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Is Chubb Limited (CB) Stock Undervalued Right Now?
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While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One stock to keep an eye on is Chubb Limited (CB - Free Report) . CB is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock holds a P/E ratio of 10.71, while its industry has an average P/E of 25.41. Over the past year, CB's Forward P/E has been as high as 14.59 and as low as 9.96, with a median of 10.90.
Investors will also notice that CB has a PEG ratio of 1.07. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. CB's PEG compares to its industry's average PEG of 2.39. Over the past 52 weeks, CB's PEG has been as high as 1.46 and as low as 1, with a median of 1.09.
If you're looking for another solid Insurance - Property and Casualty value stock, take a look at NMI (NMIH - Free Report) . NMIH is a # 2 (Buy) stock with a Value score of A.
NMI is trading at a forward earnings multiple of 7.16 at the moment, with a PEG ratio of 0.68. This compares to its industry's average P/E of 25.41 and average PEG ratio of 2.39.
NMIH's price-to-earnings ratio has been as high as 7.78 and as low as 5.35, with a median of 6.80, while its PEG ratio has been as high as 0.70 and as low as 0.63, with a median of 0.65, all within the past year.
Furthermore, NMI holds a P/B ratio of 1.32 and its industry's price-to-book ratio is 1.44. NMIH's P/B has been as high as 1.40, as low as 1.04, with a median of 1.23 over the past 12 months.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Chubb Limited and NMI are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, CB and NMIH feels like a great value stock at the moment.
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Is Chubb Limited (CB) Stock Undervalued Right Now?
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.
Of these, perhaps no stock market trend is more popular than value investing, which is a strategy that has proven to be successful in all sorts of market environments. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.
One stock to keep an eye on is Chubb Limited (CB - Free Report) . CB is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock holds a P/E ratio of 10.71, while its industry has an average P/E of 25.41. Over the past year, CB's Forward P/E has been as high as 14.59 and as low as 9.96, with a median of 10.90.
Investors will also notice that CB has a PEG ratio of 1.07. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. CB's PEG compares to its industry's average PEG of 2.39. Over the past 52 weeks, CB's PEG has been as high as 1.46 and as low as 1, with a median of 1.09.
If you're looking for another solid Insurance - Property and Casualty value stock, take a look at NMI (NMIH - Free Report) . NMIH is a # 2 (Buy) stock with a Value score of A.
NMI is trading at a forward earnings multiple of 7.16 at the moment, with a PEG ratio of 0.68. This compares to its industry's average P/E of 25.41 and average PEG ratio of 2.39.
NMIH's price-to-earnings ratio has been as high as 7.78 and as low as 5.35, with a median of 6.80, while its PEG ratio has been as high as 0.70 and as low as 0.63, with a median of 0.65, all within the past year.
Furthermore, NMI holds a P/B ratio of 1.32 and its industry's price-to-book ratio is 1.44. NMIH's P/B has been as high as 1.40, as low as 1.04, with a median of 1.23 over the past 12 months.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Chubb Limited and NMI are likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, CB and NMIH feels like a great value stock at the moment.