WallStSmart

Arch Capital Group Ltd. (ACGL)vsHagerty Inc (HGTY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd. generates 1274% more annual revenue ($19.78B vs $1.44B). ACGL leads profitability with a 24.6% profit margin vs 2.0%. HGTY appears more attractively valued with a PEG of 0.23. 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

HGTY

Buy

56

out of 100

Grade: C

Growth: 7.3Profit: 5.5Value: 6.3Quality: 5.5
Piotroski: 4/9

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
1.4x10/10

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

HGTY2 strengths · Avg: 10.0/10
PEG RatioValuation
0.2310/10

Growing faster than its price suggests

EPS GrowthGrowth
410.3%10/10

Earnings expanding 410.3% YoY

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

HGTY3 concerns · Avg: 2.3/10
Profit MarginProfitability
2.0%3/10

2.0% margin — thin

P/E RatioValuation
45.2x2/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
-5.0%2/10

Revenue declined 5.0%

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 : HGTY

The strongest argument for HGTY centers on PEG Ratio, EPS Growth. PEG of 0.23 suggests the stock is reasonably priced for its growth.

Bear Case : ACGL

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

Bear Case : HGTY

The primary concerns for HGTY are Profit Margin, P/E Ratio, Revenue Growth. A P/E of 45.2x leaves little room for execution misses. Thin 2.0% margins leave little buffer for downturns.

Key Dynamics to Monitor

ACGL profiles as a declining stock while HGTY is a value play — different risk/reward profiles.

HGTY carries more volatility with a beta of 0.82 — expect wider price swings.

ACGL is growing revenue faster at -3.3% — sustainability is the question.

ACGL generates stronger free cash flow (1.2B), providing more financial flexibility.

Bottom Line

ACGL scores higher overall (79/100 vs 56/100), backed by strong 24.6% margins. Both earn "Strong Buy" and "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.

Hagerty Inc

FINANCIAL SERVICES · INSURANCE - PROPERTY & CASUALTY · USA

Hagerty Inc. is a leading specialty insurance provider uniquely focused on the automotive enthusiast market, offering comprehensive coverage for vintage cars, motorcycles, and collectible vehicles. Utilizing a subscription-based business model, the company fosters a vibrant community through exclusive events and digital engagement, enhancing customer loyalty and brand resonance. With its deep expertise in the collector car sector, Hagerty has expanded its portfolio to encompass valuation tools and investment resources, further solidifying its competitive advantage. As interest in classic car ownership continues to grow, Hagerty's innovative strategies and commitment to excellence position it well for sustained growth within the evolving automotive collectibles market.

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