CB

Travelers and Chubb are highlighted as strong insurance stocks with combined ratios well below 100%, indicating solid underwriting profits of approximately $0.16 per premium dollar. Both companies benefit from substantial investment portfolios ($100B and $172B respectively) that generate significant investment income, creating a long-term growth flywheel. While trading above historical valuations with modest dividend yields, these stocks may appeal to growth-oriented investors.

Chubb (CB) has been upgraded to a Zacks Rank #2 (Buy) rating, primarily driven by upward trends in earnings estimates. The company is expected to earn $27.72 per share for fiscal year 2026, with analysts raising consensus estimates by 2.3% over the past three months. The upgrade positions Chubb in the top 20% of Zacks-covered stocks, suggesting potential for near-term stock price appreciation.

Chubb (CB) reported Q3 2026 revenue of $16.81 billion, up 4.2% year-over-year, beating consensus estimates by 0.55%. EPS of $7.66 significantly exceeded expectations of $6.53, representing a 17.31% surprise.

The company demonstrated strong operational performance with a combined ratio of 84.1%, better than the 87.2% estimate. However, the stock received a Zacks Rank #3 (Hold) rating, suggesting near-term performance in line with the broader market.