Axis Capital downgraded to Market Perform from Outperform at Keefe Bruyette

Keefe Bruyette analyst Meyer Shields downgraded Axis Capital to Market Perform from Outperform with a price target of $60, down from $63. The analyst sees limited core insurance combined ratio improvement and likely pressured reinsurance premium growth in 2023. He expects Axis Capital’s reinsurance premium growth during the upcoming January 1 reinsurance renewals and quarterly core underwriting margins to disappoint investors over the course of 2023. This will likely limit book value growth and multiple expansion relative to reinsurers still writing catastrophe reinsurance, Shields tells investors in a research note.