WallStSmart

Arch Capital Group Ltd. (ACGL)vsRunway Growth Finance Corp (RWAY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd. generates 14953% more annual revenue ($19.78B vs $131.38M). ACGL leads profitability with a 24.6% profit margin vs -2.0%. 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: 6.0
Piotroski: 6/9Altman Z: 1.48

RWAY

Hold

49

out of 100

Grade: D+

Growth: 4.7Profit: 5.0Value: 5.3Quality: 4.3
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
1.3x10/10

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

RWAY2 strengths · Avg: 10.0/10
Price/BookValuation
0.5x10/10

Reasonable price relative to book value

Operating MarginProfitability
71.7%10/10

Strong operational efficiency at 71.7%

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

RWAY4 concerns · Avg: 2.5/10
Market CapQuality
$256.27M3/10

Smaller company, higher risk/reward

Debt/EquityHealth
1.013/10

Elevated debt levels

Return on EquityProfitability
-0.6%2/10

ROE of -0.6% — below average capital efficiency

Revenue GrowthGrowth
-16.8%2/10

Revenue declined 16.8%

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 : RWAY

The strongest argument for RWAY centers on Price/Book, Operating Margin. PEG of 1.16 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 : RWAY

The primary concerns for RWAY are Market Cap, Debt/Equity, Return on Equity.

Key Dynamics to Monitor

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

RWAY carries more volatility with a beta of 0.60 — 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 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.

Runway Growth Finance Corp

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

Runway Growth Finance Corp (RWAY) is a leading business development company specializing in providing growth capital to venture-backed private enterprises, predominantly in the technology and life sciences sectors. With a focus on tailoring financing solutions to support high-growth firms, RWAY serves as a strategic partner, enabling these companies to scale effectively. The firm benefits from a seasoned management team with deep industry expertise, allowing it to navigate the complexities of dynamic startups. For institutional investors, RWAY offers a compelling opportunity to capitalize on the burgeoning potential within innovative industries through a disciplined investment approach.

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