WallStSmart

Arch Capital Group Ltd. (ACGL)vsFinancial Institutions Inc (FISI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd. generates 8160% more annual revenue ($19.78B vs $239.43M). FISI leads profitability with a 33.0% profit margin vs 24.6%. ACGL appears more attractively valued with a PEG of 1.06. ACGL earns a higher WallStSmart Score of 79/100 (B+).

ACGL

Strong Buy

79

out of 100

Grade: B+

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

FISI

Strong Buy

76

out of 100

Grade: B+

Growth: 7.3Profit: 7.5Value: 7.0Quality: 5.3
Piotroski: 5/9

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

FISI5 strengths · Avg: 9.6/10
P/E RatioValuation
9.7x10/10

Attractively priced relative to earnings

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Profit MarginProfitability
33.0%10/10

Keeps 33 of every $100 in revenue as profit

Operating MarginProfitability
42.9%10/10

Strong operational efficiency at 42.9%

EPS GrowthGrowth
28.4%8/10

Earnings expanding 28.4% 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

FISI1 concerns · Avg: 3.0/10
Market CapQuality
$730.56M3/10

Smaller company, higher risk/reward

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 : FISI

The strongest argument for FISI centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 33.0% and operating margin at 42.9%. Revenue growth of 11.3% demonstrates continued momentum.

Bear Case : ACGL

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

Bear Case : FISI

The primary concerns for FISI are Market Cap.

Key Dynamics to Monitor

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

FISI carries more volatility with a beta of 0.67 — expect wider price swings.

FISI is growing revenue faster at 11.3% — sustainability is the question.

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

Bottom Line

ACGL scores higher overall (79/100 vs 76/100), backed by strong 24.6% margins. Both earn "Strong 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.

Financial Institutions Inc

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Financial Institutions, Inc. is a holding company of the Five Star Bank that provides banking and financial services to individuals, municipalities and businesses. The company is headquartered in Warsaw, New York.

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