.40% —
Revenue growth, 5-year CAGR 10.54% 10.88% 9.23%
Net income growth, 5-year CAGR 23.89% 14.50% 10.09%

Health

Metric CB CINF Insurance Property & Casualty median
Debt to equity 0.27 0.05 0.25
Current ratio 0.25 0.30 0.42
Net debt to EBITDA 1.31 (0.17) 0.08

Dividend

Metric CB CINF Insurance Property & Casualty median
Dividend yield 1.46% 2.99% 2.79%
Payout ratio 0.24 0.34 0.27

Size

Metric CB CINF Insurance Property & Casualty median
Market cap 129.34b 24.91b 2.44b

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