WallStSmart

Arch Capital Group Ltd. (ACGL)vsMidCap Financial Investment Corporation (MFIC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd. generates 6063% more annual revenue ($19.78B vs $320.88M). ACGL leads profitability with a 24.6% profit margin vs 19.7%. ACGL appears more attractively valued with a PEG of 1.06. 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: 6.5
Piotroski: 5/9

MFIC

Hold

49

out of 100

Grade: D+

Growth: 4.7Profit: 7.0Value: 5.0Quality: 4.8
Piotroski: 2/9

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACGL6 strengths · Avg: 9.5/10
P/E RatioValuation
7.3x10/10

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
21.3%9/10

Every $100 of equity generates 21 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

MFIC3 strengths · Avg: 9.3/10
Price/BookValuation
0.8x10/10

Reasonable price relative to book value

Operating MarginProfitability
85.5%10/10

Strong operational efficiency at 85.5%

P/E RatioValuation
17.4x8/10

Attractively priced relative to earnings

Areas to Watch

ACGL1 concerns · Avg: 2.0/10
Revenue GrowthGrowth
-3.3%2/10

Revenue declined 3.3%

MFIC4 concerns · Avg: 2.8/10
Market CapQuality
$975.70M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
4.7%3/10

ROE of 4.7% — below average capital efficiency

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
3.122/10

Expensive relative to growth rate

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 : MFIC

The strongest argument for MFIC centers on Price/Book, Operating Margin, P/E Ratio. Profitability is solid with margins at 19.7% and operating margin at 85.5%.

Bear Case : ACGL

The primary concerns for ACGL are Revenue Growth.

Bear Case : MFIC

The primary concerns for MFIC are Market Cap, Return on Equity, Piotroski F-Score.

Key Dynamics to Monitor

MFIC carries more volatility with a beta of 0.69 — 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.

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

Bottom Line

ACGL scores higher overall (79/100 vs 49/100), backed by strong 24.6% 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.

MidCap Financial Investment Corporation

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

MidCap Financial Investment Corporation (MFIC) is a leading specialty finance firm dedicated to providing customized financing solutions to middle-market companies across a variety of industries. Utilizing innovative investment strategies, MFIC aims to enhance portfolio returns while emphasizing rigorous risk management and capital preservation. The firm is guided by a seasoned management team with extensive industry expertise, enabling it to effectively pinpoint valuable investment opportunities and establish itself as a trusted partner for enterprises seeking growth capital. With a strong focus on operational excellence, MFIC is well-equipped to navigate the complexities of the evolving market landscape.

Visit Website →

Want to dig deeper into these stocks?