Arch Capital Group Ltd. (ACGL)vsWestern Alliance Bancorporation (WAL)
ACGL
Arch Capital Group Ltd.
$97.95
+1.94%
FINANCIAL SERVICES · Cap: $33.47B
WAL
Western Alliance Bancorporation
$79.29
+0.01%
FINANCIAL SERVICES · Cap: $8.72B
Smart Verdict
WallStSmart Research — data-driven comparison
Arch Capital Group Ltd. generates 452% more annual revenue ($19.23B vs $3.49B). WAL leads profitability with a 28.2% profit margin vs 24.4%. ACGL appears more attractively valued with a PEG of 1.06. WAL earns a higher WallStSmart Score of 75/100 (B+).
ACGL
Strong Buy67
out of 100
Grade: B-
WAL
Strong Buy75
out of 100
Grade: B+
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 24 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Strong operational efficiency at 26.6%
Generating 1.3B in free cash flow
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 39.4%
Keeps 28 of every $100 in revenue as profit
Areas to Watch
Revenue declined 10.5%
Earnings declined 7.1%
Distress zone — elevated risk
Negative free cash flow — burning cash
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull 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 : WAL
The strongest argument for WAL centers on P/E Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 28.2% and operating margin at 39.4%. Revenue growth of 13.6% demonstrates continued momentum.
Bear Case : ACGL
The primary concerns for ACGL are Revenue Growth, EPS Growth, Altman Z-Score.
Bear Case : WAL
The primary concerns for WAL are Free Cash Flow, Altman Z-Score.
Key Dynamics to Monitor
ACGL profiles as a declining stock while WAL is a mature play — different risk/reward profiles.
WAL carries more volatility with a beta of 1.32 — expect wider price swings.
WAL is growing revenue faster at 13.6% — sustainability is the question.
ACGL generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
WAL scores higher overall (75/100 vs 67/100), backed by strong 28.2% margins and 13.6% 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.
Western Alliance Bancorporation
FINANCIAL SERVICES · BANKS - REGIONAL · USA
Western Alliance Bancorporation is the banking holding company for Western Alliance Bank offering various banking products and related services primarily in Arizona, California and Nevada. The company is headquartered in Phoenix, Arizona.
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