Arch Capital Group Ltd (ACGL)vsHumana Inc (HUM)
ACGL
Arch Capital Group Ltd
$94.70
+0.59%
FINANCIAL SERVICES · Cap: $33.14B
HUM
Humana Inc
$246.33
+2.84%
HEALTHCARE · Cap: $28.05B
Smart Verdict
WallStSmart Research — data-driven comparison
Humana Inc generates 594% more annual revenue ($137.20B vs $19.78B). ACGL leads profitability with a 24.6% profit margin vs 0.8%. ACGL appears more attractively valued with a PEG of 1.06. ACGL earns a higher WallStSmart Score of 79/100 (B+).
ACGL
Strong Buy79
out of 100
Grade: B+
HUM
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for ACGL.
Margin of Safety
+81.0%
Fair Value
$1141.73
Current Price
$246.33
$895.40 discount
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
Safe zone — low bankruptcy risk
Reasonable price relative to book value
Revenue surging 23.5% year-over-year
Generating 1.1B in free cash flow
Areas to Watch
Revenue declined 3.3%
ROE of 6.3% — below average capital efficiency
0.8% margin — thin
Operating margin of 4.7%
Earnings declined 4.6%
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 : HUM
The strongest argument for HUM centers on Altman Z-Score, Price/Book, Revenue Growth. Revenue growth of 23.5% demonstrates continued momentum. PEG of 1.33 suggests the stock is reasonably priced for its growth.
Bear Case : ACGL
The primary concerns for ACGL are Revenue Growth.
Bear Case : HUM
The primary concerns for HUM are Return on Equity, Profit Margin, Operating Margin. Thin 0.8% margins leave little buffer for downturns.
Key Dynamics to Monitor
ACGL profiles as a declining stock while HUM is a growth play — different risk/reward profiles.
HUM carries more volatility with a beta of 0.45 — expect wider price swings.
HUM is growing revenue faster at 23.5% — 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 59/100), backed by strong 24.6% margins. HUM offers better value entry with a 81.0% margin of safety. 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.
Humana Inc
HEALTHCARE · HEALTHCARE PLANS · USA
Humana Inc. is a for-profit American health insurance company based in Louisville, Kentucky.
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