Analyst Joshua Shanker of Bank of America Securities reiterated a Buy rating on Axis Capital (AXS – Research Report), with a price target of $110.00.
Joshua Shanker has given his Buy rating due to a combination of factors that highlight Axis Capital’s strong financial performance and strategic initiatives. The company’s first-quarter earnings per share exceeded expectations, driven by lower catastrophe losses, improved expense ratios, and favorable prior-year developments. These positive factors were slightly offset by a higher tax rate, but overall, the financial results were robust.
Additionally, Axis Capital’s share repurchase activity was significantly higher than anticipated, which supports the stock’s attractiveness. Despite a slowdown in premium growth due to portfolio reshaping, the company is expected to see improvement in the coming quarters. The improved expense ratios in both the insurance and reinsurance segments further bolster the company’s financial health. Consequently, Shanker raised the price objective to $110, reflecting confidence in the company’s future performance and the potential for share value appreciation.
Based on the recent corporate insider activity of 31 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of AXS in relation to earlier this year.