WallStSmart

Arch Capital Group Ltd. (ACGL)vsLoandepot Inc (LDI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd. generates 1426% more annual revenue ($19.23B vs $1.26B). ACGL leads profitability with a 24.4% profit margin vs -5.5%. ACGL earns a higher WallStSmart Score of 67/100 (B-).

ACGL

Strong Buy

67

out of 100

Grade: B-

Growth: 4.7Profit: 8.0Value: 7.0Quality: 6.0
Piotroski: 6/9Altman Z: 1.48

LDI

Hold

36

out of 100

Grade: F

Growth: 4.0Profit: 2.0Value: 5.0Quality: 3.0
Piotroski: 4/9Altman Z: -0.22

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACGL6 strengths · Avg: 9.0/10
P/E RatioValuation
7.7x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Profit MarginProfitability
24.4%9/10

Keeps 24 of every $100 in revenue as profit

Debt/EquityHealth
0.189/10

Conservative balance sheet, low leverage

Operating MarginProfitability
26.6%8/10

Strong operational efficiency at 26.6%

Free Cash FlowQuality
$1.31B8/10

Generating 1.3B in free cash flow

LDI1 strengths · Avg: 10.0/10
Price/BookValuation
1.0x10/10

Reasonable price relative to book value

Areas to Watch

ACGL3 concerns · Avg: 2.0/10
Revenue GrowthGrowth
-10.5%2/10

Revenue declined 10.5%

EPS GrowthGrowth
-7.1%2/10

Earnings declined 7.1%

Altman Z-ScoreHealth
1.482/10

Distress zone — elevated risk

LDI4 concerns · Avg: 2.3/10
Market CapQuality
$417.66M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
-34.5%2/10

ROE of -34.5% — below average capital efficiency

EPS GrowthGrowth
-98.8%2/10

Earnings declined 98.8%

Altman Z-ScoreHealth
-0.222/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull 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 : LDI

The strongest argument for LDI centers on Price/Book.

Bear Case : ACGL

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

Bear Case : LDI

The primary concerns for LDI are Market Cap, Return on Equity, EPS Growth. Debt-to-equity of 22.93 is elevated, increasing financial risk.

Key Dynamics to Monitor

ACGL profiles as a declining stock while LDI is a turnaround play — different risk/reward profiles.

LDI carries more volatility with a beta of 3.12 — expect wider price swings.

LDI is growing revenue faster at 9.7% — 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 36/100), backed by strong 24.4% margins. Both earn "Strong Buy" and "Hold" 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.

Loandepot Inc

FINANCIAL SERVICES · MORTGAGE FINANCE · USA

LoanDepot, Inc. is dedicated to the origination and servicing of conventional and government mortgage loans in the United States. The company is headquartered in Foothill Ranch, California.

Want to dig deeper into these stocks?