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Chubb (CB) Return-on-Tangible-Equity : 51.09% (As of Dec. 2023)


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What is Chubb Return-on-Tangible-Equity?

Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Chubb's annualized net income for the quarter that ended in Dec. 2023 was $13,200 Mil. Chubb's average shareholder tangible equity for the quarter that ended in Dec. 2023 was $25,836 Mil. Therefore, Chubb's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2023 was 51.09%.

The historical rank and industry rank for Chubb's Return-on-Tangible-Equity or its related term are showing as below:

CB' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 9.86   Med: 14.23   Max: 33.7
Current: 33.7

During the past 13 years, Chubb's highest Return-on-Tangible-Equity was 33.70%. The lowest was 9.86%. And the median was 14.23%.

CB's Return-on-Tangible-Equity is ranked better than
87.87% of 478 companies
in the Insurance industry
Industry Median: 11.77 vs CB: 33.70

Chubb Return-on-Tangible-Equity Historical Data

The historical data trend for Chubb's Return-on-Tangible-Equity can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Chubb Return-on-Tangible-Equity Chart

Chubb Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.31 9.86 22.21 16.40 33.12

Chubb Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 28.56 25.84 32.72 51.09 28.63

Competitive Comparison of Chubb's Return-on-Tangible-Equity

For the Insurance - Property & Casualty subindustry, Chubb's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Chubb's Return-on-Tangible-Equity Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, Chubb's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Chubb's Return-on-Tangible-Equity falls into.



Chubb Return-on-Tangible-Equity Calculation

Chubb's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2023 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2023 )  (A: Dec. 2022 )(A: Dec. 2023 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2023 )  (A: Dec. 2022 )(A: Dec. 2023 )
=9028/( (25148+29372 )/ 2 )
=9028/27260
=33.12 %

Chubb's annualized Return-on-Tangible-Equity for the quarter that ended in Dec. 2023 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Dec. 2023 )  (Q: Sep. 2023 )(Q: Dec. 2023 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Dec. 2023 )  (Q: Sep. 2023 )(Q: Dec. 2023 )
=13200/( (22300+29372)/ 2 )
=13200/25836
=51.09 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Dec. 2023) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Chubb  (NYSE:CB) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net Income is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.


Chubb Return-on-Tangible-Equity Related Terms

Thank you for viewing the detailed overview of Chubb's Return-on-Tangible-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.


Chubb (CB) Business Description

Industry
Traded in Other Exchanges
Address
Baerengasse 32, Zurich, CHE, CH-8001
ACE acquired Chubb in the first quarter of 2016 and assumed the Chubb name. The combination made the new Chubb one of the largest domestic property and casualty insurers, with operations in 54 countries spanning commercial and personal P&C insurance, reinsurance, and life insurance.
Executives
Juan Luis Ortega officer: Executive Vice President* CHUBB, AVENUE OF THE AMERICAS, NEW YORK NY 10036
John J Lupica officer: Chrm, Ins - NA, Pres.- ACE USA 436 WALNUT STREET, PHILADELPHIA PA 19106-3703
Joseph F Wayland officer: General Counsel 1133 AVENUE OF THE AMERICAS, 45TH FLOOR, NEW YORK NY 10036
John W Keogh officer: CEO of ACE Overseas General ACE OVERSEAS GENERAL, 1133 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Theodore Shasta director C/O MBIA INC., 113 KING STREET, ARMONK NY 10504
Timothy Alan Boroughs officer: Chief Investment Officer* 1133 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Michael G Atieh director MERCK MEDCO MANAGED CARE INC, 100 SUMMIT AVE, MONTVALE NJ 07645
Annmarie T Hagan officer: Chief Accounting Officer TWO LIBERTY PLACE, 1601 CHESTNUT STREET, PHILADELPHIA PA 19192
Frances D. O'brien officer: Chief Risk Officer THE CHUBB BUILDING, 17 WOODBOURNE AVENUE, HAMILTON D0 HM 08
Nancy Buese director 1515 ARAPAHOE STREET, DENVER CO 80202-2126
Michael Corbat director 388 GREENWICH STREET, 17TH FLOOR, NEW YORK NY 10013
Bryce L. Johns officer: Senior Vice President, * THE CHUBB BUILDING, 17 WOODBOURNE AVENUE, HAMILTON D0 HM 08
Sean Ringsted officer: Chief Risk Officer and* THE ACE BLDG., 17 WOODBOURNE AVE., HAMILTON D0 HM 08
Evan G Greenberg director, officer: President & COO THE CHUBB BUILDING, 17 WOODBOURNE AVENUE, HAMILTON D0 HM 08
Kathleen Bonanno director 3000 TANNERY WAY, SANTA CLARA CA 95054

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