Back to top

Image: Bigstock

Are Finance Stocks Lagging Axis Capital Holdings (AXS) This Year?

Read MoreHide Full Article

For those looking to find strong Finance stocks, it is prudent to search for companies in the group that are outperforming their peers. Is Axis Capital (AXS - Free Report) one of those stocks right now? By taking a look at the stock's year-to-date performance in comparison to its Finance peers, we might be able to answer that question.

Axis Capital is one of 892 companies in the Finance group. The Finance group currently sits at #6 within the Zacks Sector Rank. The Zacks Sector Rank includes 16 different groups and is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors.

The Zacks Rank is a proven model that highlights a variety of stocks with the right characteristics to outperform the market over the next one to three months. The system emphasizes earnings estimate revisions and favors companies with improving earnings outlooks. Axis Capital is currently sporting a Zacks Rank of #2 (Buy).

Over the past 90 days, the Zacks Consensus Estimate for AXS' full-year earnings has moved 7.3% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.

Our latest available data shows that AXS has returned about 1.5% since the start of the calendar year. At the same time, Finance stocks have lost an average of 17.9%. This shows that Axis Capital is outperforming its peers so far this year.

One other Finance stock that has outperformed the sector so far this year is Cincinnati Financial (CINF - Free Report) . The stock is up 1.4% year-to-date.

In Cincinnati Financial's case, the consensus EPS estimate for the current year increased 3.6% over the past three months. The stock currently has a Zacks Rank #2 (Buy).

To break things down more, Axis Capital belongs to the Insurance - Property and Casualty industry, a group that includes 40 individual companies and currently sits at #167 in the Zacks Industry Rank. Stocks in this group have lost about 7.4% so far this year, so AXS is performing better this group in terms of year-to-date returns. Cincinnati Financial is also part of the same industry.

Investors with an interest in Finance stocks should continue to track Axis Capital and Cincinnati Financial. These stocks will be looking to continue their solid performance.

In-Depth Zacks Research for the Tickers Above

Normally $25 each - click below to receive one report FREE:

Cincinnati Financial Corporation (CINF) - free report >>

Axis Capital Holdings Limited (AXS) - free report >>

Published in