WallStSmart

Arch Capital Group Ltd. (ACGL)vsPinnacle Financial Partners, Inc. (PNFP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd. generates 482% more annual revenue ($19.23B vs $3.30B). PNFP leads profitability with a 24.9% profit margin vs 24.4%. ACGL appears more attractively valued with a PEG of 1.06. PNFP earns a higher WallStSmart Score of 72/100 (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

PNFP

Strong Buy

72

out of 100

Grade: B

Growth: 8.0Profit: 6.5Value: 6.3Quality: 4.0
Piotroski: 5/9Altman Z: 0.34

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

PNFP5 strengths · Avg: 9.4/10
Price/BookValuation
1.1x10/10

Reasonable price relative to book value

Operating MarginProfitability
47.0%10/10

Strong operational efficiency at 47.0%

Revenue GrowthGrowth
137.0%10/10

Revenue surging 137.0% year-over-year

Profit MarginProfitability
24.9%9/10

Keeps 25 of every $100 in revenue as profit

P/E RatioValuation
13.9x8/10

Attractively priced relative to earnings

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

PNFP3 concerns · Avg: 3.0/10
EPS GrowthGrowth
3.5%4/10

3.5% earnings growth

Return on EquityProfitability
5.5%3/10

ROE of 5.5% — below average capital efficiency

Altman Z-ScoreHealth
0.342/10

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 : PNFP

The strongest argument for PNFP centers on Price/Book, Operating Margin, Revenue Growth. Profitability is solid with margins at 24.9% and operating margin at 47.0%. Revenue growth of 137.0% demonstrates continued momentum.

Bear Case : ACGL

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

Bear Case : PNFP

The primary concerns for PNFP are EPS Growth, Return on Equity, Altman Z-Score.

Key Dynamics to Monitor

ACGL profiles as a declining stock while PNFP is a growth play — different risk/reward profiles.

PNFP carries more volatility with a beta of 1.01 — expect wider price swings.

PNFP is growing revenue faster at 137.0% — sustainability is the question.

ACGL generates stronger free cash flow (1.3B), providing more financial flexibility.

Bottom Line

PNFP scores higher overall (72/100 vs 67/100), backed by strong 24.9% margins and 137.0% 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.

Pinnacle Financial Partners, Inc.

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Pinnacle Financial Partners, Inc., is the banking holding company for Pinnacle Bank offering various banking products and services in the United States. The company is headquartered in Nashville, Tennessee.

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