In a remarkable display of market confidence, Axis Capital Holdings Limited (NYSE:AXS) stock has soared to an all-time high, reaching a price level of $85.78. This significant milestone underscores the company's robust performance and investor optimism in its growth potential. Over the past year, AXS has witnessed an impressive 59% change, reflecting a strong bullish trend in its market valuation. The achievement of this all-time high serves as a testament to the company's strategic initiatives and the positive reception of its financial results by the investment community.
In other recent news, AXIS Capital Holdings Limited demonstrated strong financial performance in the third quarter of 2024. The company reported a net income of $173 million, or $2.04 per diluted share, and an annualized return on equity of 13%. Additionally, the company saw a significant increase in book value per share to $64.65, marking nearly 20% growth year-to-date. Gross premiums written for the third quarter totaled $1.9 billion, a 1.6% increase from the previous year, marking the highest for a third quarter.
Keefe, Bruyette & Woods analyst Meyer Shields maintained an Outperform rating on AXIS Capital and raised the 12-month price target to $96 from the previous $94. This adjustment followed AXIS Capital's third-quarter earnings for 2024. Shields' new target price is set at 8.5 times the firm's updated 2025 estimated earnings per share (EPS) and 144% of the year-end 2024 estimated book value per share (BVPS).
Despite substantial losses from Hurricanes Helene and Milton, AXIS maintained a solid combined ratio of 93.1%. The company also returned $77 million to shareholders through dividends and share repurchases. Furthermore, AXIS is making strategic investments in technology to enhance efficiency. Looking ahead, AXIS anticipates a strong finish to 2024 and expects continued growth in 2025, backed by its diverse product offerings and geographic capabilities.
InvestingPro Insights
Axis Capital Holdings Limited's (AXS) recent all-time high is further supported by several key metrics and insights from InvestingPro. The company's P/E ratio of 11.66 suggests that it may be undervalued relative to its earnings potential, especially considering its impressive 60.78% price total return over the past year. This aligns with the article's mention of the stock's 59% change over the same period.
InvestingPro Tips highlight that AXS has raised its dividend for 21 consecutive years, demonstrating a strong commitment to shareholder returns. This consistent dividend growth, coupled with a current dividend yield of 2.07%, adds to the stock's appeal for income-focused investors.
Additionally, AXS is trading near its 52-week high, with its current price at 99.31% of that level. This data point reinforces the article's emphasis on the stock reaching an all-time high and suggests sustained investor confidence.
For readers interested in a deeper analysis, InvestingPro offers 12 additional tips for AXS, providing a comprehensive view of the company's financial health and market position.
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