13 Best Long Term Low Risk Stocks to Buy Now

3. Chubb Limited (NYSE:CB)

Beta (5Y Monthly): 0.49

5-Year Return: 104.3%

On February 4, Roth Capital Partners raised its price objective on Chubb Limited (NYSE:CB) to $360 from $330. The firm also reiterated a Buy rating following the company’s Q4 earnings beat. In a note to investors, the analyst said underwriting performance remained strong, highlighting a reported combined ratio of 81.2% and an underlying combined ratio of 80.6%.

The day before, on February 3, Chubb reported higher fourth-quarter profit, supported by stronger investment income and a meaningful decline in catastrophe losses. Insurance spending has stayed resilient even as businesses and consumers cut back in other areas, reflecting continued efforts to protect against climate-related events and newer risks such as cyber threats.

Pre-tax net investment income increased 8% to a record $1.69 billion in the quarter. Insurers generally invest across a mix of asset classes, including fixed income and equities, and returns tend to follow broader market trends. Catastrophe losses came in at $365 million on a pre-tax basis, down sharply from $607 million a year earlier. These losses remain a major source of earnings volatility for US insurers, driven largely by hurricanes, wildfires, and other severe weather events.

Core operating income, net of tax, rose to $2.98 billion, or $7.52 per share, for the three months ended December 31. That compared with $2.45 billion, or $6.02 per share, in the same period last year.

Chubb Limited (NYSE:CB) is a Switzerland-based holding company that, through its subsidiaries, provides insurance and reinsurance products and services to customers around the world.