Axis Capital Holdings Limited provides insurance and treaty reinsurance products Worldwide. The company operates through Insurance and Reinsurance segments. The company was founded in 2001 and is based in Pembroke, Bermuda.
AXS Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for AXS, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Axis Capital Holdings Ltd ranked in the 13th percentile in terms of potential gain offered. We should note, though, that the most conservative analysis suggests this stock will yield negative results -- and thus may be a potential short opportunity. As for the metrics that stood out in our discounted cash flow analysis of Axis Capital Holdings Ltd, consider:
The company's compound free cash flow growth rate over the past 5.68 years comes in at -0.17%; that's greater than only 10.06% of US stocks we're applying DCF forecasting to.
Axis Capital Holdings Ltd's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -0.66. This coverage rate is greater than that of merely 22.1% of stocks we're observing for the purpose of forecasting via discounted cash flows.
The weighted average cost of capital for the company is 11. This value is greater than 82.33% stocks in the Financial Services sector that generate free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Financial Services that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as AXS, try BEN, GBDC, LNC, ARGO, and MKTX.
When we last covered AXIS Capital Holdings Limited (AXS), we held a bullish bias as the company was remarkably undervalued post the March selloff. Investors were feeling queasy and had dumped investments left, right and center while fleeing helter skelter. We had then said, At 0.8X tangible book, with the...
Trapping Value on Seeking Alpha | September 16, 2020
Insider buying can be an encouraging signal for potential investors during periods of uncertainty. A number of executives and other insiders returned to the buy window last week. A beneficial investor added to its stake after an initial public offering. Conventional wisdom says that insiders and 10% owners really only buy shares of a company for one reason -- they believe the stock price will rise and they want to profit from it. So insider buying can be an encouraging signal for potential investors, particularly during periods of uncertainty. Insiders continued to add shares despite overall market volatility and economic uncertainty. Here are some of the most noteworthy insider purchases reported in the past week. A director at Axis Capital Holdings Limited (NYSE: AXS ) returned last w...
PEMBROKE, Bermuda--(BUSINESS WIRE)--AXIS Insurance, the specialty insurance business segment of AXIS Capital Holdings Limited (“AXIS Capital”) (NYSE:AXS), and AllDigital Specialty, a de novo MGA, today announced a partnership to develop and launch a new insurance platform designed to address the service void in the U.S. small private company management liability market. AllDigital utilizes low-touch/no-touch technology that will enable AXIS to operate a fast and efficient digital platform to qu
AXIS Insurance, the specialty insurance business segment of AXIS Capital Holdings Limited ("AXIS Capital") (NYSE:AXS), today announced the hiring of three experienced underwriters to its U.S. Cyber and Technology team. Peter Smith will join AXIS as Underwriting Manager, U.S. Cyber and Technology, and Emma Werth and Jessica Currier will join as Senior Underwriters.