WallStSmart

Arch Capital Group Ltd (ACGL)vsWhiteHorse Finance (WHF)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd generates 27323% more annual revenue ($19.93B vs $72.67M). ACGL leads profitability with a 22.1% profit margin vs 19.7%. WHF appears more attractively valued with a PEG of 1.01. 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

WHF

Strong Buy

66

out of 100

Grade: B-

Growth: 4.7Profit: 7.0Value: 6.3Quality: 5.3
Piotroski: 5/9

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

WHF4 strengths · Avg: 9.5/10
Price/BookValuation
0.7x10/10

Reasonable price relative to book value

Operating MarginProfitability
68.1%10/10

Strong operational efficiency at 68.1%

EPS GrowthGrowth
114.0%10/10

Earnings expanding 114.0% YoY

P/E RatioValuation
12.3x8/10

Attractively priced relative to earnings

Areas to Watch

ACGL0 concerns · Avg: 0/10

No major concerns identified

WHF4 concerns · Avg: 2.8/10
Market CapQuality
$170.09M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
5.3%3/10

ROE of 5.3% — below average capital efficiency

Debt/EquityHealth
1.223/10

Elevated debt levels

Revenue GrowthGrowth
-17.5%2/10

Revenue declined 17.5%

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 : WHF

The strongest argument for WHF centers on Price/Book, Operating Margin, EPS Growth. Profitability is solid with margins at 19.7% and operating margin at 68.1%. PEG of 1.01 suggests the stock is reasonably priced for its growth.

Bear Case : ACGL

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

Bear Case : WHF

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

Key Dynamics to Monitor

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

WHF carries more volatility with a beta of 0.46 — 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 66/100), backed by strong 22.1% margins. Both earn "Exceptional 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.

WhiteHorse Finance

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

WhiteHorse Finance, Inc. (WHF) is a premier business development company that offers tailored financing solutions to private middle-market businesses. Founded in 2013 and publicly listed since 2014, WHF has established a robust portfolio concentrated on first and second lien secured debt, aimed at delivering consistent income and capital appreciation to investors. Leveraging a disciplined investment strategy and experienced management, the company is poised to capitalize on the increasing demand for accessible capital among small to medium-sized enterprises, affirming its position as a reliable partner within the dynamic financial marketplace.

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