Wunderlich Lowering Estimates On Axis Capital Holdings

Wunderlich Securities is lowering its estimates on Axis Capital Holdings Limited AXS following earnings. It has a Buy rating and a $45 price target on shares. In a note to clients, Wunderlich Securities writes, "AXIS Capital Holdings (AXS) joins a long list of companies reporting unusual 2Q11 losses from severe weather and earthquakes. On July 14, 2011, AXS announced after-tax losses of $90-$105 million from New Zealand earthquake after shocks and severe weather in the U.S. In addition, AXS reported an additional net $20 million from 1Q11 catastrophes. We are lowering our 2Q11 EPS estimate for AXS to $0.32 from $1.28. We are also lowering our 2011 EPS estimate to a loss of $0.86 from a gain of $0.31. Book value for 2011 is now expected to be $37.45. The 2Q11 losses, while significant, are in proportion to the entire industry loss for 2Q11 which AXS now estimates at $19 billion." Shares of AXS closed at $31.00 yesterday.