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 $136.1B against $25.7B — 5.3× the size. Cincinnati Financial Corporation trades at the lower P/E: 8.0× against 12.6×. 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 (2.15% vs 1.11%). Across the 21 metrics below, Cincinnati Financial Corporation leads on 17 and Chubb Limited on 4.

Valuation

Metric CB CINF Insurance Property & Casualty median
P/E 12.60 7.99 10.75
P/S 2.25 1.89 1.21
P/B 1.72 1.58 1.99
Price to free cash flow 9.06 7.76 7.76
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 7.94% 12.52% 9.08%
Free cash flow yield 11.04% 12.88% 12.11%

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% 17.46%
Return on equity 14.41% 21.48% 17.34%
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% 8.02%
EPS growth (last fiscal year) 13.13% 4.40% 39.61%
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 1.11% 2.15% 1.50%
Payout ratio 0.14 0.17 0.14

Size

Metric CB CINF Insurance Property & Casualty median
Market cap 136.11b 25.66b 2.67b

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