WallStSmart

Arch Capital Group Ltd (ACGLO)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). ACGLO leads profitability with a 22.1% profit margin vs 10.2%. ACGLO trades at a lower P/E of 4.2x. SLF earns a higher WallStSmart Score of 72/100 (B).

ACGLO

Buy

64

out of 100

Grade: C+

Growth: 8.7Profit: 8.0Value: 8.3Quality: 4.8
Piotroski: 3/9

SLF

Strong Buy

72

out of 100

Grade: B

Growth: 6.0Profit: 6.0Value: 10.0Quality: 5.3
Piotroski: 5/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ACGLOUndervalued (+90.5%)

Margin of Safety

+90.5%

Fair Value

$219.54

Current Price

$19.82

$199.72 discount

UndervaluedFair: $219.54Overvalued
SLFUndervalued (+69.0%)

Margin of Safety

+69.0%

Fair Value

$209.66

Current Price

$62.77

$146.89 discount

UndervaluedFair: $209.66Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACGLO6 strengths · Avg: 8.8/10
P/E RatioValuation
4.2x10/10

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

Operating MarginProfitability
29.5%8/10

Strong operational efficiency at 29.5%

EPS GrowthGrowth
38.8%8/10

Earnings expanding 38.8% YoY

Free Cash FlowQuality
$1.39B8/10

Generating 1.4B in free cash flow

SLF4 strengths · Avg: 8.0/10
PEG RatioValuation
0.888/10

Growing faster than its price suggests

P/E RatioValuation
14.0x8/10

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

ACGLO1 concerns · Avg: 3.0/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

SLF2 concerns · Avg: 4.0/10
Revenue GrowthGrowth
4.7%4/10

4.7% revenue growth

EPS GrowthGrowth
2.4%4/10

2.4% earnings growth

Comparative Analysis Report

WallStSmart Research

Bull Case : ACGLO

The strongest argument for ACGLO 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 PEG Ratio, P/E Ratio, Price/Book. PEG of 0.88 suggests the stock is reasonably priced for its growth.

Bear Case : ACGLO

The primary concerns for ACGLO are Piotroski F-Score.

Bear Case : SLF

The primary concerns for SLF are Revenue Growth, EPS Growth.

Key Dynamics to Monitor

ACGLO 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.

ACGLO 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 (72/100 vs 64/100). ACGLO offers better value entry with a 90.5% 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., offers insurance, reinsurance and mortgage products worldwide. The company is headquartered in Pembroke, Bermuda.

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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