Chubb delivered 18.8% returns over the last year. See how this stacks up to the rest of the Insurance industry.<\/a><\/p>\n Approach 1: Chubb Excess Returns Analysis <\/p>\n The Excess Returns model asks a simple question: are Chubb’s future returns on shareholder capital expected to stand meaningfully above its cost of equity, and for how long? That gap, called excess return, is then capitalised to estimate what today\u2019s shares could be worth.<\/p>\n For Chubb, the starting point is a Book Value of US$182.22 per share and a Stable Book Value estimate of US$223.81 per share, based on weighted future book value estimates from 12 analysts. On those assets, analysts see Stable EPS of US$29.72 per share, derived from future return on equity estimates from 13 analysts. That implies an Average Return on Equity of 13.28%.<\/p>\n The model uses a Cost of Equity of US$14.83 per share and an Excess Return of US$14.88 per share, so expected returns sit above the required return in this framework. When those excess returns are projected forward and discounted, the model arrives at an intrinsic value of about US$665.76 per share.<\/p>\n Compared with the recent share price of US$315.19, this points to a 52.7% discount, which the model interprets as Chubb being undervalued on an excess returns basis.<\/p>\n Result: UNDERVALUED<\/p>\n Our Excess Returns analysis suggests Chubb is undervalued by 52.7%. Track this in your watchlist<\/a> or portfolio<\/a>, or discover 882 more undervalued stocks based on cash flows<\/a>.<\/p>\n Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Chubb.<\/a><\/p>\n Story Continues <\/p>\n Approach 2: Chubb Price vs Earnings <\/p>\n For a profitable company like Chubb, the P\/E ratio is a straightforward way to link what you pay today to the earnings the business is already generating. It helps you see how many dollars investors are currently willing to pay for each dollar of earnings.<\/p>\n What counts as a “normal” P\/E really depends on how the market views the company\u2019s growth outlook and risk profile. Higher expected growth or lower perceived risk can justify a higher multiple, while slower expected growth or higher risk usually points to a lower one.<\/p>\n Chubb is trading on a P\/E of 12.82x. That sits above the peer average of 10.01x, and slightly below the broader Insurance industry average of 13.04x, which puts it somewhere in the middle of the pack. To go a step further, Simply Wall St\u2019s Fair Ratio model estimates a P\/E of 14.40x for Chubb, based on factors such as earnings growth characteristics, profit margins, industry, market cap and company specific risks.<\/p>\n This Fair Ratio can be more informative than a simple peer or industry comparison because it adjusts for Chubb\u2019s own profile rather than treating all insurers as the same. With the current P\/E of 12.82x sitting below the Fair Ratio of 14.40x, the shares screen as undervalued on this metric.<\/p>\n Result: UNDERVALUED<\/p>\n P\/E ratios tell one story, but what if the real opportunity lies elsewhere? Discover 1452 companies where insiders are betting big on explosive growth<\/a>.<\/p>\n Upgrade Your Decision Making: Choose your Chubb Narrative <\/p>\n Earlier we mentioned that there is an even better way to understand valuation, so let us introduce you to Narratives. These are simple stories you build around Chubb that connect your view of its future revenue, earnings and margins to a forecast and then to a fair value. All of this happens inside the Simply Wall St Community page that millions of investors use to compare their own fair value estimates with the live share price, see how those estimates shift when new earnings or news hit, and understand why one investor might see Chubb as worth US$247.08 per share while another sees closer to US$311.09, based on different expectations for things like international expansion, AI enabled products and share buybacks.<\/p>\n Do you think there’s more to the story for Chubb? Head over to our Community to see what others are saying!<\/a><\/p>\n This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.<\/p>\n Companies discussed in this article include CB<\/a>.<\/p>\n Have feedback on this article? Concerned about the content? Get in touch<\/a> with us directly. Alternatively, email editorial-team@simplywallst.com<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"If you are wondering whether Chubb’s current share price lines up with its underlying value, you are not…\n","protected":false},"author":2,"featured_media":44714,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[131],"tags":[240,34309,938,34308,842],"class_list":["post-62427","post","type-post","status-publish","format-standard","has-post-thumbnail","category-chubb","tag-chubb","tag-excess-return","tag-excess-returns","tag-expected-returns","tag-share-price"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@ch\/116541032133063529","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts\/62427","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/comments?post=62427"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/posts\/62427\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/media\/44714"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/media?parent=62427"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/categories?post=62427"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ch\/wp-json\/wp\/v2\/tags?post=62427"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}![\"CB](\"https:\/\/www.europesays.com\/ch\/wp-content\/uploads\/2026\/05\/4c35efbba729d35545a4ad9fc107f705.png\")
<\/a> CB Discounted Cash Flow as at Jan 2026 <\/p>\n<\/a> NYSE:CB P\/E Ratio as at Jan 2026 <\/p>\n
<\/a> NYSE:CB 1-Year Stock Price Chart <\/p>\n