Arch Capital Group Ltd. (ACGL)vsGlaxoSmithKline PLC ADR (GSK)
ACGL
Arch Capital Group Ltd.
$93.80
-0.76%
FINANCIAL SERVICES · Cap: $33.09B
GSK
GlaxoSmithKline PLC ADR
$50.41
-0.18%
HEALTHCARE · Cap: $101.38B
Smart Verdict
WallStSmart Research — data-driven comparison
GlaxoSmithKline PLC ADR generates 66% more annual revenue ($32.78B vs $19.78B). ACGL leads profitability with a 24.6% profit margin vs 17.8%. GSK appears more attractively valued with a PEG of 0.50. ACGL earns a higher WallStSmart Score of 79/100 (B+).
ACGL
Strong Buy79
out of 100
Grade: B+
GSK
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for ACGL.
Margin of Safety
-3.1%
Fair Value
$56.71
Current Price
$50.41
$6.30 premium
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 21 in profit
Keeps 25 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Growing faster than its price suggests
Every $100 of equity generates 41 in profit
Strong operational efficiency at 36.3%
Large-cap with strong market position
Attractively priced relative to earnings
Areas to Watch
Revenue declined 3.3%
1.5% revenue growth
Elevated debt levels
Distress zone — elevated risk
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 : GSK
The strongest argument for GSK centers on PEG Ratio, Return on Equity, Operating Margin. Profitability is solid with margins at 17.8% and operating margin at 36.3%. PEG of 0.50 suggests the stock is reasonably priced for its growth.
Bear Case : ACGL
The primary concerns for ACGL are Revenue Growth.
Bear Case : GSK
The primary concerns for GSK are Revenue Growth, Debt/Equity, Altman Z-Score.
Key Dynamics to Monitor
ACGL profiles as a declining stock while GSK is a value play — different risk/reward profiles.
ACGL carries more volatility with a beta of 0.33 — expect wider price swings.
GSK is growing revenue faster at 1.5% — 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 66/100), 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.
GlaxoSmithKline PLC ADR
HEALTHCARE · DRUG MANUFACTURERS - GENERAL · USA
GlaxoSmithKline plc is dedicated to the creation, discovery, development, manufacture and marketing of pharmaceuticals, vaccines, over-the-counter drugs and health-related consumer products in the UK, US and internationally. The company is headquartered in Brentford, the United Kingdom.
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