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ACGL vs BRK-A

ACGL
Arch Capital Group Ltd.
NEUTRAL
Price
$93.47
Market Cap
$33.89B
Sector
Financial Services
AI Confidence
78%
BRK-A
Berkshire Hathaway Inc.
BEARISH
Price
$718921.00
Market Cap
$1.03T
Sector
Financial Services
AI Confidence
65%

Valuation

P/E Ratio
ACGL
8.06
BRK-A
15.45
Forward P/E
ACGL
9.24
BRK-A
22.3
P/B Ratio
ACGL
1.43
BRK-A
1.44
P/S Ratio
ACGL
1.7
BRK-A
2.78
EV/EBITDA
ACGL
6.0
BRK-A
7.21

Profitability

Gross Margin
ACGL
37.16%
BRK-A
26.15%
Operating Margin
ACGL
29.53%
BRK-A
32.96%
Profit Margin
ACGL
22.07%
BRK-A
18.03%
ROE
ACGL
19.54%
BRK-A
9.81%
ROA
ACGL
4.44%
BRK-A
5.11%

Growth

Revenue Growth
ACGL
8.5%
BRK-A
-0.7%
Earnings Growth
ACGL
38.8%
BRK-A
-2.5%

Financial Health

Debt/Equity
ACGL
0.12
BRK-A
0.19
Current Ratio
ACGL
1.08
BRK-A
7.07
Quick Ratio
ACGL
0.5
BRK-A
6.62

Dividends

Dividend Yield
ACGL
--
BRK-A
--
Payout Ratio
ACGL
0.0%
BRK-A
0.0%

AI Verdict

ACGL NEUTRAL

ACGL exhibits mixed fundamental signals: the Piotroski F-Score of 4/9 indicates a borderline stable financial health, while the absence of an Altman Z-Score raises concern about default risk, particularly given the low quick ratio of 0.50. The stock trades at a compelling 8.06x P/E, well below the sector average of 30.46, and the Graham Number of $130.62 suggests undervaluation, though the intrinsic value estimate of $342.2 implies a significant growth premium. Strong profitability (22.07% margin, 19.54% ROE) and consistent earnings beats (16.97% average surprise) support upside potential, but the lack of dividends and bearish insider activity undermine confidence. The 1-year return of +3.4% lags behind peers, reflecting market skepticism despite solid fundamentals.

Strengths
Strong profitability with 22.07% net margin and 19.54% ROE
Consistent earnings beat history with 16.97% average surprise over last 4 quarters
Attractive valuation with P/E of 8.06, significantly below sector average of 30.46
Risks
Piotroski F-Score of 4/9 signals weak financial health, bordering on instability
No Altman Z-Score available; absence of distress risk metric is a red flag
Bearish insider sentiment with $27.21M in sales over 6 months, including large sales by Chairman and CEO
BRK-A BEARISH

BRK-A shows bearish fundamentals based on deterministic rules. Financial strength is weak (F-Score 3/9). Concerns include weak profitability or high valuation.

Strengths
Low debt with D/E ratio of 0.19
Risks
Weak financial trend (Piotroski F-Score: 3/9)
Declining revenue (-0.7%)

Compare Another Pair

ACGL vs BRK-A: Head-to-Head Comparison

This page compares Arch Capital Group Ltd. (ACGL) and Berkshire Hathaway Inc. (BRK-A) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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