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Should Value Investors Buy Axis Capital Holdings (AXS) Stock?
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The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One stock to keep an eye on is Axis Capital Holdings (AXS - Free Report) . AXS is currently sporting a Zacks Rank of #2 (Buy) and an A for Value.
Investors should also note that AXS holds a PEG ratio of 1.19. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. AXS's industry currently sports an average PEG of 2.41. AXS's PEG has been as high as 2 and as low as 1.15, with a median of 1.35, all within the past year.
We should also highlight that AXS has a P/B ratio of 1.07. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 1.44. Within the past 52 weeks, AXS's P/B has been as high as 1.31 and as low as 1, with a median of 1.07.
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 popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. AXS has a P/S ratio of 0.85. This compares to its industry's average P/S of 1.04.
Finally, our model also underscores that AXS has a P/CF ratio of 7.66. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. AXS's P/CF compares to its industry's average P/CF of 8.73. Over the past 52 weeks, AXS's P/CF has been as high as 17.12 and as low as 7.23, with a median of 11.32.
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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Should Value Investors Buy Axis Capital Holdings (AXS) Stock?
The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.
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 rely on traditional forms of analysis on key valuation metrics to find stocks that they believe are undervalued, leaving room for profits.
Luckily, Zacks has developed its own Style Scores system in an effort to find stocks with specific traits. Value investors will be interested in the system's "Value" category. Stocks with both "A" grades in the Value category and high Zacks Ranks are among the strongest value stocks on the market right now.
One stock to keep an eye on is Axis Capital Holdings (AXS - Free Report) . AXS is currently sporting a Zacks Rank of #2 (Buy) and an A for Value.
Investors should also note that AXS holds a PEG ratio of 1.19. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. AXS's industry currently sports an average PEG of 2.41. AXS's PEG has been as high as 2 and as low as 1.15, with a median of 1.35, all within the past year.
We should also highlight that AXS has a P/B ratio of 1.07. The P/B ratio pits a stock's market value against its book value, which is defined as total assets minus total liabilities. This company's current P/B looks solid when compared to its industry's average P/B of 1.44. Within the past 52 weeks, AXS's P/B has been as high as 1.31 and as low as 1, with a median of 1.07.
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 popular metric because sales are harder to manipulate on an income statement, so they are often considered a better performance indicator. AXS has a P/S ratio of 0.85. This compares to its industry's average P/S of 1.04.
Finally, our model also underscores that AXS has a P/CF ratio of 7.66. This figure highlights a company's operating cash flow and can be used to find firms that are undervalued when considering their impressive cash outlook. AXS's P/CF compares to its industry's average P/CF of 8.73. Over the past 52 weeks, AXS's P/CF has been as high as 17.12 and as low as 7.23, with a median of 11.32.
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.