
Axis Capital (AXS) Stock Forecast & Price Target
Axis Capital (AXS) Analyst Ratings
Bulls say
Axis Capital Holdings Ltd has demonstrated significant improvement in its return on equity (ROE), which has advanced towards the mid-teens, indicating effective financial management and growth potential. The company has successfully de-risked its balance sheet and has seen a favorable re-rating of its shares, reflecting broader sector trends. With high-single-digit gross written premium (GWP) growth forecasted for 2024, following prior re-positioning efforts, Axis is poised to benefit from potential re-hardening in its key markets, which would enhance premium growth and underwriting margins, supporting overall financial stability.
Bears say
Axis Capital Holdings Ltd. faces significant headwinds, particularly with a notable decline in single zone probable maximum loss (PML) metrics, which have decreased from approximately $1.5 billion in a 1-in-250 year scenario in 2018 to around $200 million currently, indicating less favorable risk assessments. Additionally, projections for earnings growth suggest a slowdown in 2026 and 2027 due to flattening investment yields and diminished asset growth as the company increases capital returns, coupled with anticipated core loss ratio deterioration despite recent improvements in general and administrative expenses. Furthermore, the reinsurance segment is expected to experience declines in gross written premiums, particularly in casualty and professional liability lines, alongside unfavorable comps from a mild hurricane season in 2025, leading to cautious management outlooks on underwriting margins for 2026.
This aggregate rating is based on analysts' research of Axis Capital and is not a guaranteed prediction by Public.com or investment advice.
Axis Capital (AXS) Analyst Forecast & Price Prediction
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