AXIS CAPITAL HOLDINGS LTD (AXS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:AXS - BMG0692U1099 - Common Stock
107.68 USD
+0.62 (+0.58%)
107.68 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to AXS. AXS was compared to 147 industry peers in the Insurance industry. There are concerns on the financial health of AXS while its profitability can be described as average. AXS is not valued too expensively and it also shows a decent growth rate. Finally AXS also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year AXS was profitable.
In the past year AXS has reported a negative cash flow from operations.
AXS had positive earnings in 4 of the past 5 years.
AXS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
AXS has a better Return On Assets (2.86%) than 62.59% of its industry peers.
Looking at the Return On Equity, with a value of 15.43%, AXS is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 1.99%, AXS is in line with its industry, outperforming 46.94% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for AXS is significantly below the industry average of 14.89%.
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
AXS has a Profit Margin of 15.56%. This is in the better half of the industry: AXS outperforms 78.91% of its industry peers.
AXS's Profit Margin has improved in the last couple of years.
AXS has a Operating Margin (13.58%) which is comparable to the rest of the 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
AXS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for AXS has been reduced compared to 1 year ago.
AXS has less shares outstanding than it did 5 years ago.
AXS has a better debt/assets ratio than last year.
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.
The Debt to Equity ratio of AXS (0.21) is better than 68.03% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACC0.25
WACC8.12%
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.
Measured over the past years, AXS shows a very strong growth in Earnings Per Share. The EPS has been growing by 34.71% on average per year.
AXS shows a small growth in Revenue. In the last year, the Revenue has grown by 5.64%.
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%9.47%
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 9.00% yearly.
Based on estimates for the next years, AXS will show a small growth in Revenue. The Revenue will grow by 7.54% on average per year.
EPS Next Y14.78%
EPS Next 2Y8.96%
EPS Next 3Y9%
EPS Next 5YN/A
Revenue Next Year7.88%
Revenue Next 2Y8.26%
Revenue Next 3Y7.54%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
AXS is valuated reasonably with a Price/Earnings ratio of 8.49.
AXS's Price/Earnings ratio is a bit cheaper when compared to the industry. AXS is cheaper than 73.47% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.26. AXS is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 8.11, which indicates a very decent valuation of AXS.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AXS indicates a somewhat cheap valuation: AXS is cheaper than 71.43% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.68, AXS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.49 | ||
| Fwd PE | 8.11 |
4.2 Price Multiples
AXS's Enterprise Value to EBITDA is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.64 |
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.
PEG (NY)0.57
PEG (5Y)0.24
EPS Next 2Y8.96%
EPS Next 3Y9%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.68%, AXS is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.64, AXS pays a better dividend. On top of this AXS pays more dividend than 88.44% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 1.87, AXS pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.68% |
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 2Y8.96%
EPS Next 3Y9%
107.68
+0.62 (+0.58%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners94.98%
Inst Owner Change-4.91%
Ins Owners0.62%
Ins Owner Change-0.26%
Market Cap8.30B
Revenue(TTM)6.31B
Net Income(TTM)982.67M
Analysts78.67
Price Target118.52 (10.07%)
Short Float %1.14%
Short Ratio1.18
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.68% |
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)0
Avg Revenue beat(2)-5.88%
Min Revenue beat(2)-10.52%
Max Revenue beat(2)-1.24%
Revenue beat(4)0
Avg Revenue beat(4)-5.09%
Min Revenue beat(4)-10.52%
Max Revenue beat(4)-1.24%
Revenue beat(8)3
Avg Revenue beat(8)-0.3%
Revenue beat(12)5
Avg Revenue beat(12)2.5%
Revenue beat(16)7
Avg Revenue beat(16)3.26%
PT rev (1m)0.75%
PT rev (3m)2.38%
EPS NQ rev (1m)1.87%
EPS NQ rev (3m)1.91%
EPS NY rev (1m)2.12%
EPS NY rev (3m)7.54%
Revenue NQ rev (1m)-1.79%
Revenue NQ rev (3m)6.91%
Revenue NY rev (1m)-0.08%
Revenue NY rev (3m)4.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.49 | ||
| Fwd PE | 8.11 | ||
| P/S | 1.31 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.3 | ||
| P/tB | 1.35 | ||
| EV/EBITDA | 9.64 |
EPS(TTM)12.68
EY11.78%
EPS(NY)13.27
Fwd EY12.33%
FCF(TTM)-4.6
FCFYN/A
OCF(TTM)-4.1
OCFYN/A
SpS81.96
BVpS82.65
TBVpS79.6
PEG (NY)0.57
PEG (5Y)0.24
Graham Number153.55
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
WACC8.12%
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 Y14.78%
EPS Next 2Y8.96%
EPS Next 3Y9%
EPS Next 5YN/A
Revenue 1Y (TTM)5.64%
Revenue growth 3Y3.83%
Revenue growth 5Y2.79%
Sales Q2Q%9.47%
Revenue Next Year7.88%
Revenue Next 2Y8.26%
Revenue Next 3Y7.54%
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 8.49 and the Price/Book (PB) ratio is 1.3.
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 14.78% in the next year.