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 $82.6B against $28.9B — 2.9× the size. The Travelers Companies, Inc. trades at the lower P/E: 10.4× against 10.9×. Cincinnati Financial Corporation grew revenue faster over the last twelve months: 9.91% against 1.07%. Cincinnati Financial Corporation has the higher net margin (20.1% vs 16.9%) and the lower return on invested capital (13.2% vs 17.8%). Both pay a dividend; Cincinnati Financial Corporation yields more (1.96% vs 1.17%). Across the 21 metrics below, Cincinnati Financial Corporation leads on 11 and The Travelers Companies, Inc. on 10.

Valuation

Metric CINF TRV Insurance Property & Casualty median
P/E 10.90 10.38 12.17
P/S 2.17 1.70 1.26
P/B 1.78 2.87 1.85
Price to free cash flow 9.37 7.82 8.04
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 9.17% 9.63% 8.20%
Free cash flow yield 10.67% 12.78% 11.86%

Profitability

Metric CINF TRV Insurance Property & Casualty median
Gross margin 25.48% 49.67% 37.39%
Operating margin 25.21% 22.12% 14.67%
Net margin 20.07% 16.91% 10.16%
Free cash flow margin 23.19% 21.74% 18.60%
Return on equity 16.87% 27.30% 16.59%
Return on assets 6.41% 5.79% 3.38%
Return on invested capital 13.22% 17.78% 9.43%

Growth

Metric CINF TRV Insurance Property & Casualty median
Revenue growth (TTM) 9.91% 1.07% 5.70%
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 0.34 0.25
Current ratio 0.27 0.27 0.49
Net debt to EBITDA (0.17) 0.52 0.08

Dividend

Metric CINF TRV Insurance Property & Casualty median
Dividend yield 1.96% 1.17% 1.56%
Payout ratio 0.22 0.12 0.15

Size

Metric CINF TRV Insurance Property & Casualty median
Market cap 28.91b 82.57b 2.64b

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