Arch Capital Group Ltd. (ACGL)vsHCI Group Inc (HCI)
ACGL
Arch Capital Group Ltd.
$94.66
-0.38%
FINANCIAL SERVICES · Cap: $33.06B
HCI
HCI Group Inc
$174.94
-1.10%
FINANCIAL SERVICES · Cap: $2.24B
Smart Verdict
WallStSmart Research — data-driven comparison
Arch Capital Group Ltd. generates 1920% more annual revenue ($19.23B vs $952.13M). HCI leads profitability with a 32.6% profit margin vs 24.4%. HCI appears more attractively valued with a PEG of 0.97. HCI earns a higher WallStSmart Score of 78/100 (B+).
ACGL
Strong Buy67
out of 100
Grade: B-
HCI
Strong Buy78
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
Every $100 of equity generates 39 in profit
Keeps 33 of every $100 in revenue as profit
Strong operational efficiency at 45.4%
Conservative balance sheet, low leverage
Growing faster than its price suggests
Areas to Watch
Revenue declined 10.5%
Earnings declined 7.1%
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, 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 : HCI
The strongest argument for HCI centers on P/E Ratio, Return on Equity, Profit Margin. Profitability is solid with margins at 32.6% and operating margin at 45.4%. Revenue growth of 11.1% 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 1.02 — expect wider price swings.
HCI is growing revenue faster at 11.1% — sustainability is the question.
ACGL generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
HCI scores higher overall (78/100 vs 67/100), backed by strong 32.6% margins and 11.1% 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.
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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