Arch Capital Group Ltd. (ACGL)vsFarmers & Merchants Bancorp Inc (FMAO)
ACGL
Arch Capital Group Ltd.
$97.95
+1.94%
FINANCIAL SERVICES · Cap: $33.47B
FMAO
Farmers & Merchants Bancorp Inc
$35.81
+0.96%
FINANCIAL SERVICES · Cap: $466.77M
Smart Verdict
WallStSmart Research — data-driven comparison
Arch Capital Group Ltd. generates 14809% more annual revenue ($19.23B vs $129.00M). FMAO leads profitability with a 31.0% profit margin vs 24.4%. ACGL trades at a lower P/E of 7.7x. FMAO earns a higher WallStSmart Score of 67/100 (B-).
ACGL
Strong Buy67
out of 100
Grade: B-
FMAO
Strong Buy67
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
Reasonable price relative to book value
Keeps 31 of every $100 in revenue as profit
Strong operational efficiency at 46.3%
Earnings expanding 53.0% YoY
17.5% revenue growth
Areas to Watch
Revenue declined 10.5%
Earnings declined 7.1%
Distress zone — elevated risk
Smaller company, higher risk/reward
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 : FMAO
The strongest argument for FMAO centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 31.0% and operating margin at 46.3%. Revenue growth of 17.5% demonstrates continued momentum.
Bear Case : ACGL
The primary concerns for ACGL are Revenue Growth, EPS Growth, Altman Z-Score.
Bear Case : FMAO
The primary concerns for FMAO are Market Cap, Altman Z-Score.
Key Dynamics to Monitor
ACGL profiles as a declining stock while FMAO is a growth play — different risk/reward profiles.
FMAO carries more volatility with a beta of 0.80 — expect wider price swings.
FMAO is growing revenue faster at 17.5% — sustainability is the question.
ACGL generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
ACGL scores higher overall (67/100 vs 67/100), backed by strong 24.4% margins. 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.
Farmers & Merchants Bancorp Inc
FINANCIAL SERVICES · BANKS - REGIONAL · USA
Farmers & Merchants Bancorp, Inc. is the banking holding company for The Farmers & Merchants State Bank providing commercial banking services to individuals and small businesses in Northwest Ohio and Northeast Indiana. The company is headquartered in Archbold, Ohio.
Compare with Other INSURANCE - DIVERSIFIED Stocks
Want to dig deeper into these stocks?