NYSE:AXS

Stock Analysis Report

AXIS Capital Holdings

Executive Summary

AXIS Capital Holdings Limited, through its subsidiaries, provides various specialty insurance and reinsurance products worldwide.

Snowflake

Fundamentals

Average dividend payer with moderate growth potential.


Similar Companies

Share Price & News

How has AXIS Capital Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.1%

AXS

0.7%

US Insurance

1.8%

US Market


1 Year Return

14.7%

AXS

13.5%

US Insurance

7.3%

US Market

Return vs Industry: AXS exceeded the US Insurance industry which returned 13.5% over the past year.

Return vs Market: AXS exceeded the US Market which returned 7.3% over the past year.


Shareholder returns

AXSIndustryMarket
7 Day2.1%0.7%1.8%
30 Day-2.2%-2.2%-0.7%
90 Day5.8%-2.0%0.06%
1 Year18.0%14.7%16.3%13.5%9.7%7.3%
3 Year22.8%13.2%43.7%32.7%46.3%36.9%
5 Year54.1%35.5%70.9%50.5%64.5%46.5%

Price Volatility Vs. Market

How volatile is AXIS Capital Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is AXIS Capital Holdings undervalued compared to its fair value and its price relative to the market?

17.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: AXS ($63.4) is trading below our estimate of fair value ($77.1)

Significantly Undervalued: AXS is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: AXS is poor value based on its PE Ratio (48.5x) compared to the Insurance industry average (15.6x).

PE vs Market: AXS is poor value based on its PE Ratio (48.5x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

Low PEG Ratio: AXS is poor value based on its PEG Ratio (1.6x)


Price to Book Ratio

PB vs Industry: AXS is good value based on its PB Ratio (1.1x) compared to the US Insurance industry average (1.2x).


Next Steps

Future Growth

How is AXIS Capital Holdings forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

30.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AXS's forecast earnings growth (30.4% per year) is above the savings rate (2.7%).

Earnings vs Market: AXS's earnings (30.4% per year) are forecast to grow faster than the US market (14.6% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: AXS's revenue (0.8% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: AXS's revenue (0.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: AXS's Return on Equity is forecast to be low in 3 years time (10%).


Next Steps

Past Performance

How has AXIS Capital Holdings performed over the past 5 years?

-46.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: AXS's earnings have declined by -46.9% per year over the past 5 years.

Accelerating Growth: AXS has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: AXS has become profitable in the last year, making it difficult to compare its past year earnings growth to the Insurance industry (1.4%).


Return on Equity

High ROE: AXS's Return on Equity (2.7%) is considered low.


Return on Assets

ROA vs Industry: AXS's Return on Assets is below or equal to the Insurance industry average last year.


Return on Capital Employed

ROCE Improving: AXS's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is AXIS Capital Holdings's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: AXS has a low level of unsold assets or inventory.

Debt Coverage by Assets: AXS's debt is covered by short term assets (assets are 7.343020x debt).


Financial Institutions Analysis

Asset Level: AXS's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if AXS has a sufficient allowance for bad loans.

Low Risk Liabilities: AXS reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if AXS has an acceptable proportion of non-loan assets held.

Low Risk Deposits: AXS has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if AXS has an appropriate level of bad loans.


Next Steps

Dividend

What is AXIS Capital Holdings's current dividend yield, its reliability and sustainability?

2.52%

Current Dividend Yield


Dividend Yield vs Market

company2.5%marketbottom25%1.5%markettop25%3.7%industryaverage2.4%forecastin3Years2.6%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: AXS's dividend (2.52%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: AXS's dividend (2.52%) is low compared to the top 25% of dividend payers in the US market (3.72%).

Stable Dividend: AXS's dividends per share have been stable in the past 10 years.

Growing Dividend: AXS's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (121.5%), AXS's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: AXS's dividends in 3 years are forecast to be well covered by earnings (29.7% payout ratio).


Next Steps

Management

What is the CEO of AXIS Capital Holdings's salary, the management and board of directors tenure and is there insider trading?

1.8yrs

Average management tenure


CEO

Albert Benchimol (61yo)

7.4yrs

Tenure

US$7,804,796

Compensation

Mr. Albert A. Benchimol has been External Member of the Council at Lloyd's of London since February 1, 2019. Mr. Benchimol has been the Chief Executive Officer and President of Axis Capital Holdings Limite ...


CEO Compensation Analysis

Compensation vs. Market: Albert's total compensation ($USD7.80M) is about average for companies of similar size in the US market ($USD6.79M).

Compensation vs Earnings: Albert's compensation has been consistent with company performance over the past year.


Management Age and Tenure

1.8yrs

Average Tenure

55yo

Average Age

Experienced Management: AXS's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Age and Tenure

11.6yrs

Average Tenure

74.5yo

Average Age

Experienced Board: AXS's board of directors are seasoned and experienced ( 11.6 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Albert Benchimol (61yo)

    CEO, President & Director

    • Tenure: 7.4yrs
    • Compensation: US$7.80m
  • Pete Wilson (59yo)

    Chief Executive Officer of AXIS Insurance

    • Tenure: 5.5yrs
    • Compensation: US$3.06m
  • Richard Strachan (51yo)

    Chief Operations Officer

    • Tenure: 4.8yrs
  • David Phillips (50yo)

    Chief Investment Officer

    • Tenure: 5.5yrs
    • Compensation: US$2.65m
  • Pete Vogt (55yo)

    CFO & Executive VP

    • Tenure: 1.8yrs
    • Compensation: US$1.97m
  • Matt Rohrmann

    Head of Investor Relations

    • Tenure: 1.4yrs
  • Kent Ziegler (56yo)

    Global Corporate Controller & Principal Accounting Officer

    • Tenure: 1yrs
  • Dan Trueman

    Global Head of Cyber & Technology

    • Tenure: 0yrs
  • Steve Arora (43yo)

    Chief Executive Officer of AXIS Reinsurance

    • Tenure: 1.8yrs
    • Compensation: US$5.92m
  • Keith Schlosser

    Chief Information Officer

    • Tenure: 0.8yrs

Board Members

  • Bob Friedman (76yo)

    Independent Director

    • Tenure: 17.9yrs
    • Compensation: US$220.00k
  • Albert Benchimol (61yo)

    CEO, President & Director

    • Tenure: 7.4yrs
    • Compensation: US$7.80m
  • Maurice Keane (77yo)

    Independent Director

    • Tenure: 17.1yrs
    • Compensation: US$284.50k
  • Chris Greetham (74yo)

    Independent Director

    • Tenure: 13yrs
    • Compensation: US$317.00k
  • Chuck Davis (71yo)

    Independent Director

    • Tenure: 17.9yrs
    • Compensation: US$230.00k
  • Thomas Ramey (75yo)

    Independent Director

    • Tenure: 10.3yrs
    • Compensation: US$262.50k
  • Michael Butt (76yo)

    Chairman of the Board

    • Tenure: 17.1yrs
    • Compensation: US$864.86k
  • Henry Smith (70yo)

    Lead Independent Director

    • Tenure: 7.4yrs
    • Compensation: US$366.50k
  • Barbara Yastine (60yo)

    Independent Director

    • Tenure: 1.3yrs
    • Compensation: US$105.00k
  • Wilhelm Zeller (75yo)

    Independent Director

    • Tenure: 10.3yrs
    • Compensation: US$220.00k

Company Information

AXIS Capital Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: AXIS Capital Holdings Limited
  • Ticker: AXS
  • Exchange: NYSE
  • Founded: 2001
  • Industry: Property and Casualty Insurance
  • Sector: Insurance
  • Market Cap: US$5.322b
  • Shares outstanding: 83.95m
  • Website: https://www.axiscapital.com

Number of Employees


Location

  • AXIS Capital Holdings Limited
  • AXIS House
  • 92 Pitts Bay Road
  • Pembroke
  • HM 08
  • Bermuda

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AXSNYSE (New York Stock Exchange)YesCommon SharesUSUSDJul 2003
AXVDB (Deutsche Boerse AG)YesCommon SharesDEEURJul 2003
AXS.PRDNYSE (New York Stock Exchange)PFD SER D 5.50%USUSDMay 2013
AXS.PRENYSE (New York Stock Exchange)DEP SHS PFD EUSUSDNov 2016

Biography

AXIS Capital Holdings Limited, through its subsidiaries, provides various specialty insurance and reinsurance products worldwide. It operates through two segments, Insurance and Reinsurance. The Insurance  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/17 23:45
End of Day Share Price2019/10/17 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.