We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Arch Capital Group (ACGL) Gains As Market Dips: What You Should Know
Read MoreHide Full Article
Arch Capital Group (ACGL - Free Report) closed at $93.71 in the latest trading session, marking a +1.81% move from the prior day. The stock's change was more than the S&P 500's daily loss of 1.44%. Elsewhere, the Dow lost 0.09%, while the tech-heavy Nasdaq lost 2.22%.
The property and casualty insurer's shares have seen a decrease of 4.42% over the last month, not keeping up with the Finance sector's gain of 3.16% and the S&P 500's gain of 0.08%.
Market participants will be closely following the financial results of Arch Capital Group in its upcoming release. In that report, analysts expect Arch Capital Group to post earnings of $2.46 per share. This would mark a year-over-year decline of 4.65%. Our most recent consensus estimate is calling for quarterly revenue of $4.6 billion, down 3.39% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $9.3 per share and a revenue of $18.2 billion, demonstrating changes of -5.49% and -3.12%, respectively, from the preceding year.
Any recent changes to analyst estimates for Arch Capital Group should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.12% higher. At present, Arch Capital Group boasts a Zacks Rank of #3 (Hold).
In terms of valuation, Arch Capital Group is presently being traded at a Forward P/E ratio of 9.89. This expresses a discount compared to the average Forward P/E of 11.17 of its industry.
Investors should also note that ACGL has a PEG ratio of 4.6 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Insurance - Property and Casualty industry currently had an average PEG ratio of 2.36 as of yesterday's close.
The Insurance - Property and Casualty industry is part of the Finance sector. This group has a Zacks Industry Rank of 80, putting it in the top 33% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
View the Zacks #1 Rank List
Image: Bigstock
Arch Capital Group (ACGL) Gains As Market Dips: What You Should Know
Arch Capital Group (ACGL - Free Report) closed at $93.71 in the latest trading session, marking a +1.81% move from the prior day. The stock's change was more than the S&P 500's daily loss of 1.44%. Elsewhere, the Dow lost 0.09%, while the tech-heavy Nasdaq lost 2.22%.
The property and casualty insurer's shares have seen a decrease of 4.42% over the last month, not keeping up with the Finance sector's gain of 3.16% and the S&P 500's gain of 0.08%.
Market participants will be closely following the financial results of Arch Capital Group in its upcoming release. In that report, analysts expect Arch Capital Group to post earnings of $2.46 per share. This would mark a year-over-year decline of 4.65%. Our most recent consensus estimate is calling for quarterly revenue of $4.6 billion, down 3.39% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $9.3 per share and a revenue of $18.2 billion, demonstrating changes of -5.49% and -3.12%, respectively, from the preceding year.
Any recent changes to analyst estimates for Arch Capital Group should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.12% higher. At present, Arch Capital Group boasts a Zacks Rank of #3 (Hold).
In terms of valuation, Arch Capital Group is presently being traded at a Forward P/E ratio of 9.89. This expresses a discount compared to the average Forward P/E of 11.17 of its industry.
Investors should also note that ACGL has a PEG ratio of 4.6 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Insurance - Property and Casualty industry currently had an average PEG ratio of 2.36 as of yesterday's close.
The Insurance - Property and Casualty industry is part of the Finance sector. This group has a Zacks Industry Rank of 80, putting it in the top 33% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.