CB — Chubb Limited

Global P&C insurance leader. AGI Score 7/10. $129B market cap. P/TB 1.74. Buybacks -10% shares. $73.8B equity | Analysis date: 2026-03-13

Stock Price — CB

Why are we looking at this?

AGI Score 7/10 — Labor Margin Play. Chubb is the world's largest publicly traded P&C insurer with $272B in assets and $73.8B stockholders equity. Trades at 1.74x book with steady buybacks. AGI thesis: insurance underwriting is precisely what AI excels at — Chubb can dramatically reduce claims processing costs, improve underwriting accuracy, and detect fraud. Plus AGI creates NEW insurance demand (cyber, AI liability, autonomous vehicles). At $329/share with $25.67 EPS and a 12.8x P/E, this is a high-quality compounder.

$328.97
Stock Price
$129.5B
Market Cap
1.74x
Price / Book
$60.1B
Net Premiums Written
$10.3B
Net Income
$12.8B
Operating Cash Flow
$73.8B
Stockholders Equity
12.8x
P/E Ratio
1.18%
Dividend Yield

1. The Business

Chubb operates in 54 countries through six segments: North America Commercial/Personal/Agricultural P&C, Overseas General Insurance, Global Reinsurance, and Life Insurance. 45,000 employees.

2. Balance Sheet

ItemFY2024FY2023FY2022FY2021
Total Assets$272.3B$246.5B$230.7B$199.0B
Investments$158.0B$142.1B$131.2B$112.2B
Cash$2.3B$2.3B$2.4B$2.0B
Goodwill$20.2B$19.6B$19.7B$16.2B
Other Intangibles$9.2B$9.6B$10.4B$9.1B
Total Liabilities$192.5B$178.2B$167.0B$148.5B
Stockholders Equity$73.8B$64.0B$59.5B$50.5B
Tangible Book Value$44.3B$34.8B$29.4B$25.1B
Tangible BV / Share$113.37$86.94$72.55$60.62

Goodwill Warning

$29.4B in goodwill + intangibles (40% of equity). Tangible book is $44.3B vs $73.8B total equity. At $329/share, P/Tangible Book = 2.9x. This is expensive relative to tangible assets. However, for a premium insurance franchise, goodwill represents brand value, distribution, and customer relationships that ARE economically real.

3. Cash Flow & Earnings

ItemFY2024FY2023FY2022FY2021
Net Premiums Written$60.1B$56.2B$50.1B$43.0B
Net Income$10.3B$9.3B$9.0B$5.2B
EPS (diluted)$25.68$22.51$21.80$12.55
Operating Cash Flow$12.8B$16.2B$12.6B$11.3B
Share Buybacks($3.7B)($1.8B)($2.4B)($2.9B)
Dividends($1.5B)($1.4B)($1.4B)($1.4B)

Shares Outstanding

YearSharesChange
FY2021414,594,856
FY2022405,269,637-2.2%
FY2023400,703,663-1.1%
FY2024391,101,227-2.4%

Compounding Machine

EPS doubled from $12.55 to $25.68 in 3 years. Net premiums growing 12%/yr. OCF consistently $11-16B. Combined ratio under 90%. This is what a high-quality insurance compounder looks like. Buffett's 6.4% stake validates the quality.

4. AGI Impact Analysis

AGI Score: 7/10 — Insurance Benefits from AGI

AGI helps Chubb in multiple ways: automate claims processing (26,988 loss expense), improve underwriting accuracy (better risk pricing), detect fraud. AGI creates NEW demand: cyber risk coverage for AI systems, liability for autonomous vehicles, business interruption for AI-dependent operations. Chubb's global scale ($272B assets) enables investment in AI capabilities. Data from decades of claims provides strategic value. Minimal innovation risk — insurance fundamentals unchanged by AGI.

5. 10x Analysis (Backwards)

What price gives us 10x?

Current market cap: $129.5B. 10x = $1.3T. No insurance company will be worth $1.3T. Not a 10x play.

This is a steady 2-3x compounder. If EPS grows at 10%/yr for 7 years: $25.68 * 1.10^7 = $50. At 15x P/E = $750/share = 2.3x from today. With dividends reinvested, total return ~3x.

Floor price: $200-220/share (1.0-1.1x tangible book of ~$190/share in 2-3 years). Very low chance of losing money at 1x tangible book for a franchise this strong.

Entry zone: $250-270 (1.3-1.4x tangible book). Below $250, this becomes very attractive as a long-term compounder.

6. Initial Assessment

Summary — WATCHLIST (Quality Compounder)

Chubb is the highest-quality name on this list. Best-in-class insurer, Buffett-approved, growing earnings, returning capital. AGI is a tailwind for both cost reduction and new product demand.

But at $329 and 1.74x book, it's not cheap. Relative to tangible book ($113/share), you're paying 2.9x. The $29.4B in goodwill means you're betting on franchise value, not hard assets.

Not a 10x. A 2-3x compounder you buy during market panics. Target entry: $250-270.

Data sources: SEC EDGAR XBRL, yfinance, 10-K filing, AGI scoring model. Analysis date: 2026-03-13.