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Arch Capital Group (ACGL) Stock Slides as Market Rises: Facts to Know Before You Trade
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Arch Capital Group (ACGL - Free Report) ended the recent trading session at $113.96, demonstrating a -0.23% swing from the preceding day's closing price. This change lagged the S&P 500's 0.03% gain on the day. On the other hand, the Dow registered a loss of 0.04%, and the technology-centric Nasdaq increased by 0.2%.
The property and casualty insurer's shares have seen an increase of 10.89% over the last month, surpassing the Finance sector's gain of 2.72% and the S&P 500's gain of 1.54%.
The investment community will be paying close attention to the earnings performance of Arch Capital Group in its upcoming release. It is anticipated that the company will report an EPS of $1.72, marking a 25.54% fall compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $3.8 billion, reflecting an 8.23% rise from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $9.01 per share and revenue of $15.56 billion, indicating changes of +6.63% and +15.33%, respectively, compared to the previous year.
Investors should also pay attention to any latest changes in analyst estimates for Arch Capital Group. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. The Zacks Consensus EPS estimate has moved 0.14% higher within the past month. Arch Capital Group presently features a Zacks Rank of #2 (Buy).
In terms of valuation, Arch Capital Group is currently trading at a Forward P/E ratio of 12.68. This represents a discount compared to its industry's average Forward P/E of 13.72.
One should further note that ACGL currently holds a PEG ratio of 2.07. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As of the close of trade yesterday, the Insurance - Property and Casualty industry held an average PEG ratio of 1.66.
The Insurance - Property and Casualty industry is part of the Finance sector. This industry, currently bearing a Zacks Industry Rank of 19, finds itself in the top 8% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Arch Capital Group (ACGL) Stock Slides as Market Rises: Facts to Know Before You Trade
Arch Capital Group (ACGL - Free Report) ended the recent trading session at $113.96, demonstrating a -0.23% swing from the preceding day's closing price. This change lagged the S&P 500's 0.03% gain on the day. On the other hand, the Dow registered a loss of 0.04%, and the technology-centric Nasdaq increased by 0.2%.
The property and casualty insurer's shares have seen an increase of 10.89% over the last month, surpassing the Finance sector's gain of 2.72% and the S&P 500's gain of 1.54%.
The investment community will be paying close attention to the earnings performance of Arch Capital Group in its upcoming release. It is anticipated that the company will report an EPS of $1.72, marking a 25.54% fall compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $3.8 billion, reflecting an 8.23% rise from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $9.01 per share and revenue of $15.56 billion, indicating changes of +6.63% and +15.33%, respectively, compared to the previous year.
Investors should also pay attention to any latest changes in analyst estimates for Arch Capital Group. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. The Zacks Consensus EPS estimate has moved 0.14% higher within the past month. Arch Capital Group presently features a Zacks Rank of #2 (Buy).
In terms of valuation, Arch Capital Group is currently trading at a Forward P/E ratio of 12.68. This represents a discount compared to its industry's average Forward P/E of 13.72.
One should further note that ACGL currently holds a PEG ratio of 2.07. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As of the close of trade yesterday, the Insurance - Property and Casualty industry held an average PEG ratio of 1.66.
The Insurance - Property and Casualty industry is part of the Finance sector. This industry, currently bearing a Zacks Industry Rank of 19, finds itself in the top 8% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.