Arch Capital Group Ltd (ACGL)vsFlex Ltd (FLEX)
ACGL
Arch Capital Group Ltd
$93.32
-0.30%
FINANCIAL SERVICES · Cap: $33.94B
FLEX
Flex Ltd
$70.02
+1.34%
TECHNOLOGY · Cap: $25.55B
Smart Verdict
WallStSmart Research — data-driven comparison
Flex Ltd generates 35% more annual revenue ($26.83B vs $19.93B). ACGL leads profitability with a 22.1% profit margin vs 3.2%. FLEX appears more attractively valued with a PEG of 0.94. ACGL earns a higher WallStSmart Score of 81/100 (A-).
ACGL
Exceptional Buy81
out of 100
Grade: A-
FLEX
Buy57
out of 100
Grade: C
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
-327.7%
Fair Value
$15.16
Current Price
$70.02
$54.86 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
Growing faster than its price suggests
Areas to Watch
No major concerns identified
Premium valuation, high expectations priced in
3.2% margin — thin
Elevated debt levels
Earnings declined 4.5%
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 : FLEX
The strongest argument for FLEX centers on PEG Ratio. PEG of 0.94 suggests the stock is reasonably priced for its growth.
Bear Case : ACGL
No major red flags identified for ACGL, but monitor valuation.
Bear Case : FLEX
The primary concerns for FLEX are P/E Ratio, Profit Margin, Debt/Equity. Thin 3.2% margins leave little buffer for downturns.
Key Dynamics to Monitor
ACGL profiles as a mature stock while FLEX is a value play — different risk/reward profiles.
FLEX carries more volatility with a beta of 1.25 — expect wider price swings.
ACGL is growing revenue faster at 8.5% — sustainability is the question.
ACGL generates stronger free cash flow (1.4B), providing more financial flexibility.
Bottom Line
ACGL scores higher overall (81/100 vs 57/100), backed by strong 22.1% margins. Both earn "Exceptional 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.
Flex Ltd
TECHNOLOGY · ELECTRONIC COMPONENTS · USA
Flex Ltd. provides design, engineering, manufacturing and supply chain services and solutions to OEMs in Asia, the Americas and Europe. The company is headquartered in Singapore.
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