Cincinnati Financial Corporation (CINF) vs The Travelers Companies, Inc. (TRV)

Cincinnati Financial Corporation and The Travelers Companies, Inc. are both Insurance Property & Casualty companies. The Travelers Companies, Inc. is the larger, with a market value of $80.1B against $25.7B — 3.1× the size. Cincinnati Financial Corporation trades at the lower P/E: 8.0× against 10.3×. Cincinnati Financial Corporation grew revenue faster over the last twelve months: 19.6% against 2.39%. Cincinnati Financial Corporation has the higher net margin (23.8% vs 16.8%) and the higher return on invested capital (16.7% vs 16.2%). Both pay a dividend; Cincinnati Financial Corporation yields more (2.15% vs 1.21%). Across the 21 metrics below, Cincinnati Financial Corporation leads on 14 and The Travelers Companies, Inc. on 7.

Valuation

Metric CINF TRV Insurance Property & Casualty median
P/E 7.99 10.28 10.75
P/S 1.89 1.67 1.21
P/B 1.58 2.48 1.99
Price to free cash flow 7.76 7.48 7.76
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 12.52% 9.73% 9.08%
Free cash flow yield 12.88% 13.38% 12.11%

Profitability

Metric CINF TRV Insurance Property & Casualty median
Gross margin 30.39% 49.51% 41.16%
Operating margin 30.16% 22.03% 15.09%
Net margin 23.84% 16.83% 11.51%
Free cash flow margin 24.37% 22.40% 17.46%
Return on equity 21.48% 26.32% 17.34%
Return on assets 8.11% 5.84% 3.74%
Return on invested capital 16.65% 16.22% 12.06%

Growth

Metric CINF TRV Insurance Property & Casualty median
Revenue growth (TTM) 19.55% 2.39% 8.02%
EPS growth (last fiscal year) 4.40% 27.76% 39.61%
Revenue growth, 5-year CAGR 10.88% 8.83% 9.23%
Net income growth, 5-year CAGR 14.50% 18.44% 10.09%

Health

Metric CINF TRV Insurance Property & Casualty median
Debt to equity 0.05 0.27 0.25
Current ratio 0.30 0.27 0.42
Net debt to EBITDA (0.17) 0.52 0.08

Dividend

Metric CINF TRV Insurance Property & Casualty median
Dividend yield 2.15% 1.21% 1.50%
Payout ratio 0.17 0.13 0.14

Size

Metric CINF TRV Insurance Property & Casualty median
Market cap 25.66b 80.07b 2.67b

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