Principal Financial Group
Principal Financial Group Fell on January 30
Principal Financial Group (PFG) was among the S&P 500’s top losers on January 30. Principal Financial Group opened lower on Tuesday.
How Wall Street Analysts View Chubb Limited
More “strong buy” ratings Chubb Limited (CB) is covered by 19 analysts in January 2018. Nine recommend a “strong buy,” two suggest a “hold,” 1 has given a “strong sell” rating, one suggests a “sell,” and six recommend a “buy” on CB. Of the 19 analysts covering CB in December 2017, one had a “hold” rating, one suggested a […]
Understanding Chubb’s Life Insurance Division
Chubb Limited’s (CB) life insurance division reported net premiums written of $1.58 billion in 9M17, compared to $1.57 billion in 9M16—a marginal 0.6% rise.
Why Chubb’s Global Reinsurance Division Income Fell
Division’s income The Global Reinsurance division of Chubb Limited (CB) consists of reinsurance activities as follows: Chubb Tempest Re USA Chubb Tempest Re Canada Chubb Tempest Re Bermuda Chubb Tempest Re International The global reinsurance division reported income of $146 million in 9M17, compared to $338 million in 9M16—a substantial 56.8% decline. The division’s net […]
Analyzing Chubb’s Overseas General Insurance Division
The Overseas General Insurance division of Chubb Limited (CB) saw a substantial decline in income, from $1.16 billion in 9M16 to $756 million in 9M17.
Chubb’s North America Personal Property and Casualty Division
Chubb Limited’s (CB) North America Personal P&C Insurance division witnessed a significant decline in underwriting income. In 9M17, it generated $53 million, compared to $307 million in 9M16, which reflects an 82.7% fall.
Chubb’s North America Commercial Division’s Income Fell
Chubb Limited’s (CB) North American Commercial Property and Casualty division saw a substantial 17.2% decline in income—mainly because of unfavorable momentum in underwriting income.
What to Expect from Chubb in 4Q17
Chubb Limited (CB) plans to release its 4Q17 earnings report on January 30. The average estimate from Wall Street analysts for earnings per share or EPS in 4Q17 is $2.33.
What Could Drive AIG’s Performance in the Future?
According to Brian Duperreault, chief executive officer of American International Group (AIG), a company in any industry has to take the digitization path for long-term growth and success.
What Do Moving Averages Show for Insurance Stocks in XLF?
On average, the insurance stocks within XLF have a 14-day RSI (relative strength index) of 57. This suggests that they still aren’t overbought.
Strong Balance Sheets Will Likely Support Life Insurers’ Growth
Prudential Financial’s (PRU) balance sheet stood at $757 billion in 2015. It was a marginal contraction from $767 billion in the previous year.
Financial Markets and Reinsurance Impact Life Insurance Growth
The US life insurance industry is the largest in the world. It garners a total direct written premium of above $600 billion annually.
Magnetar Eliminates Exposure to MetLife
MetLife (MET) is a global insurance company that operates in several countries around the world. It reported operating earnings of $1.6 billion in 4Q14.
Yankee Bonds Continue to Dominate High-Grade Bond Issuance
Yankee bonds continued to dominate issuance the third successive week, with 50.0% of all issues. US corporates accounted for 31.3% of all issues in the week.
Volumes Drop for High-Grade Corporate Bonds in Week to April 3
Investment-grade corporate bonds took a nosedive to $4.0 billion in the primary markets in the week to April 3, 2015.
Variable Annuity Sales Lower in 2014
Compared to 2013, variable annuity sales were down by ~3.6% in 2014, at around $140 billion, despite a strong performance in the equity markets.
Gauging Prudential Financial’s Valuation
Among its peers, Prudential remains in the middle of the valuation range, with companies like MetLife and Lincoln Financial showing a lower multiple.
Prudential Financial is a Leading Life Insurer in the US
The US is Prudential’s most important market, contributing over 60% of the company’s pre-tax adjusted operating income and ~50% share of its equity in 2014.
Low yields impact AIG’s life insurance business earnings
Pre-tax operating income of AIG’s Consumer Life Insurance segment stood at $80 million in 4Q14, compared to $215 million in 4Q13.
MetLife’s valuation is close to historical mean
Over the last four years, MetLife’s price ranged between 0.5x–1.0x its book value per share. Its current price-to-book value multiple is ~0.8x.
MetLife pays consistent dividends
After several years of flat dividends (74 cents per share on an annual basis), MetLife increased its payout in 2Q13, as well as in the same quarter of 2014.
MetLife’s return on equity within target range
MetLife’s return on equity evolution shows recovery from 2008–2009 levels, although it has yet to reach that of the pre-crisis periods.
MetLife’s acquisitions deliver growth
MetLife purchased Alico from AIG in 2010, helping MetLife gain exposure to emerging economies where Alico was already operating.
MetLife’s emerging market strategy fostering growth
From 2011–2013, MetLife’s emerging market businesses saw 11% cumulative annual growth rate in operating earnings. EMEA’s growth rate was 16.1%.
MetLife develops its employee benefits business across the globe
Latin America is a major contributor to MetLife’s business unit, with nearly half the revenue. EMEA follows, with a share of revenues of ~40% in 2013.
MetLife is delivering well in the strategy front
MetLife targeted $1 billion in expense savings, which the company is on track to achieve in 2015. Cumulative expense savings in 2014 exceeded $910 million.
MetLife’s well-diversified EMEA business
MetLife has exposure to many currencies, particularly the euro, the Polish zloty, and the Russian ruble, which diversifies its foreign exchange exposure.
MetLife’s US Retail business becomes a profitable franchise
MetLife is working to develop direct sales channels, which would reduce the share of agent commissions in operating costs.
MetLife is a leading player in the US insurance industry
MetLife intends to grow its retail business and expects low single-digit growth in the long term.
MetLife – A globally diversified insurance company
MetLife is a market leader in the US and the largest life insurer in Mexico and Chile. It is among the leading players in Japan, Korea, and Poland.
An insurer’s investments: Dominated by debt securities
A large portion of an insurer’s balance sheet contains lower-risk assets such as government bonds and high-grade corporate bonds.
Why Fiesta is consolidating its food distribution
Fiesta’s partnership with food distributor PFG will allow the growing brands to share a national distribution system and freight consolidation.