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

Axis Capital (NYSE:AXS) was downgraded by Zacks Research from a “hold” rating to a “strong sell” rating in a research report 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 firms also recently issued reports on AXS. Atlantic Securities set a $122.00 price objective on shares of Axis Capital in a report on Wednesday, July 15th. Wells Fargo & Company dropped their price target on Axis Capital from $134.00 to $126.00 and set an “overweight” rating on the stock in a research note on Thursday, July 30th. Bank of America dropped their target price on Axis Capital from $115.00 to $106.00 and set a “neutral” rating on the stock in a research report on Tuesday, April 14th. BMO Capital Markets reaffirmed a “market perform” rating on shares of Axis Capital in a report on Wednesday, July 29th. Finally, UBS Group decreased their target price on shares of Axis Capital from $131.00 to $126.00 and set a “buy” rating for the company in a research report on Monday, August 3rd. One investment analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $120.50.

Axis Capital Price Performance

Shares of AXS stock opened at $100.07 on Wednesday. The company has a market cap of $7.30 billion, a P/E ratio of 7.11, a PEG ratio of 4.34 and a beta of 0.50. 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 stock’s 50-day moving average is $107.36 and its 200 day moving average is $103.30. Axis Capital has a 1-year low of $88.07 and a 1-year high of $119.99.

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

Institutional Investors Weigh In On Axis Capital

Hedge funds have recently modified their holdings of the company. Activest Wealth Management purchased a new position in shares of Axis Capital in the 4th quarter valued at about $30,000. Assetmark Inc. grew its holdings in Axis Capital by 80.8% in the first quarter. Assetmark Inc. now owns 396 shares of the insurance provider’s stock valued at $40,000 after purchasing an additional 177 shares during the period. Cassaday & Co Wealth Management LLC acquired a new stake in Axis Capital in the first quarter valued at approximately $43,000. Fideuram Asset Management Ireland dac purchased a new stake in shares of Axis Capital in the fourth quarter valued at approximately $47,000. Finally, DV Equities LLC acquired a new position in shares of Axis Capital during the 4th quarter worth approximately $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.

Axis Capital Company Profile

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.