Arch Capital Group Ltd. (ACGL) Stock

About Arch Capital Group Ltd.

Arch Capital Group Ltd., together with its subsidiaries, provides insurance, reinsurance, and mortgage insurance products in the United States, Canada, Bermuda, the United Kingdom, Europe, and Australia. The company operates through three segments: Insurance, Reinsurance, and Mortgage. The Insurance segment offers commercial automobile; commercial multiperil; financial and professional line liability; admitted, excess, and surplus casualty lines; property and short-tail specialty; workers compensation; and casualty insurance. Its Reinsurance segment provides reinsurance products for casualty; marine and aviation; property catastrophe; property excluding property catastrophe; and other specialty products. The Mortgage segment offers U.S. primary mortgage insurance business written predominantly on loans sold to the Federal National Mortgage Association and Federal Home Loan Mortgage Corporation; reinsurance and underwriting services related to the U.S. credit-risk transfer business and other U.S. mortgage reinsurance transactions; and international mortgage insurance and reinsurance business covering loans. It markets its products through a group of licensed independent retail and wholesale brokers. The company was formerly known as Risk Capital Holdings, Inc. Arch Capital Group Ltd. was founded in 1995 and is headquartered in Pembroke, Bermuda.

Arch Capital Group Ltd. is led by CEO Nicolas Alain Emmanuel Papadopoulo, employs 7,200 people, headquartered in Pembroke, BM, publicly traded since 1995.

Arch Capital Group Ltd. (ACGL) stock trades at $103.88 with a market capitalization of $36.29B. The stock is valued at a price-to-earnings (P/E) ratio of 7.79, price-to-book of 1.53, price-to-sales of 1.82. Over the past 52 weeks the stock has ranged between $82.45 and $105.09, and currently trades 1.2% below its 52-week high.

On profitability, Arch Capital Group Ltd. generates a return on equity (ROE) of 20.48% — well above the market average, a sign of a high-quality business, return on capital employed of 17.95%, an operating margin of 27.65%, a net profit margin of 24.73%.

In its most recent fiscal year, Arch Capital Group Ltd. reported annual revenue of $19.9B, net profit of $4.4B, revenue has compounded at 19.2% a year over the last five years, profit at 25.6% a year. Profit growing faster than revenue points to expanding margins.

The balance sheet shows a debt-to-equity ratio of 0.11 — a conservative balance sheet with little leverage risk, a current ratio of 0.68, total assets of $67.1B, $993.0M in cash and equivalents.

ACGL has an average daily trading volume of 2,270,516 shares, a beta of 0.29 (less volatile than the overall market).

Official website: www.archgroup.com