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Are Investors Undervaluing Axis Capital Holdings (AXS) Right Now?
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Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
Axis Capital Holdings (AXS - Free Report) is a stock many investors are watching right now. AXS is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A.
Investors should also note that AXS holds a PEG ratio of 1.25. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. AXS's industry has an average PEG of 2.55 right now. Within the past year, AXS's PEG has been as high as 1.50 and as low as 1.13, with a median of 1.23.
We should also highlight that AXS has a P/B ratio of 1.18. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. AXS's current P/B looks attractive when compared to its industry's average P/B of 1.58. Within the past 52 weeks, AXS's P/B has been as high as 1.18 and as low as 0.98, with a median of 1.06.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. AXS has a P/S ratio of 0.97. This compares to its industry's average P/S of 1.28.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Axis Capital Holdings is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, AXS feels like a great value stock at the moment.
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Are Investors Undervaluing Axis Capital Holdings (AXS) Right Now?
Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.
Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.
On top of the Zacks Rank, investors can also look at our innovative Style Scores system to find stocks with specific traits. For example, value investors will want to focus on the "Value" category. Stocks with high Zacks Ranks and "A" grades for Value will be some of the highest-quality value stocks on the market today.
Axis Capital Holdings (AXS - Free Report) is a stock many investors are watching right now. AXS is currently holding a Zacks Rank of #2 (Buy) and a Value grade of A.
Investors should also note that AXS holds a PEG ratio of 1.25. This figure is similar to the commonly-used P/E ratio, with the PEG ratio also factoring in a company's expected earnings growth rate. AXS's industry has an average PEG of 2.55 right now. Within the past year, AXS's PEG has been as high as 1.50 and as low as 1.13, with a median of 1.23.
We should also highlight that AXS has a P/B ratio of 1.18. Investors use the P/B ratio to look at a stock's market value versus its book value, which is defined as total assets minus total liabilities. AXS's current P/B looks attractive when compared to its industry's average P/B of 1.58. Within the past 52 weeks, AXS's P/B has been as high as 1.18 and as low as 0.98, with a median of 1.06.
Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. This is a prefered metric because revenue can't really be manipulated, so sales are often a truer performance indicator. AXS has a P/S ratio of 0.97. This compares to its industry's average P/S of 1.28.
These figures are just a handful of the metrics value investors tend to look at, but they help show that Axis Capital Holdings is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, AXS feels like a great value stock at the moment.