AXIS CAPITAL HOLDINGS LTD (AXS) Stock Fundamental Analysis
USA - NYSE:AXS - BMG0692U1099 - Common Stock
99.54 USD
+1.95 (+2%)
99.54 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to AXS. AXS was compared to 146 industry peers in the Insurance industry. There are concerns on the financial health of AXS while its profitability can be described as average. AXS has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
AXS had positive earnings in the past year.
In the past year AXS has reported a negative cash flow from operations.
Of the past 5 years AXS 4 years were profitable.
Each year in the past 5 years AXS had a positive operating cash flow.
1.2 Ratios
AXS has a Return On Assets of 2.86%. This is in the better half of the industry: AXS outperforms 63.70% of its industry peers.
The Return On Equity of AXS (15.43%) is better than 72.60% of its industry peers.
With a Return On Invested Capital value of 1.99%, AXS perfoms like the industry average, outperforming 45.89% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for AXS is below the industry average of 4.53%.
The 3 year average ROIC (1.54%) for AXS is below the current ROIC(1.99%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.86% | ||
| ROE | 15.43% | ||
| ROIC | 1.99% |
ROA(3y)1.69%
ROA(5y)1.33%
ROE(3y)9.33%
ROE(5y)7.21%
ROIC(3y)1.54%
ROIC(5y)1.36%
1.3 Margins
AXS's Profit Margin of 15.56% is amongst the best of the industry. AXS outperforms 82.19% of its industry peers.
AXS's Profit Margin has improved in the last couple of years.
AXS has a Operating Margin of 13.58%. This is comparable to the rest of the industry: AXS outperforms 58.22% of its industry peers.
AXS's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.58% | ||
| PM (TTM) | 15.56% | ||
| GM | N/A |
OM growth 3Y9.71%
OM growth 5Y15.36%
PM growth 3Y16.87%
PM growth 5Y26.54%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
AXS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, AXS has less shares outstanding
AXS has less shares outstanding than it did 5 years ago.
The debt/assets ratio for AXS has been reduced compared to a year ago.
2.2 Solvency
A Debt/Equity ratio of 0.21 indicates that AXS is not too dependend on debt financing.
AXS has a Debt to Equity ratio of 0.21. This is in the better half of the industry: AXS outperforms 68.49% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACC0.25
WACC8.04%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
AXS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 13.72%, which is quite good.
The Earnings Per Share has been growing by 34.71% on average over the past years. This is a very strong growth
The Revenue has been growing slightly by 5.64% in the past year.
AXS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.79% yearly.
EPS 1Y (TTM)13.72%
EPS 3Y29.82%
EPS 5Y34.71%
EPS Q2Q%19.93%
Revenue 1Y (TTM)5.64%
Revenue growth 3Y3.83%
Revenue growth 5Y2.79%
Sales Q2Q%35.91%
3.2 Future
AXS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.26% yearly.
Based on estimates for the next years, AXS will show a small growth in Revenue. The Revenue will grow by 7.61% on average per year.
EPS Next Y12.39%
EPS Next 2Y7.56%
EPS Next 3Y8.26%
EPS Next 5YN/A
Revenue Next Year8.95%
Revenue Next 2Y8.25%
Revenue Next 3Y7.61%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 7.85, the valuation of AXS can be described as very cheap.
Based on the Price/Earnings ratio, AXS is valued a bit cheaper than the industry average as 71.23% of the companies are valued more expensively.
AXS's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.83.
With a Price/Forward Earnings ratio of 7.70, the valuation of AXS can be described as very cheap.
AXS's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. AXS is cheaper than 71.23% of the companies in the same industry.
AXS is valuated cheaply when we compare the Price/Forward Earnings ratio to 32.68, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.85 | ||
| Fwd PE | 7.7 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AXS is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.91 |
4.3 Compensation for Growth
AXS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of AXS may justify a higher PE ratio.
PEG (NY)0.63
PEG (5Y)0.23
EPS Next 2Y7.56%
EPS Next 3Y8.26%
5. Dividend
5.1 Amount
AXS has a Yearly Dividend Yield of 1.80%.
AXS's Dividend Yield is comparable with the industry average which is at 3.33.
Compared to the average S&P500 Dividend Yield of 2.39, AXS is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
5.2 History
The dividend of AXS has a limited annual growth rate of 0.21%.
AXS has paid a dividend for at least 10 years, which is a reliable track record.
AXS has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)0.21%
Div Incr Years0
Div Non Decr Years21
5.3 Sustainability
17.93% of the earnings are spent on dividend by AXS. This is a low number and sustainable payout ratio.
AXS's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP17.93%
EPS Next 2Y7.56%
EPS Next 3Y8.26%
99.54
+1.95 (+2%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners98.97%
Inst Owner Change-2%
Ins Owners0.61%
Ins Owner Change-0.38%
Market Cap7.78B
Revenue(TTM)6.31B
Net Income(TTM)982.67M
Analysts78.57
Price Target117.64 (18.18%)
Short Float %1.29%
Short Ratio1.44
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.8% |
Yearly Dividend2.16
Dividend Growth(5Y)0.21%
DP17.93%
Div Incr Years0
Div Non Decr Years21
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.81%
Min EPS beat(2)10.34%
Max EPS beat(2)11.27%
EPS beat(4)4
Avg EPS beat(4)13.4%
Min EPS beat(4)10.34%
Max EPS beat(4)17.73%
EPS beat(8)8
Avg EPS beat(8)30.9%
EPS beat(12)12
Avg EPS beat(12)25.37%
EPS beat(16)15
Avg EPS beat(16)19.84%
Revenue beat(2)1
Avg Revenue beat(2)6.49%
Min Revenue beat(2)-0.82%
Max Revenue beat(2)13.81%
Revenue beat(4)1
Avg Revenue beat(4)1.1%
Min Revenue beat(4)-5.65%
Max Revenue beat(4)13.81%
Revenue beat(8)4
Avg Revenue beat(8)2.79%
Revenue beat(12)6
Avg Revenue beat(12)4.57%
Revenue beat(16)8
Avg Revenue beat(16)4.81%
PT rev (1m)1.62%
PT rev (3m)1.95%
EPS NQ rev (1m)-0.69%
EPS NQ rev (3m)0.29%
EPS NY rev (1m)3.75%
EPS NY rev (3m)7.99%
Revenue NQ rev (1m)3.91%
Revenue NQ rev (3m)-2.23%
Revenue NY rev (1m)1.92%
Revenue NY rev (3m)1.73%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.85 | ||
| Fwd PE | 7.7 | ||
| P/S | 1.23 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.22 | ||
| P/tB | 1.27 | ||
| EV/EBITDA | 8.91 |
EPS(TTM)12.68
EY12.74%
EPS(NY)12.93
Fwd EY12.99%
FCF(TTM)-4.54
FCFYN/A
OCF(TTM)-4.04
OCFYN/A
SpS80.77
BVpS81.45
TBVpS78.45
PEG (NY)0.63
PEG (5Y)0.23
Graham Number152.44
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.86% | ||
| ROE | 15.43% | ||
| ROCE | 2.52% | ||
| ROIC | 1.99% | ||
| ROICexc | 2.04% | ||
| ROICexgc | 4.04% | ||
| OM | 13.58% | ||
| PM (TTM) | 15.56% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)1.69%
ROA(5y)1.33%
ROE(3y)9.33%
ROE(5y)7.21%
ROIC(3y)1.54%
ROIC(5y)1.36%
ROICexc(3y)1.66%
ROICexc(5y)1.45%
ROICexgc(3y)3.05%
ROICexgc(5y)2.57%
ROCE(3y)1.95%
ROCE(5y)1.72%
ROICexgc growth 3Y15.11%
ROICexgc growth 5Y17.13%
ROICexc growth 3Y10.27%
ROICexc growth 5Y13.84%
OM growth 3Y9.71%
OM growth 5Y15.36%
PM growth 3Y16.87%
PM growth 5Y26.54%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.44 | ||
| Cap/Depr | 71.81% | ||
| Cap/Sales | 0.62% | ||
| Interest Coverage | 13.66 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score6
WACC8.04%
ROIC/WACC0.25
Cap/Depr(3y)42.19%
Cap/Depr(5y)50.45%
Cap/Sales(3y)0.52%
Cap/Sales(5y)0.64%
Profit Quality(3y)289.19%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)13.72%
EPS 3Y29.82%
EPS 5Y34.71%
EPS Q2Q%19.93%
EPS Next Y12.39%
EPS Next 2Y7.56%
EPS Next 3Y8.26%
EPS Next 5YN/A
Revenue 1Y (TTM)5.64%
Revenue growth 3Y3.83%
Revenue growth 5Y2.79%
Sales Q2Q%35.91%
Revenue Next Year8.95%
Revenue Next 2Y8.25%
Revenue Next 3Y7.61%
Revenue Next 5YN/A
EBIT growth 1Y9.02%
EBIT growth 3Y13.92%
EBIT growth 5Y18.58%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-150.93%
FCF growth 3Y19.31%
FCF growth 5Y68.16%
OCF growth 1Y-143.58%
OCF growth 3Y18.28%
OCF growth 5Y56.11%
AXIS CAPITAL HOLDINGS LTD / AXS FAQ
What is the ChartMill fundamental rating of AXIS CAPITAL HOLDINGS LTD (AXS) stock?
ChartMill assigns a fundamental rating of 5 / 10 to AXS.
What is the valuation status of AXIS CAPITAL HOLDINGS LTD (AXS) stock?
ChartMill assigns a valuation rating of 6 / 10 to AXIS CAPITAL HOLDINGS LTD (AXS). This can be considered as Fairly Valued.
What is the profitability of AXS stock?
AXIS CAPITAL HOLDINGS LTD (AXS) has a profitability rating of 6 / 10.
What is the valuation of AXIS CAPITAL HOLDINGS LTD based on its PE and PB ratios?
The Price/Earnings (PE) ratio for AXIS CAPITAL HOLDINGS LTD (AXS) is 7.85 and the Price/Book (PB) ratio is 1.22.
What is the expected EPS growth for AXIS CAPITAL HOLDINGS LTD (AXS) stock?
The Earnings per Share (EPS) of AXIS CAPITAL HOLDINGS LTD (AXS) is expected to grow by 12.39% in the next year.