Arch Capital Group Ltd. (ACGL)vsFarmers & Merchants Bancorp Inc (FMAO)
ACGL
Arch Capital Group Ltd.
$88.34
-0.17%
FINANCIAL SERVICES · Cap: $32.03B
FMAO
Farmers & Merchants Bancorp Inc
$27.14
-3.24%
FINANCIAL SERVICES · Cap: $386.75M
Smart Verdict
WallStSmart Research — data-driven comparison
Arch Capital Group Ltd. generates 15857% more annual revenue ($19.78B vs $123.94M). FMAO leads profitability with a 29.0% profit margin vs 24.6%. ACGL trades at a lower P/E of 7.0x. ACGL earns a higher WallStSmart Score of 79/100 (B+).
ACGL
Strong Buy79
out of 100
Grade: B+
FMAO
Buy65
out of 100
Grade: C+
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Earnings expanding 94.6% YoY
Every $100 of equity generates 20 in profit
Keeps 25 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 42.2%
Keeps 29 of every $100 in revenue as profit
16.5% revenue growth
Earnings expanding 37.3% YoY
Areas to Watch
Revenue declined 3.3%
Distress zone — elevated risk
Smaller company, higher risk/reward
Comparative Analysis Report
WallStSmart ResearchBull 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 : FMAO
The strongest argument for FMAO centers on P/E Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 29.0% and operating margin at 42.2%. Revenue growth of 16.5% demonstrates continued momentum.
Bear Case : ACGL
The primary concerns for ACGL are Revenue Growth, Altman Z-Score.
Bear Case : FMAO
The primary concerns for FMAO are Market Cap.
Key Dynamics to Monitor
ACGL profiles as a declining stock while FMAO is a growth play — different risk/reward profiles.
FMAO carries more volatility with a beta of 0.83 — expect wider price swings.
FMAO is growing revenue faster at 16.5% — 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 65/100), backed by strong 24.6% 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.
Farmers & Merchants Bancorp Inc
FINANCIAL SERVICES · BANKS - REGIONAL · USA
Farmers & Merchants Bancorp, Inc. is the banking holding company for The Farmers & Merchants State Bank providing commercial banking services to individuals and small businesses in Northwest Ohio and Northeast Indiana. The company is headquartered in Archbold, Ohio.
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