WallStSmart

Arch Capital Group Ltd. (ACGL)vsBridgewater Bancshares Inc (BWB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd. generates 12089% more annual revenue ($19.23B vs $157.79M). BWB leads profitability with a 35.7% profit margin vs 24.4%. BWB appears more attractively valued with a PEG of 0.74. BWB earns a higher WallStSmart Score of 74/100 (B).

ACGL

Strong Buy

67

out of 100

Grade: B-

Growth: 4.7Profit: 8.0Value: 7.0Quality: 6.0
Piotroski: 6/9Altman Z: 1.48

BWB

Strong Buy

74

out of 100

Grade: B

Growth: 8.0Profit: 7.5Value: 7.7Quality: 4.0
Piotroski: 4/9Altman Z: -0.61

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACGL6 strengths · Avg: 9.0/10
P/E RatioValuation
7.7x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Profit MarginProfitability
24.4%9/10

Keeps 24 of every $100 in revenue as profit

Debt/EquityHealth
0.189/10

Conservative balance sheet, low leverage

Operating MarginProfitability
26.6%8/10

Strong operational efficiency at 26.6%

Free Cash FlowQuality
$1.31B8/10

Generating 1.3B in free cash flow

BWB6 strengths · Avg: 9.3/10
P/E RatioValuation
11.6x10/10

Attractively priced relative to earnings

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Profit MarginProfitability
35.7%10/10

Keeps 36 of every $100 in revenue as profit

Operating MarginProfitability
47.8%10/10

Strong operational efficiency at 47.8%

PEG RatioValuation
0.748/10

Growing faster than its price suggests

Revenue GrowthGrowth
18.4%8/10

18.4% revenue growth

Areas to Watch

ACGL3 concerns · Avg: 2.0/10
Revenue GrowthGrowth
-10.5%2/10

Revenue declined 10.5%

EPS GrowthGrowth
-7.1%2/10

Earnings declined 7.1%

Altman Z-ScoreHealth
1.482/10

Distress zone — elevated risk

BWB2 concerns · Avg: 2.5/10
Market CapQuality
$596.43M3/10

Smaller company, higher risk/reward

Altman Z-ScoreHealth
-0.612/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : ACGL

The strongest argument for ACGL centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 24.4% and operating margin at 26.6%. PEG of 1.06 suggests the stock is reasonably priced for its growth.

Bull Case : BWB

The strongest argument for BWB centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 35.7% and operating margin at 47.8%. Revenue growth of 18.4% demonstrates continued momentum.

Bear Case : ACGL

The primary concerns for ACGL are Revenue Growth, EPS Growth, Altman Z-Score.

Bear Case : BWB

The primary concerns for BWB are Market Cap, Altman Z-Score.

Key Dynamics to Monitor

ACGL profiles as a declining stock while BWB is a growth play — different risk/reward profiles.

BWB carries more volatility with a beta of 0.58 — expect wider price swings.

BWB is growing revenue faster at 18.4% — sustainability is the question.

ACGL generates stronger free cash flow (1.3B), providing more financial flexibility.

Bottom Line

BWB scores higher overall (74/100 vs 67/100), backed by strong 35.7% margins and 18.4% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Arch Capital Group Ltd.

FINANCIAL SERVICES · INSURANCE - DIVERSIFIED · USA

Arch Capital Group Ltd., offers insurance, reinsurance and mortgage products worldwide. The company is headquartered in Pembroke, Bermuda.

Bridgewater Bancshares Inc

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Bridgewater Bancshares, Inc. is the banking holding company for Bridgewater Bank providing banking products and services to commercial real estate investors, small business entrepreneurs and high net worth individuals in the United States. The company is headquartered in Saint Louis Park, Minnesota.

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