Chubb vs Mapfre Which Is More Favorable?

Chubb Limited (CB) and Mapfre SA (MAP) are two prominent players in the insurance industry, each with its own strengths and opportunities. Chubb is a global insurance provider known for its strong financial performance and dedicated customer service. On the other hand, Mapfre is a Spanish insurance company with a focus on emerging markets and strategic partnerships. Both stocks have shown resilience and growth potential, making them attractive options for investors seeking exposure to the insurance sector.

Chubb or Mapfre?

When comparing Chubb and Mapfre, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Chubb and Mapfre.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Chubb has a dividend yield of 1.3%, while Mapfre has a dividend yield of 9.82%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Chubb reports a 5-year dividend growth of 3.29% year and a payout ratio of 14.19%. On the other hand, Mapfre reports a 5-year dividend growth of -0.05% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Chubb P/E ratio at 11.15 and Mapfre's P/E ratio at 8.79. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Chubb P/B ratio is 1.70 while Mapfre's P/B ratio is 0.90.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Chubb has seen a 5-year revenue growth of 0.72%, while Mapfre's is 0.24%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Chubb's ROE at 16.20% and Mapfre's ROE at 9.79%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $275.00 for Chubb and €2.48 for Mapfre. Over the past year, Chubb's prices ranged from $216.91 to $302.05, with a yearly change of 39.25%. Mapfre's prices fluctuated between €1.92 and €2.70, with a yearly change of 40.71%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.