Arch Capital Group Ltd. (ACGL)vsFirst Business Financial Services (FBIZ)
ACGL
Arch Capital Group Ltd.
$97.95
+1.94%
FINANCIAL SERVICES · Cap: $33.47B
FBIZ
First Business Financial Services
$72.76
+0.68%
FINANCIAL SERVICES · Cap: $584.11M
Smart Verdict
WallStSmart Research — data-driven comparison
Arch Capital Group Ltd. generates 11251% more annual revenue ($19.23B vs $169.43M). FBIZ leads profitability with a 32.8% profit margin vs 24.4%. ACGL appears more attractively valued with a PEG of 1.06. FBIZ earns a higher WallStSmart Score of 80/100 (B+).
ACGL
Strong Buy67
out of 100
Grade: B-
FBIZ
Strong Buy80
out of 100
Grade: B+
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 24 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Strong operational efficiency at 26.6%
Generating 1.3B in free cash flow
Attractively priced relative to earnings
Keeps 33 of every $100 in revenue as profit
Strong operational efficiency at 39.5%
Reasonable price relative to book value
16.5% revenue growth
Earnings expanding 36.3% YoY
Areas to Watch
Revenue declined 10.5%
Earnings declined 7.1%
Distress zone — elevated risk
Smaller company, higher risk/reward
Elevated debt levels
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull 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 : FBIZ
The strongest argument for FBIZ centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 32.8% and operating margin at 39.5%. Revenue growth of 16.5% demonstrates continued momentum.
Bear Case : ACGL
The primary concerns for ACGL are Revenue Growth, EPS Growth, Altman Z-Score.
Bear Case : FBIZ
The primary concerns for FBIZ are Market Cap, Debt/Equity, Altman Z-Score. Debt-to-equity of 1.51 is elevated, increasing financial risk.
Key Dynamics to Monitor
ACGL profiles as a declining stock while FBIZ is a growth play — different risk/reward profiles.
FBIZ carries more volatility with a beta of 0.65 — expect wider price swings.
FBIZ is growing revenue faster at 16.5% — sustainability is the question.
ACGL generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
FBIZ scores higher overall (80/100 vs 67/100), backed by strong 32.8% margins and 16.5% 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.
First Business Financial Services
FINANCIAL SERVICES · BANKS - REGIONAL · USA
First Business Financial Services, Inc. is the banking holding company for First Business Bank providing commercial banking products and services for small and medium-sized businesses, business owners, executives, professionals and high net worth individuals. The company is headquartered in Madison, Wisconsin.
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