Arch Capital Group Ltd. (ACGL) Stock

Arch Capital Group Ltd. trades at a P/E ratio of 9.47, which is below the market average of approximately 20. This lower valuation could indicate the market has modest growth expectations, or it might represent an undervalued opportunity if the fundamentals are strong. Looking ahead, the forward P/E of 11.90 is higher than the current P/E, indicating analysts expect earnings to decline over the next year. The PEG ratio of 2.24 indicates a premium valuation even accounting for growth.

With a beta of 0.47, Arch Capital Group Ltd. is less volatile than the overall market. This means when the market moves up or down by 10%, this stock typically moves less than 10% in the same direction. Lower beta stocks are often preferred by conservative investors seeking stability. The price-to-book ratio of 1.54 shows investors value the company above its book value, which often reflects intangible assets or growth prospects.

Arch Capital Group Ltd. achieves a profit margin of 19.50%, meaning it retains $19.50 from every $100 in revenue after all expenses. This is an impressive margin, indicating strong pricing power and efficient cost management that allows the company to generate substantial profits. The operating margin of 29.80% reveals how efficiently the company runs its core business operations before interest and taxes. With ROE at 17.10% and ROA at 3.79%, the company generates strong returns on invested capital.

Arch Capital Group Ltd.'s revenue grew by 23.30% year-over-year, representing robust expansion that significantly outpaces typical market growth rates. This strong top-line performance suggests the company is successfully capturing market share or benefiting from favorable industry trends. Earnings decreased by 2.10% year-over-year, reflecting the bottom-line impact of business performance. These growth metrics should be evaluated against FIRE, MARINE & CASUALTY INSURANCE industry averages for proper context.

Arch Capital Group Ltd. has a market capitalization of $34.16B, classifying it as a large-cap stock ($10B-$200B). Large-caps are typically industry leaders with established business models, offering a balance of stability and growth potential. They often provide dividend income and are core holdings in institutional portfolios. With 373.22M shares outstanding, the company's ownership is relatively concentrated. As a participant in the FIRE, MARINE & CASUALTY INSURANCE industry, it competes with other firms in this sector.

Arch Capital Group Ltd.'s book value per share is $59.41, while the current stock price is $92.26, resulting in a price-to-book (P/B) ratio of 1.55. This reasonable premium to book value suggests the market values the company's earnings power and intangible assets appropriately. Most profitable companies trade between 1-3x book value. As a common stock, this represents equity ownership with voting rights.

14 analysts cover ACGL with 57% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The mixed views reflect uncertainty about the outlook. The consensus target of $108.31 implies 17.4% upside, but targets are often adjusted to follow price moves rather than predict them.

Current analyst recommendations:2 Strong Buy, 6 Buy, 6 Hold, 00The bullish tilt suggests optimism about future prospects, though investors should conduct independent research.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.

RSI data is not available for this stock.

MACD and moving average data are not available for this stock.