Arch Capital Group Ltd (ACGL)vsBrown & Brown Inc (BRO)
ACGL
Arch Capital Group Ltd
$94.46
+1.88%
FINANCIAL SERVICES · Cap: $34.58B
BRO
Brown & Brown Inc
$60.15
-2.42%
FINANCIAL SERVICES · Cap: $20.89B
Smart Verdict
WallStSmart Research — data-driven comparison
Arch Capital Group Ltd generates 218% more annual revenue ($19.93B vs $6.26B). ACGL leads profitability with a 22.1% profit margin vs 18.4%. ACGL appears more attractively valued with a PEG of 1.06. ACGL earns a higher WallStSmart Score of 81/100 (A-).
ACGL
Exceptional Buy81
out of 100
Grade: A-
BRO
Strong Buy71
out of 100
Grade: B
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
Strong operational efficiency at 47.2%
Revenue surging 35.7% year-over-year
Reasonable price relative to book value
Areas to Watch
No major concerns identified
Expensive relative to growth rate
Weak financial health signals
Earnings declined 7.9%
Comparative Analysis Report
WallStSmart ResearchBull 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 : BRO
The strongest argument for BRO centers on Operating Margin, Revenue Growth, Price/Book. Profitability is solid with margins at 18.4% and operating margin at 47.2%. Revenue growth of 35.7% demonstrates continued momentum.
Bear Case : ACGL
No major red flags identified for ACGL, but monitor valuation.
Bear Case : BRO
The primary concerns for BRO are PEG Ratio, Piotroski F-Score, EPS Growth.
Key Dynamics to Monitor
ACGL profiles as a mature stock while BRO is a growth play — different risk/reward profiles.
BRO carries more volatility with a beta of 0.83 — expect wider price swings.
BRO is growing revenue faster at 35.7% — 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 71/100), backed by strong 22.1% margins. Both earn "Exceptional Buy" and "Strong 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.
Brown & Brown Inc
FINANCIAL SERVICES · INSURANCE BROKERS · USA
Brown & Brown, Inc. markets and sells insurance products and services in the United States, Bermuda, Canada, the Cayman Islands, Ireland, and the United Kingdom. The company is headquartered in Daytona Beach, Florida.
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