WallStSmart

Arch Capital Group Ltd (ACGL)vsAegon NV ADR (AEG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd generates 429% more annual revenue ($19.93B vs $3.77B). AEG leads profitability with a 26.0% profit margin vs 22.1%. ACGL appears more attractively valued with a PEG of 1.06. ACGL earns a higher WallStSmart Score of 81/100 (A-).

ACGL

Exceptional Buy

81

out of 100

Grade: A-

Growth: 8.7Profit: 8.0Value: 10.0Quality: 6.5
Piotroski: 5/9

AEG

Hold

47

out of 100

Grade: D+

Growth: 2.7Profit: 5.5Value: 4.7Quality: 4.5
Piotroski: 5/9Altman Z: 0.19
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ACGLUndervalued (+81.8%)

Margin of Safety

+81.8%

Fair Value

$542.88

Current Price

$93.32

$449.56 discount

UndervaluedFair: $542.88Overvalued
AEGSignificantly Overvalued (-27.9%)

Margin of Safety

-27.9%

Fair Value

$6.12

Current Price

$7.07

$0.95 premium

UndervaluedFair: $6.12Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACGL6 strengths · Avg: 9.0/10
P/E RatioValuation
8.1x10/10

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

AEG3 strengths · Avg: 9.7/10
P/E RatioValuation
7.7x10/10

Attractively priced relative to earnings

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Profit MarginProfitability
26.0%9/10

Keeps 26 of every $100 in revenue as profit

Areas to Watch

ACGL0 concerns · Avg: 0/10

No major concerns identified

AEG4 concerns · Avg: 2.5/10
Revenue GrowthGrowth
3.5%4/10

3.5% revenue growth

PEG RatioValuation
14.092/10

Expensive relative to growth rate

EPS GrowthGrowth
-46.2%2/10

Earnings declined 46.2%

Free Cash FlowQuality
$-202.00M2/10

Negative free cash flow — burning cash

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 : AEG

The strongest argument for AEG centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 26.0% and operating margin at -25.3%.

Bear Case : ACGL

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

Bear Case : AEG

The primary concerns for AEG are Revenue Growth, PEG Ratio, EPS Growth.

Key Dynamics to Monitor

ACGL profiles as a mature stock while AEG is a value play — different risk/reward profiles.

AEG carries more volatility with a beta of 0.60 — 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 47/100), backed by strong 22.1% margins. Both earn "Exceptional Buy" and "Hold" 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.

Aegon NV ADR

FINANCIAL SERVICES · INSURANCE - DIVERSIFIED · USA

Aegon NV offers a range of financial services in the Americas, Europe and Asia. The company is headquartered in The Hague, the Netherlands.

Visit Website →

Want to dig deeper into these stocks?