WallStSmart

Arch Capital Group Ltd. (ACGL)vsBridgewater Bancshares Inc (BWB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd. generates 12952% more annual revenue ($19.78B vs $151.53M). BWB leads profitability with a 35.5% profit margin vs 24.6%. BWB appears more attractively valued with a PEG of 0.74. BWB earns a higher WallStSmart Score of 82/100 (A-).

ACGL

Strong Buy

79

out of 100

Grade: B+

Growth: 7.3Profit: 8.0Value: 7.0Quality: 6.0
Piotroski: 6/9Altman Z: 1.48

BWB

Exceptional Buy

82

out of 100

Grade: A-

Growth: 9.3Profit: 7.5Value: 7.7Quality: 4.0
Piotroski: 4/9Altman Z: -0.61

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACGL6 strengths · Avg: 9.5/10
P/E RatioValuation
7.0x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

EPS GrowthGrowth
94.6%10/10

Earnings expanding 94.6% YoY

Return on EquityProfitability
20.1%9/10

Every $100 of equity generates 20 in profit

Profit MarginProfitability
24.6%9/10

Keeps 25 of every $100 in revenue as profit

Debt/EquityHealth
0.119/10

Conservative balance sheet, low leverage

BWB6 strengths · Avg: 10.0/10
P/E RatioValuation
10.8x10/10

Attractively priced relative to earnings

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Profit MarginProfitability
35.5%10/10

Keeps 36 of every $100 in revenue as profit

Operating MarginProfitability
55.2%10/10

Strong operational efficiency at 55.2%

Revenue GrowthGrowth
46.2%10/10

Revenue surging 46.2% year-over-year

EPS GrowthGrowth
87.1%10/10

Earnings expanding 87.1% YoY

Areas to Watch

ACGL2 concerns · Avg: 2.0/10
Revenue GrowthGrowth
-3.3%2/10

Revenue declined 3.3%

Altman Z-ScoreHealth
1.482/10

Distress zone — elevated risk

BWB2 concerns · Avg: 2.5/10
Market CapQuality
$528.39M3/10

Smaller company, higher risk/reward

Altman Z-ScoreHealth
-0.612/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : ACGL

The strongest argument for ACGL centers on P/E Ratio, Price/Book, EPS Growth. Profitability is solid with margins at 24.6% and operating margin at 25.3%. PEG of 1.06 suggests the stock is reasonably priced for its growth.

Bull Case : BWB

The strongest argument for BWB centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 35.5% and operating margin at 55.2%. Revenue growth of 46.2% demonstrates continued momentum.

Bear Case : ACGL

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

Bear Case : BWB

The primary concerns for BWB are Market Cap, Altman Z-Score.

Key Dynamics to Monitor

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

BWB carries more volatility with a beta of 0.58 — expect wider price swings.

BWB is growing revenue faster at 46.2% — sustainability is the question.

ACGL generates stronger free cash flow (1.2B), providing more financial flexibility.

Bottom Line

BWB scores higher overall (82/100 vs 79/100), backed by strong 35.5% margins and 46.2% 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.

Bridgewater Bancshares Inc

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Bridgewater Bancshares, Inc. is the banking holding company for Bridgewater Bank providing banking products and services to commercial real estate investors, small business entrepreneurs and high net worth individuals in the United States. The company is headquartered in Saint Louis Park, Minnesota.

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