Arch Capital Group Stock Performance
| ACGL Stock | USD 91.98 0.47 0.51% |
The firm shows a Beta (market volatility) of -0.0201, which signifies not very significant fluctuations relative to the market. As returns on the market increase, returns on owning Arch Capital are expected to decrease at a much lower rate. During the bear market, Arch Capital is likely to outperform the market. Arch Capital Group right now shows a risk of 1.38%. Please confirm Arch Capital Group value at risk, daily balance of power, and the relationship between the total risk alpha and expected short fall , to decide if Arch Capital Group will be following its price patterns.
Risk-Adjusted Performance
Very Weak
Weak | Strong |
Over the last 90 days Arch Capital Group has generated negative risk-adjusted returns adding no value to investors with long positions. Despite quite persistent technical and fundamental indicators, Arch Capital is not utilizing all of its potentials. The recent stock price mess, may contribute to short-term losses for the institutional investors. ...more
| Begin Period Cash Flow | 1.5 B | |
| Free Cash Flow | 6.6 B |
Arch |
Arch Capital Relative Risk vs. Return Landscape
If you would invest 9,209 in Arch Capital Group on December 22, 2024 and sell it today you would lose (11.00) from holding Arch Capital Group or give up 0.12% of portfolio value over 90 days. Arch Capital Group is currently generating 0.0074% in daily expected returns and assumes 1.3793% risk (volatility on return distribution) over the 90 days horizon. In different words, 12% of stocks are less volatile than Arch, and 99% of all traded equity instruments are projected to make higher returns than the company over the 90 days investment horizon. Expected Return |
| Risk |
Arch Capital Market Risk Analysis
Today, many novice investors tend to focus exclusively on investment returns with little concern for Arch Capital's investment risk. Standard deviation is the most common way to measure market volatility of stocks, such as Arch Capital Group, and traders can use it to determine the average amount a Arch Capital's price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.
Sharpe Ratio = 0.0053
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| Negative Returns | ACGL |
Estimated Market Risk
| 1.38 actual daily | 12 88% of assets are more volatile |
Expected Return
| 0.01 actual daily | 0 Most of other assets have higher returns |
Risk-Adjusted Return
| 0.01 actual daily | 0 Most of other assets perform better |
Based on monthly moving average Arch Capital is not performing at its full potential. However, if added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of Arch Capital by adding Arch Capital to a well-diversified portfolio.
Arch Capital Fundamentals Growth
Arch Stock prices reflect investors' perceptions of the future prospects and financial health of Arch Capital, and Arch Capital fundamentals are critical determinants of its market performance. Overall, investors pay close attention to revenue and earnings growth, profit margins, and debt levels. These fundamentals can have a significant impact on Arch Stock performance.
| Return On Equity | 0.22 | ||||
| Return On Asset | 0.0445 | ||||
| Profit Margin | 0.25 % | ||||
| Operating Margin | 0.20 % | ||||
| Current Valuation | 37.25 B | ||||
| Shares Outstanding | 375.36 M | ||||
| Price To Earning | 19.15 X | ||||
| Price To Book | 1.73 X | ||||
| Price To Sales | 1.99 X | ||||
| Revenue | 17.44 B | ||||
| EBITDA | 200 M | ||||
| Cash And Equivalents | 2.78 B | ||||
| Cash Per Share | 3.77 X | ||||
| Total Debt | 2.73 B | ||||
| Debt To Equity | 0.23 % | ||||
| Book Value Per Share | 53.33 X | ||||
| Cash Flow From Operations | 6.67 B | ||||
| Earnings Per Share | 11.19 X | ||||
| Total Asset | 70.91 B | ||||
| Retained Earnings | 22.69 B | ||||
About Arch Capital Performance
By examining Arch Capital's fundamental ratios, stakeholders can obtain critical insights into Arch Capital's financial health, operational efficiency, and overall profitability. These insights assist in making well-informed investment and management decisions. For example, a high Return on Assets and Return on Equity would indicate that Arch Capital is effectively utilizing its assets and equity to generate significant profits, enhancing its appeal to investors. On the other hand, low ROA and ROE values could reveal issues in asset and equity management, highlighting the need for operational improvements.
Arch Capital Group Ltd., together with its subsidiaries, provides insurance, reinsurance, and mortgage insurance products worldwide. The company was incorporated in 1995 and is based in Pembroke, Bermuda. Arch Capital operates under InsuranceDiversified classification in the United States and is traded on NASDAQ Exchange. It employs 5200 people.Things to note about Arch Capital Group performance evaluation
Checking the ongoing alerts about Arch Capital for important developments is a great way to find new opportunities for your next move. Stock alerts and notifications screener for Arch Capital Group help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.| Over 92.0% of the company shares are held by institutions such as insurance companies |
- Analyzing Arch Capital's financial statements, including its income statement, balance sheet, and cash flow statement, helps in understanding its overall financial health and growth potential.
- Getting a closer look at valuation ratios like price-to-earnings (P/E) ratio, price-to-sales (P/S) ratio, and price-to-book (P/B) ratio help in understanding whether Arch Capital's stock is overvalued or undervalued compared to its peers.
- Examining Arch Capital's industry or sector and how it is performing can give you an idea of its growth potential and how it is positioned relative to its competitors.
- Evaluating Arch Capital's management team can have a significant impact on its success or failure. Reviewing the track record and experience of Arch Capital's management team can help you assess the Company's leadership.
- Pay attention to analyst opinions and ratings of Arch Capital's stock. These opinions can provide insight into Arch Capital's potential for growth and whether the stock is currently undervalued or overvalued.
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Arch Capital Group. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in price. You can also try the Piotroski F Score module to get Piotroski F Score based on the binary analysis strategy of nine different fundamentals.
Is Insurance space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Arch Capital. If investors know Arch will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Arch Capital listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Arch Capital Group is measured differently than its book value, which is the value of Arch that is recorded on the company's balance sheet. Investors also form their own opinion of Arch Capital's value that differs from its market value or its book value, called intrinsic value, which is Arch Capital's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Arch Capital's market value can be influenced by many factors that don't directly affect Arch Capital's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Arch Capital's value and its price as these two are different measures arrived at by different means. Investors typically determine if Arch Capital is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Arch Capital's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.