ACGL Stock Analysis: Arch Capital | NASDAQ
Insurance - Diversified | NASDAQ, USA | Market Cap: 36.090m USD | 12M Return: 22.2% | BMG0450A1053 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 227M
EPS Trend: 68.1%
Qual. Beats: 1
Rev. Trend: 89.3%
Qual. Beats: 0
Warnings
Tailwinds
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Arch Capital Group Ltd. (ACGL) is a Bermuda-based financial services company that provides insurance, reinsurance, and mortgage insurance products across the United States, Canada, Bermuda, the United Kingdom, Europe, and Australia. The company operates through three segments: Insurance (offering commercial automobile, multiperil, financial and professional liability, casualty, property and specialty, and workers compensation coverage), Reinsurance (providing casualty, marine and aviation, property catastrophe, and other specialty products), and Mortgage (offering U.S. primary mortgage insurance predominantly on loans sold to Fannie Mae and Freddie Mac, credit-risk transfer reinsurance, and international mortgage insurance). Arch distributes its products through licensed independent retail and wholesale brokers. Founded in 1995 and headquartered in Pembroke, Bermuda, the company is classified within the Property & Casualty Insurance sub-industry, and Bermuda serves as a major global hub for insurance and reinsurance carriers due to its specialized regulatory framework and tax environment.
- Mortgage insurance losses rise as US home prices decline
- Reinsurance pricing strengthens following elevated catastrophe losses
- Insurance segment margins expand on disciplined rate increases
| Net Income: 4.38b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.07 > 0.02 and ΔFCF/TA -1.25 > 1.0 |
| NWC/Revenue: 61.13% < 20% (prev -83.82%; Δ 145.0% < -1%) |
| CFO/TA 0.07 > 3% & CFO 5.67b > Net Income 4.38b |
| Net Debt (-34.6b) to EBITDA (5.29b): -6.55 < 3 |
| Current Ratio: 1.22 > 1.5 & < 3 |
| Outstanding Shares: last quarter (341.4m) vs 12m ago -9.23% < -2% |
| Gross Margin: 49.40% > 18% (prev 35.70%; Δ 13.70% > 0.5%) |
| Asset Turnover: 23.12% > 50% (prev 24.70%; Δ -1.58% > 0%) |
| Interest Coverage Ratio: 28.46 > 6 (EBIT TTM 5.15b / Interest Expense TTM 181.0m) |
| A: 0.14 (Total Current Assets 64.2b - Total Current Liabilities 52.7b) / Total Assets 84.1b |
| B: 0.36 (Retained Earnings 30.2b / Total Assets 84.1b) |
| C: 0.06 (EBIT TTM 5.15b / Avg Total Assets 81.6b) |
| D: 0.38 (Book Value of Equity 23.0b / Total Liabilities 61.1b) |
| Altman-Z'' = 2.89 = A |
As of November 07, 2026, the stock is trading at USD 107.28 with a total of 2,346,536 shares traded. Over the past week, the price has changed by +0.86%, over one month by +13.14%, over three months by +8.05% and over the past year by +22.24%.
Current recommended Stop Loss: 100.80 (which is 6% or 2.7 ATR below the current price).
Arch Capital has received a consensus analysts rating of 3.68. Therefore, it is recommended to hold ACGL.
- StrongBuy: 7
- Buy: 1
- Hold: 10
- Sell: 0
- StrongSell: 1
| Analysts Target Price | 112.8 | 5.2% |
P/E Trailing = 9.0409
P/E Forward = 11.1732
P/S = 1.9219
P/B = 1.6299
P/EG = 1.0547
Revenue TTM = 18.9b USD
EBIT TTM = 5.15b USD
EBITDA TTM = 5.29b USD
Long Term Debt = 4.29b USD (from longTermDebt, last quarter)
Short Term Debt = unknown (none)
Debt = 4.29b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -34.6b USD (calculated: Debt 4.29b - CCE 38.9b)
Enterprise Value = 1.46b USD (36.1b + Debt 4.29b - CCE 38.9b)
Interest Coverage Ratio = 28.46 (Ebit TTM 5.15b / Interest Expense TTM 181.0m)
EV/FCF = 0.26x (Enterprise Value 1.46b / FCF TTM 5.63b)
FCF Yield = 386.6% (FCF TTM 5.63b / Enterprise Value 1.46b)
FCF Margin = 29.82% (FCF TTM 5.63b / Revenue TTM 18.9b)
Net Margin = 23.19% (Net Income TTM 4.38b / Revenue TTM 18.9b)
Gross Margin = 49.40% ((Revenue TTM 18.9b - Cost of Revenue TTM 9.55b) / Revenue TTM)
Gross Margin QoQ = 52.61% (prev 50.89%)
Tobins Q-Ratio = 0.02 (Enterprise Value 1.46b / Total Assets 84.1b)
Interest Expense / Debt = 4.22% (Interest Expense 181.0m / Debt 4.29b)
Taxrate = 13.12% (656.0m / 5.00b)
NOPAT = 4.48b (EBIT 5.15b * (1 - 13.12%))
Current Ratio = 1.22 (Total Current Assets 64.2b / Total Current Liabilities 52.7b)
Debt / Equity = 0.19 (Debt 4.29b / totalStockholderEquity, last quarter 23.0b)
Debt / EBITDA = -6.55 (Net Debt -34.6b / EBITDA 5.29b)
Debt / FCF = -6.15 (Net Debt -34.6b / FCF TTM 5.63b)
Total Stockholder Equity = 23.9b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.36% (Net Income 4.38b / Total Assets 84.1b)
RoE = 18.35% (Net Income TTM 4.38b / Total Stockholder Equity 23.9b)
RoCE = 18.31% (EBIT 5.15b / Capital Employed (Equity 23.9b + L.T.Debt 4.29b))
RoIC = 14.70% (NOPAT 4.48b / Invested Capital 30.4b)
WACC = 5.23% (E(36.1b)/V(40.4b) * Re(5.41%) + D(4.29b)/V(40.4b) * Rd(4.22%) * (1-Tc(0.13)))
Discount Rate = 5.41% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -87.38 | Cagr: -4.83%
[DCF] Terminal Value 73.87% ; FCFF base≈5.90b ; Y1≈5.39b ; Y5≈4.74b
[DCF] Fair Price = 336.9 (EV 75.3b - Net Debt -34.6b = Equity 110b / Shares 326.4m; r=8.35% [WACC [floored]]; 5y FCF grow -10.58% → 2.50% )
EPS Correlation: 68.11 | EPS CAGR: 6.43% | SUE: 2.83 | # QB: 1
Revenue Correlation: 89.34 | Revenue CAGR: 14.92% | SUE: 0.77 | # QB: 0
EPS current Quarter (2027-03-31): EPS=2.61 | Chg30d=+2.25% | Revisions=+36% | Analysts=17
EPS current Year (2026-12-31): EPS=10.22 | Chg30d=+7.63% | Revisions=+82% | GrowthEPS=+3.9% | GrowthRev=-4.3%
EPS next Year (2027-12-31): EPS=9.95 | Chg30d=+1.97% | Revisions=+39% | GrowthEPS=-2.6% | GrowthRev=-0.4%
[Analyst] Revisions Ratio: +60% (up=33, down=7)