AXIS CAPITAL HOLDINGS LTD (AXS) Stock Fundamental Analysis
USA - NYSE:AXS - BMG0692U1099 - Common Stock
102.21 USD
-0.48 (-0.47%)
102.21 USD
0 (0%)
AXS gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 146 industry peers in the Insurance industry. While AXS is still in line with the averages on profitability rating, there are concerns on its financial health. AXS has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year AXS was profitable.
AXS had a negative operating cash flow in the past year.
Of the past 5 years AXS 4 years were profitable.
AXS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
AXS's Return On Assets of 2.86% is fine compared to the rest of the industry. AXS outperforms 61.64% of its industry peers.
With a decent Return On Equity value of 15.43%, AXS is doing good in the industry, outperforming 71.23% of the companies in the same industry.
AXS has a Return On Invested Capital of 1.99%. This is comparable to the rest of the industry: AXS outperforms 47.95% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AXS is below the industry average of 4.51%.
The last Return On Invested Capital (1.99%) for AXS is above the 3 year average (1.54%), which is a sign of increasing profitability.
| 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
The Profit Margin of AXS (15.56%) is better than 79.45% of its industry peers.
AXS's Profit Margin has improved in the last couple of years.
With a Operating Margin value of 13.58%, AXS perfoms like the industry average, outperforming 58.22% of the companies in the same industry.
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AXS is destroying value.
Compared to 1 year ago, AXS has less shares outstanding
AXS has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, AXS has an improved debt to assets ratio.
2.2 Solvency
AXS has a Debt/Equity ratio of 0.21. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.21, AXS is doing good in the industry, outperforming 69.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACC0.25
WACC8.08%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 13.72% over the past year.
The Earnings Per Share has been growing by 34.71% on average over the past years. This is a very strong growth
Looking at the last year, AXS shows a small growth in Revenue. The Revenue has grown by 5.64% in the last year.
The Revenue has been growing slightly by 2.79% on average over the past years.
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
The Earnings Per Share is expected to grow by 8.26% on average over the next years. This is quite good.
The Revenue is expected to grow by 7.61% on average over the next years.
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
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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 8.06, the valuation of AXS can be described as very reasonable.
71.92% of the companies in the same industry are more expensive than AXS, based on the Price/Earnings ratio.
AXS's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.89.
The Price/Forward Earnings ratio is 7.90, which indicates a rather cheap valuation of AXS.
AXS's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. AXS is cheaper than 70.55% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.59. AXS is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.06 | ||
| Fwd PE | 7.9 |
4.2 Price Multiples
AXS's Enterprise Value to EBITDA ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.35 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.65
PEG (5Y)0.23
EPS Next 2Y7.56%
EPS Next 3Y8.26%
5. Dividend
5.1 Amount
AXS has a Yearly Dividend Yield of 1.71%. Purely for dividend investing, there may be better candidates out there.
AXS's Dividend Yield is comparable with the industry average which is at 3.47.
AXS's Dividend Yield is slightly below the S&P500 average, which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.71% |
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 its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
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.
The dividend of AXS is growing, but earnings are growing more, so the dividend growth is sustainable.
DP17.93%
EPS Next 2Y7.56%
EPS Next 3Y8.26%
102.21
-0.48 (-0.47%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners98.97%
Inst Owner Change-1.92%
Ins Owners0.61%
Ins Owner Change-0.38%
Market Cap7.99B
Revenue(TTM)6.31B
Net Income(TTM)982.67M
Analysts78.57
Price Target117.64 (15.1%)
Short Float %1.29%
Short Ratio1.44
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.71% |
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)1.62%
EPS NQ rev (1m)0.17%
EPS NQ rev (3m)0.99%
EPS NY rev (1m)4.67%
EPS NY rev (3m)8.95%
Revenue NQ rev (1m)8.86%
Revenue NQ rev (3m)2.43%
Revenue NY rev (1m)4.13%
Revenue NY rev (3m)3.94%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.06 | ||
| Fwd PE | 7.9 | ||
| P/S | 1.27 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.25 | ||
| P/tB | 1.3 | ||
| EV/EBITDA | 9.35 |
EPS(TTM)12.68
EY12.41%
EPS(NY)12.93
Fwd EY12.65%
FCF(TTM)-4.54
FCFYN/A
OCF(TTM)-4.04
OCFYN/A
SpS80.77
BVpS81.45
TBVpS78.45
PEG (NY)0.65
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
WACC8.08%
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 4 / 10 to AXS.
What is the valuation status of AXIS CAPITAL HOLDINGS LTD (AXS) stock?
ChartMill assigns a valuation rating of 5 / 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 5 / 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 8.06 and the Price/Book (PB) ratio is 1.25.
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.