WallStSmart

Arch Capital Group Ltd (ACGLN)vsSun Life Financial Inc. (SLF)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Sun Life Financial Inc. generates 75% more annual revenue ($34.88B vs $19.93B). ACGLN leads profitability with a 22.1% profit margin vs 10.2%. ACGLN trades at a lower P/E of 3.6x. SLF earns a higher WallStSmart Score of 74/100 (B).

ACGLN

Buy

52

out of 100

Grade: C-

Growth: 8.7Profit: 8.0Value: 8.3Quality: 6.5
Piotroski: 6/9Altman Z: 1.48

SLF

Strong Buy

74

out of 100

Grade: B

Growth: 8.0Profit: 7.5Value: 10.0Quality: 5.3
Piotroski: 5/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ACGLNUndervalued (+92.0%)

Margin of Safety

+92.0%

Fair Value

$219.54

Current Price

$16.52

$203.02 discount

UndervaluedFair: $219.54Overvalued
SLFUndervalued (+69.0%)

Margin of Safety

+69.0%

Fair Value

$209.66

Current Price

$62.07

$147.59 discount

UndervaluedFair: $209.66Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACGLN6 strengths · Avg: 9.0/10
P/E RatioValuation
3.6x10/10

Attractively priced relative to earnings

Price/BookValuation
0.3x10/10

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

SLF5 strengths · Avg: 8.4/10
EPS GrowthGrowth
240.9%10/10

Earnings expanding 240.9% YoY

PEG RatioValuation
0.888/10

Growing faster than its price suggests

P/E RatioValuation
13.8x8/10

Attractively priced relative to earnings

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

Free Cash FlowQuality
$5.28B8/10

Generating 5.3B in free cash flow

Areas to Watch

ACGLN1 concerns · Avg: 2.0/10
Altman Z-ScoreHealth
1.482/10

Distress zone — elevated risk

SLF1 concerns · Avg: 4.0/10
Revenue GrowthGrowth
4.7%4/10

4.7% revenue growth

Comparative Analysis Report

WallStSmart Research

Bull 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 : SLF

The strongest argument for SLF centers on EPS Growth, PEG Ratio, P/E Ratio. PEG of 0.88 suggests the stock is reasonably priced for its growth.

Bear Case : ACGLN

The primary concerns for ACGLN are Altman Z-Score.

Bear Case : SLF

The primary concerns for SLF are Revenue Growth.

Key Dynamics to Monitor

ACGLN profiles as a mature stock while SLF is a value play — different risk/reward profiles.

SLF carries more volatility with a beta of 0.80 — expect wider price swings.

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

SLF generates stronger free cash flow (5.3B), providing more financial flexibility.

Bottom Line

SLF scores higher overall (74/100 vs 52/100). ACGLN offers better value entry with a 92.0% margin of safety. 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. (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.

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Sun Life Financial Inc.

FINANCIAL SERVICES · INSURANCE - DIVERSIFIED · USA

Sun Life Financial Inc., a financial services company, provides insurance, wealth and asset management solutions to individuals and corporate clients around the world. The company is headquartered in Toronto, Canada.

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