Financial Analysis: Chubb (CB) vs. ICC (ICCH)

Chubb (NYSE:CB) and ICC (NASDAQ:ICCH) are both finance companies, but which is the superior investment? We will compare the two businesses based on the strength of their dividends, analyst recommendations, valuation, institutional ownership, earnings, profitability and risk.

Earnings & Valuation

This table compares Chubb and ICC’s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Chubb $32.46 billion 1.79 $3.86 billion $8.03 15.72
ICC $48.18 million 1.07 $700,000.00 N/A N/A

Chubb has higher revenue and earnings than ICC.

Institutional and Insider Ownership

86.0% of Chubb shares are held by institutional investors. Comparatively, 8.9% of ICC shares are held by institutional investors. 0.4% of Chubb shares are held by insiders. Comparatively, 25.4% of ICC shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Risk & Volatility

Chubb has a beta of 1.02, indicating that its stock price is 2% more volatile than the S&P 500. Comparatively, ICC has a beta of -0.07, indicating that its stock price is 107% less volatile than the S&P 500.

Profitability

This table compares Chubb and ICC’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Chubb 15.37% 9.71% 2.96%
ICC 1.61% 1.28% 0.53%

Analyst Ratings

This is a breakdown of current ratings and price targets for Chubb and ICC, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Chubb 1 4 6 0 2.45
ICC 0 0 0 0 N/A

Chubb presently has a consensus price target of $157.88, suggesting a potential upside of 25.07%. Given Chubb’s higher possible upside, analysts clearly believe Chubb is more favorable than ICC.

Dividends

Chubb pays an annual dividend of $2.92 per share and has a dividend yield of 2.3%. ICC does not pay a dividend. Chubb pays out 36.4% of its earnings in the form of a dividend. Chubb has raised its dividend for 52 consecutive years.

Summary

Chubb beats ICC on 12 of the 15 factors compared between the two stocks.

About Chubb

Chubb Limited, through its subsidiaries, provides insurance and reinsurance products worldwide. Its North America Commercial P&C Insurance segment offers commercial property, marine, general casualty, workers' compensation, package policies, and risk management; and professional lines, marine, construction, environmental, medical, cyber risk, and excess casualty, as well as group accident and health insurance to large, middle market, and small commercial businesses in the United States, Canada, and Bermuda. Its North America Personal P&C Insurance segment provides affluent and high net worth individuals and families with homeowners, automobile and collector cars, valuable articles, personal and excess liability, travel insurance, and recreational marine insurance and services in the United States and Canada. Its North America Agricultural Insurance segment offers multiple peril crop and crop-hail insurance; and coverage for farm and ranch property, as well as commercial agriculture products. Its Overseas General Insurance segment provides coverage for traditional commercial property and casualty; and specialty categories, such as financial lines, marine, energy, aviation, political risk, and construction risk, as well as group accident and health, and traditional and specialty personal lines for large corporations, middle markets, and small customers through retail brokers, agents, and other channels. Its Global Reinsurance segment offers traditional and specialty reinsurance under the Chubb Tempest Re brand name to property and casualty companies. Its Life Insurance segment provides protection and savings products comprising whole life, endowment plans, individual term life, group term life, medical and health, personal accident, credit life, universal life, and unit linked contracts. The company was formerly known as ACE Limited and changed its name to Chubb Limited in January 2016. Chubb Limited was founded in 1985 and is headquartered in Zurich, Switzerland.

About ICC

ICC Holdings, Inc., through its subsidiary, Illinois Casualty Company, provides property and casualty insurance products to the food and beverage industry in the United States. The company offers commercial multi-peril, liquor liability, workers' compensation, and umbrella liability insurance products. It also rents real estate properties. The company markets its products through a network of 160 independent agents in Colorado, Illinois, Indiana, Iowa, Kansas, Minnesota, Missouri, Ohio, and Wisconsin. ICC Holdings, Inc. was founded in 1950 and is headquartered in Rock Island, Illinois.

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