A Closer Look at 7 Analyst Recommendations For Arch Capital Group

7 analysts have shared their evaluations of Arch Capital Group ACGL during the recent three months, expressing a mix of bullish and bearish perspectives.

The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.

Analysts have recently evaluated Arch Capital Group and provided 12-month price targets. The average target is $112.86, accompanied by a high estimate of $120.00 and a low estimate of $104.00. Witnessing a positive shift, the current average has risen by 5.34% from the previous average price target of $107.14.

Breaking Down Analyst Ratings: A Detailed Examination

The perception of Arch Capital Group by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Arch Capital Group. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Arch Capital Group compared to the broader market.
• Price Targets: Analysts predict movements in price targets, offering estimates for Arch Capital Group's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.

To gain a panoramic view of Arch Capital Group's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.

Stay up to date on Arch Capital Group analyst ratings.

Unveiling the Story Behind Arch Capital Group

Arch Capital Group Ltd is a Bermuda company which writes insurance and reinsurance with operations in Bermuda, the United States, Canada, Europe, Australia and United Kingdom. The business operates through three underwriting segments: insurance, reinsurance, and mortgage two operating segments: corporate and other. The insurance segment provides specialty risk solutions to client across a variety of industries. The reinsurance segment provides reinsurance services which cover property catastrophe, property, liability, marine, aviation and space, trade credit and surety, agriculture, accident, life and health, and political risk. The mortgage business provides risk management and risk financing products to the mortgage insurance sectors through platforms in the U.S., Europe and Bermuda.

Arch Capital Group: Delving into Financials

Market Capitalization: Exceeding industry standards, the company's market capitalization places it above industry average in size relative to peers. This emphasizes its significant scale and robust market position.

Revenue Growth: Arch Capital Group's remarkable performance in 3 months is evident. As of 31 March, 2024, the company achieved an impressive revenue growth rate of 24.37%. This signifies a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Financials sector.

Net Margin: Arch Capital Group's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 28.62%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): Arch Capital Group's ROE stands out, surpassing industry averages. With an impressive ROE of 6.16%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Arch Capital Group's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 1.82% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: Arch Capital Group's debt-to-equity ratio is below the industry average. With a ratio of 0.15, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

The Basics of Analyst Ratings

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

This article was generated by Benzinga's automated content engine and reviewed by an editor.