WallStSmart

Arch Capital Group Ltd. (ACGL)vsCommercial Bancgroup, Inc. Common Stock (CBK)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd. generates 20681% more annual revenue ($19.23B vs $92.55M). CBK leads profitability with a 42.5% profit margin vs 24.4%. ACGL trades at a lower P/E of 7.6x. ACGL earns a higher WallStSmart Score of 67/100 (B-).

ACGL

Strong Buy

67

out of 100

Grade: B-

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

CBK

Buy

56

out of 100

Grade: C

Growth: 5.3Profit: 7.5Value: 6.7Quality: 5.0
Piotroski: 4/9Altman Z: -0.09

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACGL6 strengths · Avg: 9.0/10
P/E RatioValuation
7.6x10/10

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

CBK4 strengths · Avg: 10.0/10
P/E RatioValuation
11.5x10/10

Attractively priced relative to earnings

Price/BookValuation
1.5x10/10

Reasonable price relative to book value

Profit MarginProfitability
42.5%10/10

Keeps 43 of every $100 in revenue as profit

Operating MarginProfitability
55.1%10/10

Strong operational efficiency at 55.1%

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

CBK3 concerns · Avg: 3.0/10
EPS GrowthGrowth
1.8%4/10

1.8% earnings growth

Market CapQuality
$464.06M3/10

Smaller company, higher risk/reward

Altman Z-ScoreHealth
-0.092/10

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 : CBK

The strongest argument for CBK centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 42.5% and operating margin at 55.1%.

Bear Case : ACGL

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

Bear Case : CBK

The primary concerns for CBK are EPS Growth, Market Cap, Altman Z-Score.

Key Dynamics to Monitor

ACGL profiles as a declining stock while CBK is a mature play — different risk/reward profiles.

CBK is growing revenue faster at 6.7% — sustainability is the question.

ACGL generates stronger free cash flow (1.3B), providing more financial flexibility.

Monitor INSURANCE - DIVERSIFIED industry trends, competitive dynamics, and regulatory changes.

Bottom Line

ACGL scores higher overall (67/100 vs 56/100), backed by strong 24.4% margins. Both earn "Strong Buy" and "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.

Commercial Bancgroup, Inc. Common Stock

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Commercial Bancgroup, Inc. is the bank holding company for Commercial Bank that provides a range of banking and financial services to individual and corporate customers in Kentucky, North Carolina, and Tennessee. The company is headquartered in Harrogate, Tennessee.

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