Arch Capital Group Ltd (ACGLN)vsAmerican International Group Inc (AIG)
ACGLN
Arch Capital Group Ltd
$16.52
-2.02%
FINANCIAL SERVICES · Cap: $15.30B
AIG
American International Group Inc
$74.39
+0.68%
FINANCIAL SERVICES · Cap: $40.14B
Smart Verdict
WallStSmart Research — data-driven comparison
American International Group Inc generates 34% more annual revenue ($26.61B vs $19.93B). ACGLN leads profitability with a 22.1% profit margin vs 11.6%. ACGLN trades at a lower P/E of 3.6x. AIG earns a higher WallStSmart Score of 60/100 (C).
ACGLN
Buy52
out of 100
Grade: C-
AIG
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+92.0%
Fair Value
$219.54
Current Price
$16.52
$203.02 discount
Margin of Safety
-112.5%
Fair Value
$36.92
Current Price
$74.39
$37.47 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 22 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Strong operational efficiency at 29.5%
Earnings expanding 38.8% YoY
Reasonable price relative to book value
Conservative balance sheet, low leverage
Growing faster than its price suggests
Attractively priced relative to earnings
Areas to Watch
Distress zone — elevated risk
ROE of 7.4% — below average capital efficiency
Revenue declined 7.2%
Earnings declined 5.6%
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : ACGLN
The strongest argument for ACGLN centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 22.1% and operating margin at 29.5%.
Bull Case : AIG
The strongest argument for AIG centers on Price/Book, Debt/Equity, PEG Ratio. PEG of 0.86 suggests the stock is reasonably priced for its growth.
Bear Case : ACGLN
The primary concerns for ACGLN are Altman Z-Score.
Bear Case : AIG
The primary concerns for AIG are Return on Equity, Revenue Growth, EPS Growth.
Key Dynamics to Monitor
ACGLN profiles as a mature stock while AIG is a declining play — different risk/reward profiles.
AIG carries more volatility with a beta of 0.58 — expect wider price swings.
ACGLN is growing revenue faster at 8.5% — sustainability is the question.
ACGLN generates stronger free cash flow (1.4B), providing more financial flexibility.
Bottom Line
AIG scores higher overall (60/100 vs 52/100). ACGLN offers better value entry with a 92.0% margin of safety. Both earn "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. (ACGLN) is a leading global insurer and reinsurer, actively engaged in property, casualty, and mortgage insurance markets across North America, Europe, and Asia. The company is recognized for its disciplined underwriting practices and advanced risk management approaches, which enable it to adeptly manage a diverse portfolio of exposures. With a robust capital foundation and a focus on operational efficiency, Arch Capital is well-equipped to meet the evolving needs of its clients while driving sustainable shareholder returns. Furthermore, the firm's proactive investments in technology and data analytics enhance its competitive edge in a rapidly changing industry landscape.
Visit Website →American International Group Inc
FINANCIAL SERVICES · INSURANCE - DIVERSIFIED · USA
American International Group, Inc., also known as AIG, is an American multinational finance and insurance corporation with operations in more than 80 countries and jurisdictions. The company operates through three core businesses: General Insurance, Life & Retirement, and a standalone technology-enabled subsidiary.
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