This week I'm seeking a prestigious and long-term dividend paying stock from the financial services sector. Financial Services includes twenty industries ranging from Asset Management to 8 kinds of Banks, Credit, Exchanges, 6 kinds of Insurance, Savings, and all such financial concerns.

Today I'm reviewing a mid-cap insurance - property & casualty firm named Axis Capital Holdings, Ltd. Its trading ticker symbol is AXS. 

Axis Capital Holdings Ltd is a global property and casualty insurance company. The firm along with its subsidiaries provides its clients and distribution partners with various products and services around the world. It operates through two segments, Insurance and Reinsurance. The Insurance segment offers property insurance for commercial buildings, residential premises, construction projects, and onshore energy installations; marine insurance. It also provides professional lines insurance. In addition, this segment offers accidental death, travel, and specialty health products for employer and affinity groups. 

The Reinsurance segment offers reinsurance to insurance companies. This segment also provides agriculture reinsurance; coverage for various types of construction risks; marine, aviation, and personal accident reinsurance; and derivative based risk management products.  The company was founded in 2001 and is headquartered in Pembroke, Bermuda.

I use three key data points to gauge the value of any dividend equity or fund like  Axis Capital Holdings, Ltd. (AXS): 

(1) Price

(2) Dividends

(3) Returns

Besides those three, four more keys will finally unlock an equity or fund in which to invest. But those first three primary keys best tell whether a company has made, is making, and will make money. 

AXS Price

Axis's  price per share was $54.81 at yesterday's market close.  A year ago its price was $55.87 for a price slide of $1.06 per share.  

Assuming Axis's price will trade in the range of $48 to $60 next year, Axis's current $54.81 price could manage a $3.00 gain and grow to $57.81 by early-October, 2019. 

AXS Dividends

Axis's most recent quarterly dividend was $0.39 declared September 26th and payable October 15th. 

At this most recent $0.39 quarterly rate, Axis's annual dividend equals $1.56 yielding 2.85% at yesterday's closing $54.81 price.

Gains For AXS?

Adding the $1.56 estimated annual dividend to my estimated $3.00 annual price upside for Axis makes a $4.56  potential gross annual per share gain, which will be reduced by the costs to trade the shares.  

 A little over $1,000.00 invested today at the 54.81 recent price buys 18 AXS shares. 

A $10 broker fee paid half at purchase and half at sale costs $0.56 per share

Subtracting that $0.56 brokerage cost from the estimated $4.56 gross annual gain leaves a net gain of $4.00 X 18 shares 

= $72.00

or an 7.2% net gain on a $986.58 investment.

Therefore, Axis Capital Holdings, now shows a possible 7.2% net gain including an 2.85% dividend yield. 

Eleven brokers cover this stock:

Two brokers say AXS is a "buy". The other nine brokers say it's a "hold." Thus, the consensus recommendation number available is 2.6, or 'Hold'

The median price target set by the eleven brokers is $4.49 over my estimated $57.81 one year target.

So, you could look at these few speculative numbers this way: Axis Capital Holdings has made money, is making money, and could net a 7% to 15% net annual gain including a 2.85% dividend yield. It could be more, it could be less.

The above speculation is based on past year performance. Actual results remain to be seen.  Those results will determine if AXS is worth your time and money.