Here's Why Axis Capital (AXS) is a Strong Value Stock
AXIS CapitalAXIS Capital(US:AXS) Zacks Investment Research·2024-04-10 14:46

Core Insights - Zacks Premium offers tools for investors to enhance their stock market engagement and confidence through various research services [1] - The Zacks Style Scores provide a rating system for stocks based on value, growth, and momentum, aiding investors in selecting securities with high potential for market outperformance [2] Zacks Style Scores Overview - The Style Scores categorize stocks into four types: Value Score, Growth Score, Momentum Score, and VGM Score, each focusing on different investment strategies [2][4] - Value Score identifies undervalued stocks using financial ratios like P/E and Price/Sales [2] - Growth Score emphasizes a company's financial health and future growth potential based on earnings and sales projections [3] - Momentum Score assesses stocks based on price trends and earnings estimate changes to identify favorable buying opportunities [3] Integration with Zacks Rank - The Zacks Rank is a proprietary model that leverages earnings estimate revisions to guide investors in portfolio creation [5] - Stocks rated 1 (Strong Buy) have historically achieved an average annual return of +25.41%, significantly outperforming the S&P 500 [5] - The combination of Zacks Rank and Style Scores helps investors select stocks with the highest likelihood of success, focusing on those with 1 or 2 ranks and Style Scores of A or B [6] Company Spotlight: Axis Capital (AXS) - Axis Capital Holdings Limited is a Bermuda-based holding company with a Zacks Rank of 2 (Buy) and a VGM Score of B [7] - AXS has a Value Style Score of A, supported by a forward P/E ratio of 6.25, indicating strong valuation metrics [7] - Recent upward revisions in earnings estimates have increased the Zacks Consensus Estimate for AXS to $10.17 per share, with an average earnings surprise of 102.6% [7][8]