WallStSmart

Arch Capital Group Ltd (ACGL)vsSouthside Bancshares, Inc. (SBSI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd generates 8417% more annual revenue ($19.93B vs $233.99M). SBSI leads profitability with a 29.6% profit margin vs 22.1%. ACGL appears more attractively valued with a PEG of 1.06. ACGL earns a higher WallStSmart Score of 81/100 (A-).

ACGL

Exceptional Buy

81

out of 100

Grade: A-

Growth: 8.7Profit: 8.0Value: 7.0Quality: 6.5
Piotroski: 5/9

SBSI

Hold

50

out of 100

Grade: D+

Growth: 4.0Profit: 7.5Value: 5.0Quality: 5.0

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACGL6 strengths · Avg: 9.0/10
P/E RatioValuation
8.4x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Profit MarginProfitability
22.1%9/10

Keeps 22 of every $100 in revenue as profit

Debt/EquityHealth
0.119/10

Conservative balance sheet, low leverage

Operating MarginProfitability
29.5%8/10

Strong operational efficiency at 29.5%

EPS GrowthGrowth
38.8%8/10

Earnings expanding 38.8% YoY

SBSI4 strengths · Avg: 9.3/10
Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Operating MarginProfitability
41.5%10/10

Strong operational efficiency at 41.5%

Profit MarginProfitability
29.6%9/10

Keeps 30 of every $100 in revenue as profit

P/E RatioValuation
14.5x8/10

Attractively priced relative to earnings

Areas to Watch

ACGL0 concerns · Avg: 0/10

No major concerns identified

SBSI4 concerns · Avg: 2.3/10
Market CapQuality
$990.16M3/10

Smaller company, higher risk/reward

PEG RatioValuation
5.352/10

Expensive relative to growth rate

Revenue GrowthGrowth
-3.7%2/10

Revenue declined 3.7%

EPS GrowthGrowth
-1.2%2/10

Earnings declined 1.2%

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 22.1% and operating margin at 29.5%. PEG of 1.06 suggests the stock is reasonably priced for its growth.

Bull Case : SBSI

The strongest argument for SBSI centers on Price/Book, Operating Margin, Profit Margin. Profitability is solid with margins at 29.6% and operating margin at 41.5%.

Bear Case : ACGL

No major red flags identified for ACGL, but monitor valuation.

Bear Case : SBSI

The primary concerns for SBSI are Market Cap, PEG Ratio, Revenue Growth.

Key Dynamics to Monitor

ACGL profiles as a mature stock while SBSI is a declining play — different risk/reward profiles.

SBSI carries more volatility with a beta of 0.58 — expect wider price swings.

ACGL is growing revenue faster at 8.5% — sustainability is the question.

ACGL generates stronger free cash flow (1.4B), providing more financial flexibility.

Bottom Line

ACGL scores higher overall (81/100 vs 50/100), backed by strong 22.1% margins. Both earn "Exceptional 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.

Southside Bancshares, Inc.

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Southside Bancshares, Inc. is the banking holding company for Southside Bank providing a range of financial services to individuals, businesses, municipal entities, and non-profit organizations. The company is headquartered in Tyler, Texas.

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