Global specialty insurer AXIS Capital Holdings Limited (NYSE: AXS) will be reporting results this Tuesday after market hours. Here’s what investors should know.
AXIS Capital missed analysts’ revenue expectations last quarter, reporting revenues of $1.67 billion, up 7.7% year on year. It was a softer quarter for the company, with a miss of analysts’ net premiums earned estimates and a miss of analysts’ book value per share estimates.
Is AXIS Capital a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting AXIS Capital’s revenue to grow 11.3% year on year, improving from the 5.7% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. AXIS Capital has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at AXIS Capital’s peers in the insurance segment, some have already reported their Q2 results, giving us a hint as to what we can expect. RenaissanceRe’s revenues decreased 13.7% year on year, beating analysts’ expectations by 3.7%, and First American Financial reported revenues up 15%, topping estimates by 3.4%. RenaissanceRe’s stock price was unchanged after the resultswhile First American Financial was down 2.2%.
Read our full analysis of RenaissanceRe’s results here and First American Financial’s results here.
There has been positive sentiment among investors in the insurance segment, with share prices up 4% on average over the last month. AXIS Capital is up 7% during the same time and is heading into earnings with an average analyst price target of $126.73 (compared to the current share price of $116.50).
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