ACGLN Arch Capital Group Ltd. - Fundamental Analysis
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ACGLN Stock | Fundamental Analysis & Investment Insights
NASDAQ
Financial Services
Insurance - Diversified
Current Price
Live
$17.71
52W High
$19.16
52W Low
$16.44
At a glance
Key valuation, profitability, growth, and risk metrics.
Updated Feb 14, 2026
Market cap
N/A
P/E
3.78
ROE
19.5%
Profit margin
22.1%
Debt/Equity
0.11
Dividend yield
6.49%
AI Analysis
Powered by advanced machine learning algorithms
Confidence Score
78%
Analysis Accuracy
ACGLN exhibits mixed financial health, with a Piotroski F-Score of 4/9 indicating weak operational stability despite strong profitability and growth. The absence of an Altman Z-Score raises concern about bankruptcy risk, particularly given a low current ratio (0.53) and quick ratio (0.26), which suggest liquidity strain. While the stock trades at a deeply discounted valuation (P/E 3.78, Price/Book 0.27) and offers a high dividend yield of 6.49%, the lack of analyst coverage and bearish technical trend undermine conviction. The intrinsic value estimate of $138.38 far exceeds the current price of $17.71, suggesting potential undervaluation, but this may reflect underlying structural risks in the insurance sector or company-specific concerns.
Key Strengths
High profit margins (22.07% net, 29.53% operating) indicate strong underwriting and cost discipline
Significant earnings growth (38.70% YoY) and revenue growth (8.50% YoY) signal strong top-line and bottom-line momentum
Extremely low debt/equity ratio (0.11) reflects conservative capital structure and low financial leverage
Graham Number ($83.08) and Intrinsic Value ($138.38) suggest substantial undervaluation relative to current price
High dividend yield (6.49%) provides attractive income, especially in a low-rate environment
Key Risks
Piotroski F-Score of 4/9 indicates weak operational health, with potential issues in profitability consistency or asset efficiency
Current ratio (0.53) and quick ratio (0.26) are critically low, signaling potential short-term liquidity risk
No Altman Z-Score available; absence of this key distress metric increases uncertainty about bankruptcy risk
Technical trend is bearish (0/100), suggesting weak momentum and potential downside pressure
Lack of analyst coverage (0 analysts) and missing target prices reduce transparency and market confidence
AI Fair Value Estimate
Based on comprehensive analysis
$138.38
+681.4% above current price
Performance Snowflake
Multi-dimensional analysis across 5 key categories
Overall
64
Strong
88
76
58
45
55
AI Verdict
neutral
Key drivers: Strong profitability and growth metrics, Deep valuation discount relative to intrinsic value, Weak liquidity and operational stability (Piotroski F-Score), Absence of Altman Z-Score and bearish technicals
Confidence
78%
Value
88/100
Ref P/E, PEG, Graham Number
Positives
- P/E of 3.78 is significantly below sector average (30.52)
- Price/Book of 0.27 indicates deep discount to book value
- Graham Number ($83.08) and Intrinsic Value ($138.38) suggest strong margin of safety
Watchpoints
- No PEG ratio or forward P/E to validate growth-adjusted valuation
- High dividend yield may be unsustainable if earnings falter
Future
76/100
Ref Growth rates
Positives
- 38.70% YoY earnings growth and 8.50% revenue growth indicate strong momentum
- 32.40% Q/Q earnings growth suggests acceleration in profitability
Watchpoints
- No forward P/E or PEG ratio limits confidence in growth sustainability
- No analyst estimates to validate future earnings expectations
Past
58/100
Ref Historical trends
Positives
- 5-year return of -7.7% may reflect sector-wide headwinds, but 3-year return of +7.2% shows recovery
- Recent 6-month return of +4.7% indicates improving sentiment
Watchpoints
- 1-year return of -0.4% shows stagnation despite strong earnings growth
- 52-week range ($16.44–$19.16) suggests volatility and lack of strong trend
Health
45/100
Ref Altman Z-Score, Piotroski F-Score
Positives
- Debt/Equity ratio of 0.11 is exceptionally low, indicating minimal financial risk
- High ROE (19.54%) and ROA (4.44%) suggest efficient capital use
Watchpoints
- Piotroski F-Score of 4/9 indicates weak operational health and potential red flags in cash flow or asset turnover
- Current and quick ratios below 1.0 signal liquidity concerns
Dividend
55/100
Ref Yield, Payout
Positives
- 6.49% dividend yield is attractive, especially for income investors
- High payout ratio implied by yield and low earnings multiple may be sustainable due to strong margins
Watchpoints
- Payout ratio not available; high yield may be unsustainable if earnings decline
- No 5-year average yield or ex-dividend date data limits assessment of consistency
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Current Price
$17.71
Multi-Horizon Performance vs Peers
Price momentum across 5Y → 1W horizons for ACGLN and closest competitors.
Updated 2026-02-13
| Company | 5Y | 3Y | 1Y | 6M | 1M | 1W |
|---|---|---|---|---|---|---|
|
ACGLN
Arch Capital Group Ltd.
Primary
|
-7.7% | +7.2% | -0.4% | +4.7% | +1.8% | +1.4% |
Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.
Historical Performance Trends
Long-term financial metrics and growth patterns
Revenue & Net Income
Profit & Operating Margins
Return on Equity (ROE)
Quarterly Revenue Growth
Historical data shows last 12 quarters (3 years)
Valuation Metrics
Key valuation ratios and pricing indicators
P/E Ratio
3.78
Forward P/E
N/A
PEG Ratio
N/A
P/B Ratio
0.27
P/S Ratio
N/A
EV/Revenue
0.31
EV/EBITDA
1.12
Market Cap
N/A
Profitability
Profit margins and return metrics
Profit Margin
22.07%
Operating Margin
29.53%
Gross Margin
37.16%
ROE
19.54%
ROA
4.44%
Growth
Revenue and earnings growth rates
Revenue Growth
+8.5%
Earnings Growth
+38.7%
Q/Q Revenue Growth
N/A
Q/Q Earnings Growth
+32.4%
Financial Health
Balance sheet strength and liquidity metrics
Debt/Equity
0.11
Low debt
Current Ratio
0.53
Weak
Quick Ratio
0.26
Poor
Cash/Share
$10.3
Financial Services Sector Comparison
Comparing ACGLN against 208 companies in the Financial Services sector
(5 bullish, 111 neutral, 92 bearish)
P/E Ratio
3.78
This Stock
vs
30.38
Sector Avg
-87.6%
(Discount)
Return on Equity (ROE)
19.54%
This Stock
vs
-7.57%
Sector Avg
-358.0%
(Below Avg)
Profit Margin
22.07%
This Stock
vs
83.86%
Sector Avg
-73.7%
(Weaker)
Debt to Equity
0.11
This Stock
vs
1.51
Sector Avg
-92.5%
(Less Debt)
Revenue Growth
8.5%
This Stock
vs
30.29%
Sector Avg
-71.9%
(Slower)
Current Ratio
0.53
This Stock
vs
3.78
Sector Avg
-86.1%
(Weaker)
Ownership Structure
Institutional and insider holdings breakdown
Ownership Breakdown
Top Institutional Holders
IAT Reinsurance Co Ltd
40,000 shares
• 2025-12-31
PNC Financial Services Group, Inc.
2,007 shares
• 2025-12-31
Gamma Investing LLC
57 shares
• 2025-12-31
Nbc Securities, Inc.
89 shares
• 2025-12-31
Past News Coverage
Recent headlines mentioning ACGLN from our newsroom.
Newest → oldest
No matching news yet.