WallStSmart

Arch Capital Group Ltd. (ACGL)vsFutu Holdings Ltd (FUTU)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Futu Holdings Ltd generates 13% more annual revenue ($22.31B vs $19.78B). FUTU leads profitability with a 45.0% profit margin vs 24.6%. ACGL trades at a lower P/E of 7.0x. ACGL earns a higher WallStSmart Score of 79/100 (B+).

ACGL

Strong Buy

79

out of 100

Grade: B+

Growth: 7.3Profit: 8.0Value: 7.0Quality: 6.0
Piotroski: 6/9Altman Z: 1.48

FUTU

Strong Buy

69

out of 100

Grade: B-

Growth: 6.7Profit: 8.5Value: 6.7Quality: 5.3
Piotroski: 5/9

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACGL6 strengths · Avg: 9.5/10
P/E RatioValuation
7.0x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

EPS GrowthGrowth
94.6%10/10

Earnings expanding 94.6% YoY

Return on EquityProfitability
20.1%9/10

Every $100 of equity generates 20 in profit

Profit MarginProfitability
24.6%9/10

Keeps 25 of every $100 in revenue as profit

Debt/EquityHealth
0.119/10

Conservative balance sheet, low leverage

FUTU6 strengths · Avg: 9.2/10
P/E RatioValuation
10.8x10/10

Attractively priced relative to earnings

Profit MarginProfitability
45.0%10/10

Keeps 45 of every $100 in revenue as profit

Operating MarginProfitability
64.9%10/10

Strong operational efficiency at 64.9%

Return on EquityProfitability
24.4%9/10

Every $100 of equity generates 24 in profit

Price/BookValuation
2.5x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
28.8%8/10

Revenue surging 28.8% year-over-year

Areas to Watch

ACGL2 concerns · Avg: 2.0/10
Revenue GrowthGrowth
-3.3%2/10

Revenue declined 3.3%

Altman Z-ScoreHealth
1.482/10

Distress zone — elevated risk

FUTU1 concerns · Avg: 2.0/10
EPS GrowthGrowth
-60.7%2/10

Earnings declined 60.7%

Comparative Analysis Report

WallStSmart Research

Bull Case : ACGL

The strongest argument for ACGL centers on P/E Ratio, Price/Book, EPS Growth. Profitability is solid with margins at 24.6% and operating margin at 25.3%. PEG of 1.06 suggests the stock is reasonably priced for its growth.

Bull Case : FUTU

The strongest argument for FUTU centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 45.0% and operating margin at 64.9%. Revenue growth of 28.8% demonstrates continued momentum.

Bear Case : ACGL

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

Bear Case : FUTU

The primary concerns for FUTU are EPS Growth.

Key Dynamics to Monitor

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

FUTU carries more volatility with a beta of 0.36 — expect wider price swings.

FUTU is growing revenue faster at 28.8% — sustainability is the question.

Monitor INSURANCE - DIVERSIFIED industry trends, competitive dynamics, and regulatory changes.

Bottom Line

ACGL scores higher overall (79/100 vs 69/100), backed by strong 24.6% 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.

Futu Holdings Ltd

FINANCIAL SERVICES · CAPITAL MARKETS · China

Futu Holdings Limited operates an online brokerage and wealth management platform in Hong Kong and internationally. The company is headquartered in Hong Kong, Hong Kong.

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