(ACGL) Arch Capital - Ratings and Ratios
Insurance, Reinsurance, Mortgage Insurance
ACGL EPS (Earnings per Share)
ACGL Revenue
Description: ACGL Arch Capital
Arch Capital Group Ltd (ACGL) is a multinational insurance, reinsurance, and mortgage insurance provider operating across various regions, including the United States, Canada, Bermuda, the UK, Europe, and Australia. The company operates through three main segments: Insurance, Reinsurance, and Mortgage. The Insurance segment offers a diverse range of insurance products, including commercial automobile, property, and casualty insurance, while the Reinsurance segment provides reinsurance products for various risks, including casualty, marine, and property catastrophe. The Mortgage segment focuses on primary mortgage insurance and reinsurance services, primarily for loans sold to government-sponsored entities.
From a financial perspective, Arch Capital Group has demonstrated a strong return on equity (RoE) of 17.66%, indicating effective utilization of shareholder capital. To further analyze the companys performance, key performance indicators (KPIs) such as the combined ratio, loss ratio, and expense ratio can be examined. A combined ratio below 100% indicates profitable underwriting, while a lower loss ratio and expense ratio suggest efficient operations. Additionally, the companys dividend yield and payout ratio can be evaluated to assess its ability to generate consistent returns for shareholders.
To gain a deeper understanding of Arch Capital Groups competitive position and growth prospects, it is essential to analyze industry trends, market share, and the companys competitive advantages. The property and casualty insurance market is highly competitive, with factors such as pricing power, underwriting expertise, and distribution channels influencing a companys success. Arch Capital Groups diversified product offerings and global presence may provide a competitive edge, while its financial strength and capital management strategies can support long-term sustainability.
ACGL Stock Overview
| Market Cap in USD | 34,862m |
| Sub-Industry | Property & Casualty Insurance |
| IPO / Inception | 1995-09-13 |
ACGL Stock Ratings
| Growth Rating | 32.8% |
| Fundamental | 82.9% |
| Dividend Rating | 33.6% |
| Return 12m vs S&P 500 | -27.1% |
| Analyst Rating | 4.14 of 5 |
ACGL Dividends
| Dividend Yield 12m | 5.42% |
| Yield on Cost 5y | 16.67% |
| Annual Growth 5y | -100.00% |
| Payout Consistency | 100.0% |
| Payout Ratio | 59.7% |
ACGL Growth Ratios
| Growth Correlation 3m | -16.5% |
| Growth Correlation 12m | -71.7% |
| Growth Correlation 5y | 96.1% |
| CAGR 5y | 25.11% |
| CAGR/Max DD 5y | 1.13 |
| Sharpe Ratio 12m | -0.01 |
| Alpha | -25.84 |
| Beta | 0.653 |
| Volatility | 23.25% |
| Current Volume | 1563k |
| Average Volume 20d | 1929.1k |
| Stop Loss | 88.7 (-3.1%) |
| Signal | -0.81 |
Piotroski VR‑10 (Strict, 0-10) 6.5
| Net Income (3.73b TTM) > 0 and > 6% of Revenue (6% = 1.16b TTM) |
| FCFTA 0.08 (>2.0%) and ΔFCFTA -2.40pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 19.45% (prev -26.40%; Δ 45.85pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.08 (>3.0%) and CFO 6.17b > Net Income 3.73b (YES >=105%, WARN >=100%) |
| Net Debt (1.75b) to EBITDA (3.01b) ratio: 0.58 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.87 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (379.9m) change vs 12m ago -0.45% (target <= -2.0% for YES) |
| Gross Margin 69.07% (prev 38.10%; Δ 30.96pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 26.72% (prev 22.94%; Δ 3.77pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 19.12 (EBITDA TTM 3.01b / Interest Expense TTM 145.0m) >= 6 (WARN >= 3) |
Altman Z'' 2.04
| (A) 0.05 = (Total Current Assets 8.05b - Total Current Liabilities 4.30b) / Total Assets 78.79b |
| (B) 0.31 = Retained Earnings (Balance) 24.48b / Total Assets 78.79b |
| (C) 0.04 = EBIT TTM 2.77b / Avg Total Assets 72.13b |
| (D) 0.44 = Book Value of Equity 24.43b / Total Liabilities 55.75b |
| Total Rating: 2.04 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 82.90
| 1. Piotroski 6.50pt = 1.50 |
| 2. FCF Yield 14.98% = 5.0 |
| 3. FCF Margin 31.80% = 7.50 |
| 4. Debt/Equity 0.31 = 2.45 |
| 5. Debt/Ebitda 2.34 = -0.65 |
| 6. ROIC - WACC 3.65% = 4.56 |
| 7. RoE 17.03% = 1.42 |
| 8. Rev. Trend 97.88% = 4.89 |
| 9. Rev. CAGR 30.80% = 2.50 |
| 10. EPS Trend 49.19% = 1.23 |
| 11. EPS CAGR 372.6% = 2.50 |
What is the price of ACGL shares?
Over the past week, the price has changed by -2.01%, over one month by +6.28%, over three months by -2.83% and over the past year by -14.67%.
Is Arch Capital a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of ACGL is around 97.39 USD . This means that ACGL is currently overvalued and has a potential downside of 6.4%.
Is ACGL a buy, sell or hold?
- Strong Buy: 6
- Buy: 4
- Hold: 4
- Sell: 0
- Strong Sell: 0
What are the forecasts/targets for the ACGL price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 108.3 | 18.3% |
| Analysts Target Price | 108.3 | 18.3% |
| ValueRay Target Price | 107.2 | 17.1% |
Last update: 2025-08-26 04:30
ACGL Fundamental Data Overview
CCE Cash And Equivalents = 983.0m USD (Cash And Short Term Investments, last quarter)
P/E Trailing = 9.6598
P/E Forward = 12.1507
P/S = 1.8199
P/B = 1.5696
P/EG = 2.24
Beta = 0.475
Revenue TTM = 19.27b USD
EBIT TTM = 2.77b USD
EBITDA TTM = 3.01b USD
Long Term Debt = 2.73b USD (from longTermDebt, last quarter)
Short Term Debt = 4.30b USD (from totalCurrentLiabilities, last fiscal year)
Debt = 7.03b USD (Calculated: Short Term 4.30b + Long Term 2.73b)
Net Debt = 1.75b USD (from netDebt column, last quarter)
Enterprise Value = 40.91b USD (34.86b + Debt 7.03b - CCE 983.0m)
Interest Coverage Ratio = 19.12 (Ebit TTM 2.77b / Interest Expense TTM 145.0m)
FCF Yield = 14.98% (FCF TTM 6.13b / Enterprise Value 40.91b)
FCF Margin = 31.80% (FCF TTM 6.13b / Revenue TTM 19.27b)
Net Margin = 19.38% (Net Income TTM 3.73b / Revenue TTM 19.27b)
Gross Margin = 69.07% ((Revenue TTM 19.27b - Cost of Revenue TTM 5.96b) / Revenue TTM)
Tobins Q-Ratio = 1.67 (Enterprise Value 40.91b / Book Value Of Equity 24.43b)
Interest Expense / Debt = 0.54% (Interest Expense 38.0m / Debt 7.03b)
Taxrate = 7.74% (from yearly Income Tax Expense: 362.0m / 4.67b)
NOPAT = 2.56b (EBIT 2.77b * (1 - 7.74%))
Current Ratio = 1.87 (Total Current Assets 8.05b / Total Current Liabilities 4.30b)
Debt / Equity = 0.31 (Debt 7.03b / last Quarter total Stockholder Equity 23.04b)
Debt / EBITDA = 2.34 (Net Debt 1.75b / EBITDA 3.01b)
Debt / FCF = 1.15 (Debt 7.03b / FCF TTM 6.13b)
Total Stockholder Equity = 21.92b (last 4 quarters mean)
RoA = 4.74% (Net Income 3.73b, Total Assets 78.79b )
RoE = 17.03% (Net Income TTM 3.73b / Total Stockholder Equity 21.92b)
RoCE = 11.25% (Ebit 2.77b / (Equity 21.92b + L.T.Debt 2.73b))
RoIC = 10.74% (NOPAT 2.56b / Invested Capital 23.82b)
WACC = 7.09% (E(34.86b)/V(41.89b) * Re(8.42%)) + (D(7.03b)/V(41.89b) * Rd(0.54%) * (1-Tc(0.08)))
Shares Correlation 5-Years: -10.0 | Cagr: -0.58%
Discount Rate = 8.42% (= CAPM, Blume Beta Adj.)
[DCF Debug] Terminal Value 80.23% ; FCFE base≈6.34b ; Y1≈7.82b ; Y5≈13.35b
Fair Price DCF = 565.5 (DCF Value 211.06b / Shares Outstanding 373.2m; 5y FCF grow 25.0% → 3.0% )
Revenue Correlation: 97.88 | Revenue CAGR: 30.80%
Rev Growth-of-Growth: -1.67
EPS Correlation: 49.19 | EPS CAGR: 372.6%
EPS Growth-of-Growth: -120.9
Additional Sources for ACGL Stock
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