Axis Capital Holdings Limited Third Quarter Earnings Sneak Peek

Axis Capital Holdings Limited (NYSE:AXS) will unveil its latest earnings on Wednesday, October 31, 2012. Axis Capital Holdings, through its subsidiaries, provides a range of insurance and reinsurance products to insureds and reinsureds worldwide operations with main locations in Bermuda, the United States, and Europe.

Axis Capital Holdings Limited Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of $1.01 per share, a rise of 36.5% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved up from 55 cents. Between one and three months ago, the average estimate moved up. It has risen from 65 cents during the last month. For the year, analysts are projecting profit of $4.07 per share, a spike from net loss of $1.26 last year.

Past Earnings Performance: The company is looking to top analyst estimates this quarter after trailing for the two previous quarters. Last quarter, it missed estimates by reporting net income of 90 cents per share against an estimate of profit of 93 cents per share. The quarter before that, it missed expectations by 18 cents.

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A Look Back: In the second quarter, profit rose 71.4% to $189.1 million ($1.35 a share) from $110.3 million (79 cents a share) the year earlier, but fell short analyst expectations. Revenue fell 2.2% to $955.8 million from $977.6 million.

Stock Price Performance: Between August 1, 2012 and October 25, 2012, the stock price rose $4.50 (13.7%), from $32.80 to $37.30. The stock price saw one of its best stretches over the last year between December 13, 2011 and December 27, 2011, when shares rose for 10 straight days, increasing 9.3% (+$2.78) over that span. It saw one of its worst periods between May 11, 2012 and May 18, 2012 when shares fell for six straight days, dropping 6% (-$2.10) over that span.

Wall St. Revenue Expectations: Analysts predict a rise of 2.7% in revenue from the year-earlier quarter to $691.3 million.

Key Stats:

On the top line, the company is looking to get back on the right track after last quarter’s drop snapped a string of revenue increases. Revenue rose 0% in the third quarter of the last fiscal year, 0.3% in the fourth quarter of the last fiscal year and 5.1%in the first quarter before dropping in the second quarter.

Analyst Ratings: There are mostly holds on the stock with seven of 13 analysts surveyed giving that rating.

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(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

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