Arch Capital Group Ltd (ACGL)vsCitigroup Inc. (C)
ACGL
Arch Capital Group Ltd
$93.32
-0.30%
FINANCIAL SERVICES · Cap: $33.94B
C
Citigroup Inc.
$113.74
+1.88%
FINANCIAL SERVICES · Cap: $191.59B
Smart Verdict
WallStSmart Research — data-driven comparison
Citigroup Inc. generates 280% more annual revenue ($75.72B vs $19.93B). ACGL leads profitability with a 22.1% profit margin vs 18.9%. C appears more attractively valued with a PEG of 0.80. ACGL earns a higher WallStSmart Score of 81/100 (A-).
ACGL
Exceptional Buy81
out of 100
Grade: A-
C
Strong Buy65
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+81.8%
Fair Value
$542.88
Current Price
$93.32
$449.56 discount
Margin of Safety
-130.5%
Fair Value
$47.53
Current Price
$113.74
$66.21 premium
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
Reasonable price relative to book value
Large-cap with strong market position
Growing faster than its price suggests
Attractively priced relative to earnings
Strong operational efficiency at 25.7%
Generating 2.0B in free cash flow
Areas to Watch
No major concerns identified
4.4% revenue growth
ROE of 6.8% — below average capital efficiency
Earnings declined 10.8%
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 : C
The strongest argument for C centers on Price/Book, Market Cap, PEG Ratio. Profitability is solid with margins at 18.9% and operating margin at 25.7%. PEG of 0.80 suggests the stock is reasonably priced for its growth.
Bear Case : ACGL
No major red flags identified for ACGL, but monitor valuation.
Bear Case : C
The primary concerns for C are Revenue Growth, Return on Equity, EPS Growth.
Key Dynamics to Monitor
ACGL profiles as a mature stock while C is a value play — different risk/reward profiles.
C carries more volatility with a beta of 1.13 — expect wider price swings.
ACGL is growing revenue faster at 8.5% — sustainability is the question.
C generates stronger free cash flow (2.0B), providing more financial flexibility.
Bottom Line
ACGL scores higher overall (81/100 vs 65/100), 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.
Citigroup Inc.
FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA
Citigroup Inc. is an American multinational investment bank and financial services corporation headquartered in New York City. The company was formed by the merger of banking giant Citicorp and financial conglomerate Travelers Group in 1998; Travelers was subsequently spun off from the company in 2002. Citigroup owns Citicorp, the holding company for Citibank, as well as several international subsidiaries. Citigroup is incorporated in Delaware.
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