For the quarter ended September 2023, Arch Capital Group (ACGL - Free Report) reported revenue of $3.51 billion, up 35.9% over the same period last year. EPS came in at $2.31, compared to $0.28 in the year-ago quarter.
The reported revenue represents a surprise of +1.46% over the Zacks Consensus Estimate of $3.46 billion. With the consensus EPS estimate being $1.54, the EPS surprise was +50.00%.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Arch Capital performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Loss Ratio - Total: 50.7% versus 57.4% estimated by five analysts on average.
- Combined Ratio - Total: 77.9% versus the five-analyst average estimate of 86.6%.
- Underwriting Expense Ratio - Acquisition Expense Ratio - Mortgage Segment: 0.6% compared to the 3.2% average estimate based on four analysts.
- Loss Ratio - Insurance Segment: 57.5% compared to the 63.2% average estimate based on four analysts.
- Loss Ratio - Mortgage Segment: -12.1% versus the four-analyst average estimate of 8.2%.
- Revenues- Net investment income: $269 million versus $260.55 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +109.1% change.
- Revenues- Net premiums earned: $3.25 billion compared to the $3.11 billion average estimate based on five analysts. The reported number represents a change of +31.5% year over year.
- Revenues- Net premiums earned- Insurance Segment: $1.41 billion versus the four-analyst average estimate of $1.37 billion.
- Revenues- Net premiums earned- Reinsurance Segment: $1.54 billion versus $1.43 billion estimated by four analysts on average.
- Revenues- Net premiums earned- Mortgage Segment: $293 million compared to the $284.04 million average estimate based on four analysts.
- Revenues- Equity in net income (loss) of investment funds accounted for using the equity method: $59 million versus the three-analyst average estimate of $24.79 million. The reported number represents a year-over-year change of -412.8%.
- Revenues- Other income (loss): -$4 million versus the three-analyst average estimate of $3 million.
View all Key Company Metrics for Arch Capital here>>>Shares of Arch Capital have returned +2.1% over the past month versus the Zacks S&P 500 composite's -3.6% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.
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From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
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For the quarter ended September 2023, Arch Capital Group (ACGL - Free Report) reported revenue of $3.51 billion, up 35.9% over the same period last year. EPS came in at $2.31, compared to $0.28 in the year-ago quarter.
The reported revenue represents a surprise of +1.46% over the Zacks Consensus Estimate of $3.46 billion. With the consensus EPS estimate being $1.54, the EPS surprise was +50.00%.
While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how Arch Capital performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Loss Ratio - Total: 50.7% versus 57.4% estimated by five analysts on average.
- Combined Ratio - Total: 77.9% versus the five-analyst average estimate of 86.6%.
- Underwriting Expense Ratio - Acquisition Expense Ratio - Mortgage Segment: 0.6% compared to the 3.2% average estimate based on four analysts.
- Loss Ratio - Insurance Segment: 57.5% compared to the 63.2% average estimate based on four analysts.
- Loss Ratio - Mortgage Segment: -12.1% versus the four-analyst average estimate of 8.2%.
- Revenues- Net investment income: $269 million versus $260.55 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +109.1% change.
- Revenues- Net premiums earned: $3.25 billion compared to the $3.11 billion average estimate based on five analysts. The reported number represents a change of +31.5% year over year.
- Revenues- Net premiums earned- Insurance Segment: $1.41 billion versus the four-analyst average estimate of $1.37 billion.
- Revenues- Net premiums earned- Reinsurance Segment: $1.54 billion versus $1.43 billion estimated by four analysts on average.
- Revenues- Net premiums earned- Mortgage Segment: $293 million compared to the $284.04 million average estimate based on four analysts.
- Revenues- Equity in net income (loss) of investment funds accounted for using the equity method: $59 million versus the three-analyst average estimate of $24.79 million. The reported number represents a year-over-year change of -412.8%.
- Revenues- Other income (loss): -$4 million versus the three-analyst average estimate of $3 million.
View all Key Company Metrics for Arch Capital here>>>Shares of Arch Capital have returned +2.1% over the past month versus the Zacks S&P 500 composite's -3.6% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.
Research Chief Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
Free: See Our Top Stock And 4 Runners Up
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