WallStSmart

Arch Capital Group Ltd. (ACGL)vsBanco Santander Brasil SA ADR (BSBR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Banco Santander Brasil SA ADR generates 151% more annual revenue ($48.29B vs $19.23B). BSBR leads profitability with a 28.7% profit margin vs 24.4%. BSBR appears more attractively valued with a PEG of 0.42. BSBR earns a higher WallStSmart Score of 84/100 (A-).

ACGL

Strong Buy

67

out of 100

Grade: B-

Growth: 4.7Profit: 8.0Value: 7.0Quality: 6.0
Piotroski: 6/9Altman Z: 1.48

BSBR

Exceptional Buy

84

out of 100

Grade: A-

Growth: 8.7Profit: 8.0Value: 7.7Quality: 3.0
Piotroski: 2/9Altman Z: -0.20

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACGL6 strengths · Avg: 9.0/10
P/E RatioValuation
7.7x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Profit MarginProfitability
24.4%9/10

Keeps 24 of every $100 in revenue as profit

Debt/EquityHealth
0.189/10

Conservative balance sheet, low leverage

Operating MarginProfitability
26.6%8/10

Strong operational efficiency at 26.6%

Free Cash FlowQuality
$1.31B8/10

Generating 1.3B in free cash flow

BSBR6 strengths · Avg: 9.7/10
PEG RatioValuation
0.4210/10

Growing faster than its price suggests

Price/BookValuation
0.5x10/10

Reasonable price relative to book value

Operating MarginProfitability
33.2%10/10

Strong operational efficiency at 33.2%

Free Cash FlowQuality
$16.10B10/10

Generating 16.1B in free cash flow

Return on EquityProfitability
23.6%9/10

Every $100 of equity generates 24 in profit

Profit MarginProfitability
28.7%9/10

Keeps 29 of every $100 in revenue as profit

Areas to Watch

ACGL3 concerns · Avg: 2.0/10
Revenue GrowthGrowth
-10.5%2/10

Revenue declined 10.5%

EPS GrowthGrowth
-7.1%2/10

Earnings declined 7.1%

Altman Z-ScoreHealth
1.482/10

Distress zone — elevated risk

BSBR3 concerns · Avg: 2.7/10
Debt/EquityHealth
1.173/10

Elevated debt levels

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Altman Z-ScoreHealth
-0.202/10

Distress zone — elevated risk

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 24.4% and operating margin at 26.6%. PEG of 1.06 suggests the stock is reasonably priced for its growth.

Bull Case : BSBR

The strongest argument for BSBR centers on PEG Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 28.7% and operating margin at 33.2%. Revenue growth of 28.8% demonstrates continued momentum.

Bear Case : ACGL

The primary concerns for ACGL are Revenue Growth, EPS Growth, Altman Z-Score.

Bear Case : BSBR

The primary concerns for BSBR are Debt/Equity, Piotroski F-Score, Altman Z-Score.

Key Dynamics to Monitor

ACGL profiles as a declining stock while BSBR is a growth play — different risk/reward profiles.

ACGL carries more volatility with a beta of 0.28 — expect wider price swings.

BSBR is growing revenue faster at 28.8% — sustainability is the question.

BSBR generates stronger free cash flow (16.1B), providing more financial flexibility.

Bottom Line

BSBR scores higher overall (84/100 vs 67/100), backed by strong 28.7% margins and 28.8% revenue growth. 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.

Banco Santander Brasil SA ADR

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Banco Santander (Brasil) SA offers various banking products and services to individuals, small and medium-sized companies and corporate clients in Brazil and internationally. The company is headquartered in So Paulo, Brazil.

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