Arch Capital Group Ltd. (ACGL)vsTPG Inc (TPG)
ACGL
Arch Capital Group Ltd.
$103.94
+1.40%
FINANCIAL SERVICES · Cap: $34.24B
TPG
TPG Inc
$44.59
+0.02%
FINANCIAL SERVICES · Cap: $17.41B
Smart Verdict
WallStSmart Research — data-driven comparison
Arch Capital Group Ltd. generates 314% more annual revenue ($19.23B vs $4.64B). ACGL leads profitability with a 24.4% profit margin vs 5.1%. ACGL trades at a lower P/E of 8.2x. ACGL earns a higher WallStSmart Score of 67/100 (B-).
ACGL
Strong Buy67
out of 100
Grade: B-
TPG
Buy53
out of 100
Grade: C-
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Keeps 24 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Reasonable price relative to book value
Strong operational efficiency at 26.6%
Generating 1.3B in free cash flow
Revenue surging 110.2% year-over-year
Areas to Watch
Revenue declined 10.5%
Earnings declined 7.1%
Distress zone — elevated risk
0.0% earnings growth
5.1% margin — thin
Premium valuation, high expectations priced in
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : ACGL
The strongest argument for ACGL centers on P/E Ratio, Profit Margin, Debt/Equity. 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 : TPG
The strongest argument for TPG centers on Revenue Growth. Revenue growth of 110.2% demonstrates continued momentum.
Bear Case : ACGL
The primary concerns for ACGL are Revenue Growth, EPS Growth, Altman Z-Score.
Bear Case : TPG
The primary concerns for TPG are EPS Growth, Profit Margin, P/E Ratio. A P/E of 66.5x leaves little room for execution misses. Debt-to-equity of 2.42 is elevated, increasing financial risk.
Key Dynamics to Monitor
ACGL profiles as a declining stock while TPG is a hypergrowth play — different risk/reward profiles.
TPG carries more volatility with a beta of 1.47 — expect wider price swings.
TPG is growing revenue faster at 110.2% — 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 53/100), backed by strong 24.4% margins. Both earn "Strong Buy" and "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.
TPG Inc
FINANCIAL SERVICES · ASSET MANAGEMENT · USA
TPG Inc. is a global alternative asset manager. The company is headquartered in Fort Worth, Texas.
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