Axis Capital (NYSE:AXS) Lowered to Strong Sell Rating by Zacks Research

Axis Capital (NYSE:AXS) was downgraded by research analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a research note issued on Wednesday,Zacks.com reports. Zacks Research also issued estimates for Axis Capital’s Q3 2026 earnings at $2.87 EPS, Q4 2026 earnings at $3.45 EPS, FY2026 earnings at $12.58 EPS, Q1 2027 earnings at $3.25 EPS, Q2 2027 earnings at $3.43 EPS, Q3 2027 earnings at $3.29 EPS, Q4 2027 earnings at $3.66 EPS, FY2027 earnings at $13.64 EPS, Q1 2028 earnings at $3.59 EPS, Q2 2028 earnings at $3.76 EPS and FY2028 earnings at $14.62 EPS.

Several other research analysts also recently commented on AXS. Keefe, Bruyette & Woods decreased their price objective on Axis Capital from $131.00 to $125.00 and set an “outperform” rating on the stock in a research note on Tuesday, August 4th. Wells Fargo & Company cut their price target on Axis Capital from $134.00 to $126.00 and set an “overweight” rating for the company in a research note on Thursday, July 30th. Weiss Ratings upgraded Axis Capital from a “buy (b+)” rating to a “buy (a-)” rating in a research report on Thursday, July 30th. BMO Capital Markets restated a “market perform” rating on shares of Axis Capital in a research note on Wednesday, July 29th. Finally, Bank of America dropped their target price on shares of Axis Capital from $115.00 to $106.00 and set a “neutral” rating for the company in a research report on Tuesday, April 14th. One equities research analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $120.50.

Axis Capital Stock Performance

Shares of AXS opened at $100.07 on Wednesday. Axis Capital has a one year low of $88.07 and a one year high of $119.99. The business has a fifty day moving average of $107.36 and a 200 day moving average of $103.30. The company has a debt-to-equity ratio of 0.26, a current ratio of 0.64 and a quick ratio of 0.64. The firm has a market capitalization of $7.30 billion, a P/E ratio of 7.11, a PEG ratio of 4.34 and a beta of 0.50.

Axis Capital (NYSE:AXS) last issued its quarterly earnings data on Wednesday, July 29th. The insurance provider reported $2.84 earnings per share for the quarter, missing the consensus estimate of $3.25 by ($0.41). The business had revenue of $1.75 billion during the quarter, compared to the consensus estimate of $1.74 billion. Axis Capital had a return on equity of 17.00% and a net margin of 16.23%.During the same quarter last year, the company earned $3.29 EPS. Axis Capital’s revenue for the quarter was up 7.4% on a year-over-year basis. As a group, sell-side analysts anticipate that Axis Capital will post 12.39 EPS for the current year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the company. Activest Wealth Management bought a new stake in Axis Capital in the fourth quarter worth about $30,000. Assetmark Inc. lifted its position in shares of Axis Capital by 80.8% during the first quarter. Assetmark Inc. now owns 396 shares of the insurance provider’s stock worth $40,000 after purchasing an additional 177 shares during the last quarter. Cassaday & Co Wealth Management LLC bought a new position in shares of Axis Capital in the first quarter worth about $43,000. Fideuram Asset Management Ireland dac purchased a new position in Axis Capital in the 4th quarter worth about $47,000. Finally, DV Equities LLC purchased a new stake in Axis Capital in the 4th quarter valued at about $54,000. 93.44% of the stock is owned by hedge funds and other institutional investors.

Axis Capital News Roundup

Here are the key news stories impacting Axis Capital this week:

• Positive Sentiment: AXS’s specialty-insurance focus, premium growth and capital-return potential support its long-term investment case. The stock also trades at a discount to parts of the insurance industry, which may offer valuation support if underwriting performance improves. AXS Lags Industry, Trades at a Discount: Here’s How to Play the Stock
• Neutral Sentiment: Zacks Research maintained its current full-year EPS estimate at $12.58 and forecasts fiscal 2027 earnings of $13.64. Those figures imply continued earnings growth, although they were accompanied by lower estimates for several individual quarters.
• Negative Sentiment: Zacks Research reduced its fiscal 2026 EPS estimate to $12.58 from $13.54. Quarterly estimates were also cut for Q3 2026 to $2.87 from $3.38, Q4 2026 to $3.45 from $3.58, Q2 2027 to $3.43 from $3.71, Q3 2027 to $3.29 from $3.69, and Q2 2028 to $3.76 from $3.88.
• Negative Sentiment: Longer-term projections were lowered as well: fiscal 2027 EPS fell to $13.64 from $14.35, while fiscal 2028 EPS declined to $14.62 from $14.97. Additional revisions cut Q1 2027 EPS to $3.25 from $3.40 and Q1 2028 EPS to $3.59 from $3.78.
• Negative Sentiment: The estimate reductions suggest analysts see greater pressure on Axis Capital’s earnings outlook, potentially from catastrophe losses, competitive pricing and weaker underwriting margins. This is notable because the company’s most recent quarterly EPS of $2.84 already missed the $3.25 consensus estimate, despite revenue exceeding expectations.

About Axis Capital

AXIS Capital Holdings Limited, through its subsidiaries, provides various specialty insurance and reinsurance products in Bermuda, the United States, and internationally. It operates through two segments, Insurance and Reinsurance. The Insurance segment offers professional insurance products that cover directors' and officers' liability, errors and omissions, employment practices, fiduciary, crime, professional indemnity, medical malpractice, and other financial insurance related coverages for commercial enterprises, financial institutions, not-for-profit organizations, and other professional service providers; and property insurance products for commercial buildings, residential premises, construction projects, property in transit, onshore renewable energy installations, and physical damage and business interruption following an act of terrorism.