Arch Capital Group Ltd. (ACGL)vsHCI Group Inc (HCI)
ACGL
Arch Capital Group Ltd.
$109.24
+0.06%
FINANCIAL SERVICES · Cap: $35.20B
HCI
HCI Group Inc
$190.83
+0.51%
FINANCIAL SERVICES · Cap: $2.36B
Smart Verdict
WallStSmart Research — data-driven comparison
Arch Capital Group Ltd. generates 1815% more annual revenue ($18.78B vs $980.69M). HCI leads profitability with a 33.5% profit margin vs 23.3%. HCI appears more attractively valued with a PEG of 0.97. HCI earns a higher WallStSmart Score of 84/100 (A-).
ACGL
Strong Buy67
out of 100
Grade: B-
HCI
Exceptional Buy84
out of 100
Grade: A-
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Keeps 23 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Reasonable price relative to book value
Strong operational efficiency at 26.8%
Generating 1.7B in free cash flow
Attractively priced relative to earnings
Every $100 of equity generates 39 in profit
Keeps 34 of every $100 in revenue as profit
Strong operational efficiency at 50.1%
Conservative balance sheet, low leverage
Growing faster than its price suggests
Areas to Watch
Revenue declined 8.9%
Earnings declined 15.7%
Distress zone — elevated risk
Grey zone — moderate risk
Comparative Analysis Report
WallStSmart ResearchBull Case : ACGL
The strongest argument for ACGL centers on P/E Ratio, Profit Margin, Debt/Equity. Profitability is solid with margins at 23.3% and operating margin at 26.8%. PEG of 1.06 suggests the stock is reasonably priced for its growth.
Bull Case : HCI
The strongest argument for HCI centers on P/E Ratio, Return on Equity, Profit Margin. Profitability is solid with margins at 33.5% and operating margin at 50.1%. Revenue growth of 13.2% demonstrates continued momentum.
Bear Case : ACGL
The primary concerns for ACGL are Revenue Growth, EPS Growth, Altman Z-Score.
Bear Case : HCI
The primary concerns for HCI are Altman Z-Score.
Key Dynamics to Monitor
ACGL profiles as a declining stock while HCI is a mature play — different risk/reward profiles.
HCI carries more volatility with a beta of 0.93 — expect wider price swings.
HCI is growing revenue faster at 13.2% — sustainability is the question.
ACGL generates stronger free cash flow (1.7B), providing more financial flexibility.
Bottom Line
HCI scores higher overall (84/100 vs 67/100), backed by strong 33.5% margins and 13.2% revenue growth. Both earn "Exceptional 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.
HCI Group Inc
FINANCIAL SERVICES · INSURANCE - PROPERTY & CASUALTY · USA
HCI Group, Inc. is engaged in the property and casualty insurance, reinsurance, real estate and information technology businesses in Florida. The company is headquartered in Tampa, Florida.
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