AXIS CAPITAL HOLDINGS LIMITED INVESTOR FINANCIAL SUPPLEMENT THIRD QUARTER 2024 | --- | --- | |------------------------------------------------------|-------| | | | | | | | AXIS Capital Holdings Limited | | | 92 Pitts Bay Road Pembroke HM 08 Bermuda | | | | | | Contact Information: Cliff Gallant | | | Investor Contact (415) 262-6843 | | | investorrelations@axiscapital.com | | | Website Information: www.axiscapital.com | | This report is for informational purposes only. It should be read in conjunction with t ...

[PART I - Financial Information](index=3&type=section&id=PART%20I%20-%20Financial%20Information) [Item 1. Consolidated Financial Statements](index=5&type=section&id=Item%201.%20Consolidated%20Financial%20Statements) AXIS Capital Holdings Limited's unaudited consolidated financial statements and notes for the period ended September 30, 2024, are presented [Consolidated Balance Sheets](index=6&type=section&id=Consolidated%20Balance%20Sheets) As of September 30, 2024, total assets grew to $32.7 billion, liabilities to $26.6 billion, and shareholders' equity to $6.1 billion Consolidated Balance Sheet Highlights (in thousands) | Account | Sep 30, 2024 | Dec 31, 2023 | | :--- | :--- | :--- | | **Total Investments** | $16,667,045 | $15,260,960 | | **Total Assets** | $32,722,648 | $30,250,672 | | **Reserve for losses and loss expenses** | $17,295,329 | $16,434,018 | | **Total Liabilities** | $26,639,421 | $24,987,476 | | **Total Shareholders' Equity** | $6,083,227 | $5,263,196 | [Consolidated Statements of Operations](index=7&type=section&id=Consolidated%20Statements%20of%20Operations) Net income available to common shareholders significantly increased to $765.5 million for the nine months ended September 30, 2024 Key Operating Results (in thousands, except per share data) | Metric | Q3 2024 | Q3 2023 | Nine Months 2024 | Nine Months 2023 | | :--- | :--- | :--- | :--- | :--- | | **Net Premiums Earned** | $1,366,701 | $1,322,564 | $3,929,221 | $3,818,508 | | **Net Investment Income** | $205,100 | $154,201 | $563,458 | $424,802 | | **Total Revenues** | $1,610,821 | $1,433,995 | $4,485,880 | $4,162,083 | | **Net Income** | $180,728 | $188,098 | $788,153 | $518,870 | | **Net Income Available to Common Shareholders** | $173,165 | $180,535 | $765,465 | $496,182 | | **Earnings per Diluted Common Share** | $2.04 | $2.10 | $8.97 | $5.77 | [Note 3 - Segment Information](index=13&type=section&id=Note%203%20-%20Segment%20Information) The company's Insurance and Reinsurance segments reported underwriting income of $337.4 million and $104.6 million respectively for the nine months ended September 30, 2024 Underwriting Income by Segment - Nine Months Ended Sep 30 (in thousands) | Segment | 2024 | 2023 | | :--- | :--- | :--- | | **Insurance** | $337,414 | $322,617 | | **Reinsurance** | $104,556 | $112,217 | | **Total Underwriting Income** | $441,970 | $434,834 | Combined Ratio by Segment - Nine Months Ended Sep 30 | Segment | 2024 | 2023 | | :--- | :--- | :--- | | **Insurance** | 88.4% | 87.3% | | **Reinsurance** | 92.1% | 92.5% | | **Total** | 91.6% | 91.7% | - For the nine months ended Sep 30, 2024, the Insurance segment's gross premiums written increased by **8% to $4.9 billion**, while the Reinsurance segment's grew by **5% to $2.1 billion**[47](index=47&type=chunk) [Note 4 - Investments](index=16&type=section&id=Note%204%20-%20Investments) Total investments reached $16.7 billion by September 30, 2024, with net investment income increasing to $563.5 million for the nine-month period Investment Portfolio Composition (Fair Value, in thousands) | Asset Class | Sep 30, 2024 | Dec 31, 2023 | | :--- | :--- | :--- | | Fixed maturities, available for sale | $13,768,193 | $12,234,742 | | Equity securities | $604,834 | $588,511 | | Mortgage loans, held for investment | $524,929 | $610,148 | | Other investments | $939,734 | $949,413 | | **Total Investments** | **$16,667,045** | **$15,260,960** | Net Investment Income (in thousands) | Period | 2024 | 2023 | | :--- | :--- | :--- | | **Three months ended Sep 30** | $205,100 | $154,201 | | **Nine months ended Sep 30** | $563,458 | $424,802 | - The company has unfunded commitments of **$259 million** to direct lending funds, **$117 million** to private equity funds, and **$95 million** to real estate funds as of September 30, 2024[73](index=73&type=chunk)[74](index=74&type=chunk)[75](index=75&type=chunk) [Note 7 - Reserve for Losses and Loss Expenses](index=38&type=section&id=Note%207%20-%20Reserve%20for%20Losses%20and%20Loss%20Expenses) Gross reserves for losses and loss expenses increased to $17.3 billion by September 30, 2024, with $8.0 million in favorable prior year development Reserve Roll-Forward - Nine Months Ended Sep 30, 2024 (in thousands) | Description | Amount | | :--- | :--- | | **Gross reserve, beginning of period** | $16,434,018 | | **Net incurred losses and loss expenses** | $2,326,532 | | *Current year* | *$2,334,543* | | *Prior years (favorable)* | *($8,011)* | | **Net paid losses and loss expenses** | ($2,077,859) | | **Gross reserve, end of period** | $17,295,329 | - Catastrophe and weather-related losses for the nine months ended Sep 30, 2024, were **$145 million**, compared to **$112 million** for the same period in 2023. Key events included Hurricane Helene and Hurricane Beryl[147](index=147&type=chunk) Net Favorable Prior Year Reserve Development - Nine Months Ended Sep 30 (in thousands) | Segment | 2024 | 2023 | | :--- | :--- | :--- | | **Insurance** | $4,008 | $5,433 | | **Reinsurance** | $4,003 | $7,685 | | **Total** | $8,011 | $13,118 | [Note 10 - Shareholders' Equity](index=46&type=section&id=Note%2010%20-%20Shareholders%27%20Equity) The company repurchased 2.4 million common shares for $154.8 million and paid $1.32 per share in dividends during the nine months ended September 30, 2024 Common Share Repurchases - Nine Months Ended Sep 30, 2024 | Repurchase Type | Total Shares (thousands) | Total Cost (thousands) | Average Price per Share | | :--- | :--- | :--- | :--- | | **In the open market** | 2,125 | $139,886 | $65.82 | | **From employees (for tax)** | 243 | $14,943 | $61.49 | | **Total** | 2,368 | $154,829 | $65.38 | - The authorization under the December 2023 share repurchase program was **exhausted** as of June 30, 2024[196](index=196&type=chunk) [Note 17 - Income Taxes](index=51&type=section&id=Note%2017%20-%20Income%20Taxes) The company recorded a $163 million net deferred tax asset for the nine months ended September 30, 2024, due to Bermuda's new corporate income tax act - Bermuda enacted the Corporate Income Tax Act 2023, which will apply a **15% corporate income tax** for fiscal years beginning on or after January 1, 2025[218](index=218&type=chunk) - The company recorded a net deferred tax asset of **$163 million** for the nine months ended September 30, 2024, due to the economic transition adjustment provision in the new Bermuda tax law[218](index=218&type=chunk) Total Income Tax (Expense) Benefit (in thousands) | Period | 2024 | 2023 | | :--- | :--- | :--- | | **Three months ended Sep 30** | ($47,922) | ($24,624) | | **Nine months ended Sep 30** | $36,185 | ($68,078) | [Note 18 - Subsequent Events](index=53&type=section&id=Note%2018%20-%20Subsequent%20Events) The company issued a preliminary pre-tax net loss estimate of **$50 million to $100 million** for Hurricane Milton, which occurred in October 2024 - The company's preliminary pre-tax net loss estimate for Hurricane Milton, which occurred in October 2024, is between **$50 million and $100 million**[224](index=224&type=chunk) - The loss estimate is based on industry insured loss estimates, market share analyses, and catastrophe modeling, but the actual net loss may be **materially different**[225](index=225&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=54&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the company's financial condition and operating results, including Q3 2024 performance, segment contributions, and strategic initiatives [Third Quarter 2024 Financial Highlights](index=55&type=section&id=Third%20Quarter%202024%20Financial%20Highlights) AXIS reported Q3 2024 net income of $173 million and operating income of $230 million, with gross premiums written of $1.9 billion Q3 2024 Key Metrics | Metric | Value | | :--- | :--- | | Net Income to Common Shareholders | $173 million | | Operating Income (Non-GAAP) | $230 million | | Diluted EPS | $2.04 | | Operating EPS (Non-GAAP) | $2.71 | | Gross Premiums Written | $1.9 billion | | Combined Ratio | 93.1% | | Pre-tax Catastrophe Losses | $78 million | [Overview](index=56&type=section&id=Overview) AXIS Capital, a global specialty underwriter, focuses on profitable growth through strategic market expansion, portfolio re-balancing, and technology investments - Strategic execution includes growing in U.S. excess and surplus lines, re-balancing the portfolio to less volatile business, and improving efficiency through the **"How We Work" program**[233](index=233&type=chunk) - The company anticipates market rates will continue to **exceed loss cost trends in casualty**, but expects moderate rate erosion in property and financial lines due to new capital and increased capacity[236](index=236&type=chunk) - AXIS Syndicate 2050, dedicated to new energy projects, commenced underwriting on **April 1, 2024**[240](index=240&type=chunk) [Consolidated Results of Operations](index=58&type=section&id=Consolidated%20Results%20of%20Operations) For the nine months ended September 30, 2024, gross premiums written increased 7% to $7.0 billion, boosting net income to $765 million Consolidated Performance - Nine Months Ended Sep 30 | Metric | 2024 | 2023 | % Change | | :--- | :--- | :--- | :--- | | **Gross Premiums Written** | $7,030,564 | $6,572,232 | 7% | | **Net Premiums Earned** | $3,929,221 | $3,818,508 | 3% | | **Underwriting Income** | $441,970 | $434,834 | 2% | | **Net Investment Income** | $563,458 | $424,802 | 33% | | **Net Income to Common Shareholders** | $765,465 | $496,182 | 54% | - The combined ratio for the nine months ended Sep 30, 2024 was **91.6%**, a slight improvement from **91.7%** in 2023. The current accident year loss ratio, excluding catastrophes, was **55.7%**, down from **56.1%**[244](index=244&type=chunk) [Results by Segment](index=60&type=section&id=Results%20by%20Segment) This section details the performance of the Insurance and Reinsurance segments, including premium growth and combined ratios [Insurance Segment](index=60&type=section&id=Insurance%20Segment) The Insurance segment's gross premiums written increased 8% to $4.9 billion for the nine months ended September 30, 2024, with an 88.4% combined ratio Insurance Segment Performance - Nine Months Ended Sep 30 | Metric | 2024 | 2023 | | :--- | :--- | :--- | | **Gross Premiums Written** | $4,915,247 | $4,557,386 | | **Net Premiums Earned** | $2,900,011 | $2,544,920 | | **Underwriting Income** | $337,414 | $322,617 | | **Combined Ratio** | 88.4% | 87.3% | - Growth in gross premiums written for the nine months was led by **property lines (+19%)**, **accident and health (+28%)**, and **credit and political risk (+29%)**[247](index=247&type=chunk)[250](index=250&type=chunk) - The nine-month combined ratio was impacted by a **1.6 point increase** in the net losses and loss expenses ratio, driven by higher catastrophe and weather-related losses (**$136 million** in 2024 vs. **$88 million** in 2023)[246](index=246&type=chunk)[268](index=268&type=chunk) [Reinsurance Segment](index=65&type=section&id=Reinsurance%20Segment) The Reinsurance segment's gross premiums written grew 5% to $2.1 billion for the nine months ended September 30, 2024, with an improved combined ratio of 92.1% Reinsurance Segment Performance - Nine Months Ended Sep 30 | Metric | 2024 | 2023 | | :--- | :--- | :--- | | **Gross Premiums Written** | $2,115,317 | $2,014,846 | | **Net Premiums Earned** | $1,029,210 | $1,273,588 | | **Underwriting Income** | $104,556 | $112,217 | | **Combined Ratio** | 92.1% | 92.5% | - Growth in gross premiums written for the nine months was led by **credit and surety (+22%)**, **agriculture (+16%)**, and **professional lines (+8%)**, partially offset by planned decreases in run-off catastrophe and property lines[284](index=284&type=chunk)[285](index=285&type=chunk) - Ceded premiums written in Q3 2024 were significantly lower (**$149 million** vs **$358 million** in Q3 2023) due to the accounting treatment of the Monarch Point Re retrocession agreement, recorded retroactively in 2023[291](index=291&type=chunk)[292](index=292&type=chunk) [Net Investment Income and Net Investment Gains (Losses)](index=71&type=section&id=Net%20Investment%20Income%20and%20Net%20Investment%20Gains%20%28Losses%29) Net investment income rose 33% to $563.5 million for the nine months ended September 30, 2024, primarily due to higher yields on fixed maturities Net Investment Income by Asset Class - Nine Months Ended Sep 30 (in thousands) | Asset Class | 2024 | 2023 | | :--- | :--- | :--- | | **Fixed maturities** | $456,421 | $375,659 | | **Other investments** | $39,569 | ($4,543) | | **Cash and cash equivalents** | $41,796 | $35,638 | | **Total Net Investment Income** | $563,458 | $424,802 | - The pre-tax yield on the fixed maturities portfolio increased to **4.5%** for the nine months of 2024, up from **3.8%** in 2023[318](index=318&type=chunk) - Net investment losses for the nine months of 2024 were primarily due to realized losses on the sale of fixed income securities, partially offset by unrealized gains on equity securities[326](index=326&type=chunk) [Liquidity and Capital Resources](index=85&type=section&id=Liquidity%20and%20Capital%20Resources) The company's total capital strengthened to $7.4 billion by September 30, 2024, improving the debt to total capital ratio to 17.8% Capital Structure (in thousands) | Component | Sep 30, 2024 | Dec 31, 2023 | | :--- | :--- | :--- | | **Debt** | $1,314,806 | $1,313,714 | | **Shareholders' equity** | $6,083,227 | $5,263,196 | | **Total capital** | $7,398,033 | $6,576,910 | | **Ratio of debt to total capital** | 17.8% | 20.0% | - During the nine months ended Sep 30, 2024, the company repurchased **2.4 million** common shares for **$155 million**[410](index=410&type=chunk) - A new **$300 million** share repurchase program was approved in May 2024, with **$260 million** remaining available as of September 30, 2024[412](index=412&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=88&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) No material changes to market risk disclosures since year-end 2023, except for a $34 million net foreign currency asset exposure as of September 30, 2024 - There have been no material changes to market risk since December 31, 2023, except for foreign currency risk exposure[420](index=420&type=chunk) Total Net Foreign Currency Exposure (in thousands) | Currency | Exposure Amount | | :--- | :--- | | AUD | $27,144 | | CAD | ($5,735) | | EUR | $16,466 | | GBP | ($8,549) | | JPY | ($1,448) | | Other | $6,484 | | **Total** | **$34,362** | [Item 4. Controls and Procedures](index=89&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective as of September 30, 2024, with no material changes to internal control over financial reporting during Q3 2024 - Management, including the CEO and CFO, concluded that the company's disclosure controls and procedures were **effective** as of September 30, 2024[423](index=423&type=chunk) - No changes occurred during Q3 2024 that materially affected or are reasonably likely to materially affect the company's internal control over financial reporting[425](index=425&type=chunk) [PART II - Other Information](index=89&type=section&id=PART%20II%20-%20Other%20Information) [Item 1. Legal Proceedings](index=89&type=section&id=Item%201.%20Legal%20Proceedings) The company is subject to routine legal proceedings in its ordinary course of business and is not a party to any material non-routine legal actions - The company is not party to any material legal proceedings outside the ordinary course of business[426](index=426&type=chunk) [Item 1A. Risk Factors](index=89&type=section&id=Item%201A.%20Risk%20Factors) There have been no material changes to the risk factors previously disclosed in the company's Annual Report on Form 10-K for the year ended December 31, 2023 - No material changes from the risk factors disclosed in the Annual Report on Form 10-K for the year ended December 31, 2023[427](index=427&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=90&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) During Q3 2024, the company repurchased 542,000 common shares, with $260 million remaining available under the May 2024 repurchase program Issuer Purchases of Equity Securities (Q3 2024) | Period | Total Shares Purchased (thousands) | Average Price Paid per Share | Shares Purchased Under Program (thousands) | | :--- | :--- | :--- | :--- | | July 1-31, 2024 | 1 | $70.00 | — | | August 1-31, 2024 | 399 | $73.54 | 399 | | September 1-30, 2024 | 142 | $76.42 | 138 | | **Total** | **542** | **N/A** | **537** | - A new share repurchase program for up to **$300 million** was approved on May 16, 2024, with **$260 million** remaining available at the end of Q3 2024[428](index=428&type=chunk) [Item 5. Other Information](index=90&type=section&id=Item%205.%20Other%20Information) The company discloses immaterial exposure to Iran through reinsurance treaties and no Rule 10b5-1 trading arrangement changes by directors or officers during Q3 2024 - Certain non-U.S. subsidiaries provide global reinsurance coverage that may have some exposure to Iran, but the premium allocated is **not material** and activities comply with applicable law[430](index=430&type=chunk) - During Q3 2024, no director or officer adopted or terminated a Rule 10b5-1 trading arrangement[431](index=431&type=chunk) [Item 6. Exhibits](index=91&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including certifications by the CEO and CFO pursuant to the Sarbanes-Oxley Act of 2002 and the Inline XBRL financial data files

Axis Capital Holdings (AXS) is expected to witness an improvement in its top and bottom lines when it reports third-quarter 2024 results on Oct. 30, after the closing bell.Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.The Zacks Consensus Estimate for AXS’ third-quarter revenues is pegged at $1.6 billion, indicating 5.8% growth from the year-ago reported figure.The consensus estimate for earnings is pegged at $2.50 per share. The Zacks Consensus Estimate for AXS’ third-quarter earn ...

AXIS Capital Holdings (AXS) shares are trading at a discount to the Zacks Property and Casualty Insurance industry’s multiple of 1.65. Its price-to-book value of 1.36X is lower than the broader sector’s 3.74X and the Zacks S&P 500 composite’s 8.83X.Its pricing at a discount to the industry average gives a better entry point to investors. Also, it has a Value Score of A. This leading specialty insurer and global reinsurer has a market capitalization of $7 billion. The average volume of shares traded in the l ...

Have you been searching for a stock that might be well-positioned to maintain its earnings-beat streak in its upcoming report? It is worth considering Axis Capital (AXS) , which belongs to the Zacks Insurance - Property and Casualty industry.This insurance company has seen a nice streak of beating earnings estimates, especially when looking at the previous two reports. The average surprise for the last two quarters was 8.73%.For the most recent quarter, Axis Capital was expected to post earnings of $2.52 pe ...

Core Insights - Zacks Premium offers various tools for investors to enhance their stock market engagement and confidence [1] - The Zacks Style Scores provide a framework for evaluating stocks based on value, growth, and momentum, aiding in identifying securities likely to outperform the market [2][3][4] Zacks Style Scores Overview - The Style Scores categorize stocks into four types: Value Score, Growth Score, Momentum Score, and VGM Score, each assessing different investment characteristics [2][3][4] - Value Score focuses on identifying undervalued stocks using financial ratios like P/E and Price/Sales [2] - Growth Score evaluates a company's future earnings and financial health to find stocks with sustainable growth potential [3] - Momentum Score capitalizes on price trends and earnings outlook changes to identify high-momentum stocks [3] - VGM Score combines all three styles to provide a comprehensive assessment of stocks based on value, growth, and momentum [4] Zacks Rank and Performance - The Zacks Rank utilizes earnings estimate revisions to guide investors in building successful portfolios, with 1 (Strong Buy) stocks achieving an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [5] - A large number of stocks are rated under the Zacks Rank, with over 200 stocks classified as Strong Buy and around 600 as Buy on any given day [5] Stock Example: Axis Capital (AXS) - Axis Capital Holdings Limited is rated 2 (Buy) on the Zacks Rank and has a VGM Score of A, indicating strong investment potential [8] - The company has a Value Style Score of A, supported by a forward P/E ratio of 7.48, making it attractive for value investors [8] - Recent upward revisions in earnings estimates for fiscal 2024 have increased the Zacks Consensus Estimate by $0.20 to $10.72 per share, with an average earnings surprise of 94.6% [8]

Market Overview - Wall Street experienced volatility at the start of the trading week due to inflation concerns, geopolitical tensions, and external pressures, including Hurricane Milton and the presidential election season [1] - Major indices saw declines: Dow Jones Industrial Average fell 0.9% to 41,954.24, S&P 500 decreased 1% to 5,695.94, and Nasdaq Composite dropped 1.2% to 17,923.90 [1] - Rising oil prices, influenced by ongoing conflicts in the Middle East, contributed to market unease [1] Investment Opportunities - In the current uncertain market environment, value stocks are highlighted as a compelling investment option, trading below their intrinsic value and offering a margin of safety [1] - The Price to Cash Flow (P/CF) ratio is emphasized as an effective valuation metric for evaluating value stocks, with lower ratios indicating better investment opportunities [2][3] Financial Health Indicators - Positive cash flow is crucial as it indicates an increase in a company's liquid assets, enabling it to settle debts, meet expenses, reinvest, and undertake shareholder-friendly actions [4] - Negative cash flow suggests a decline in liquidity, reducing a company's flexibility [4] Value Investing Strategy - A comprehensive investment strategy should include multiple valuation metrics such as P/CF, price-to-book ratio, price-to-earnings ratio, and price-to-sales ratio, alongside a favorable Zacks Rank and Value Score [5][6][7] - Parameters for selecting true-value stocks include P/CF less than or equal to industry median, price greater than or equal to $5, and average 20-day volume greater than 100,000 [5] Stock Highlights - JD.com, Inc. (JD) has a Zacks Rank 1, with a trailing four-quarter earnings surprise of 24% and a Value Score of A; shares surged 61% in the past year [8] - EnerSys (ENS) holds a Zacks Rank 2, with a trailing four-quarter earnings surprise of 1.5% and a Value Score of A; shares increased 7.3% in the past year [8] - AXIS Capital Holdings (AXS) also has a Zacks Rank 2, with a trailing four-quarter earnings surprise of 94.6% and a Value Score of A; stock advanced 39% in the past year [9] - Pebblebrook Hotel Trust (PB) carries a Zacks Rank 2, with a trailing four-quarter earnings surprise of 23.3% and a Value Score of A; shares declined 3.2% in the past year [10]

Have you been paying attention to shares of Axis Capital (AXS) ? Shares have been on the move with the stock up 7.1% over the past month. The stock hit a new 52-week high of $82.34 in the previous session. Axis Capital has gained 48.4% since the start of the year compared to the 18.1% move for the Zacks Finance sector and the 29.1% return for the Zacks Insurance - Property and Casualty industry.What's Driving the Outperformance?The stock has an impressive record of positive earnings surprises, as it hasn't ...

Relying solely on stock price movements without understanding the company’s fundamentals can cause investors to lose money. Investors must carefully review a company's financial health to make informed decisions, especially in today’s unpredictable market.While sales and earnings are often the go-to metrics, they can sometimes be misleading and may not show whether a company has the financial strength to cover its obligations. This is where the coverage ratio holds the key — a higher ratio signals that a co ...

Group 1 - AXIS Capital Holdings Limited (AXS) has a Zacks Rank 1 and a price-to-earnings ratio (P/E) of 7.39, significantly lower than the industry average of 15.80, indicating strong value characteristics [1] - The Zacks Consensus Estimate for AXIS Capital's current year earnings has increased nearly 7% over the last 60 days [1] - DXP Enterprises, Inc. (DXPE) also holds a Zacks Rank 1 with a P/E of 14.68, compared to the industry average of 23.00, reflecting its strong value [2] - The Zacks Consensus Estimate for DXP's current year earnings has risen by 12.7% over the last 60 days [2] Group 2 - PCB Bancorp (PCB) is another company with a Zacks Rank 1, featuring a P/E of 11.22, which is lower than the S&P 500 average of 23.21, showcasing its value potential [2] - The Zacks Consensus Estimate for PCB's current year earnings has increased by 5.1% over the last 60 days [2]