In trading on Wednesday, AXIS Capital Holdings Ltd’s 5.50% SERIES E PREFERRED SHARE (Symbol: AXS.PRE) yielded over 7%, with shares dipping to a low of $19.61. This compares to an average yield of 7.08% in the financial preferred stock category. As of the last close, AXS.PRE was trading at a 20.40% discount to its liquidation preference, significantly higher than the average discount of 14.96% in the sector.
It’s important to note that AXS.PRE shares are not cumulative, meaning if a dividend payment is missed, the company is not obligated to compensate preferred shareholders before resuming common dividends. During the same trading session, AXS.PRE and the common shares (Symbol: AXS) were both down approximately 1.2%.
