WallStSmart

Arch Capital Group Ltd. (ACGL)vsJackson Financial Inc (JXN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd. generates 194% more annual revenue ($19.23B vs $6.55B). ACGL leads profitability with a 24.4% profit margin vs 1.6%. ACGL trades at a lower P/E of 7.7x. ACGL earns a higher WallStSmart Score of 67/100 (B-).

ACGL

Strong Buy

67

out of 100

Grade: B-

Growth: 4.7Profit: 8.0Value: 7.0Quality: 6.0
Piotroski: 6/9Altman Z: 1.48

JXN

Hold

46

out of 100

Grade: D+

Growth: 4.7Profit: 3.0Value: 4.0Quality: 6.3
Piotroski: 6/9

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACGL6 strengths · Avg: 9.0/10
P/E RatioValuation
7.7x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Profit MarginProfitability
24.4%9/10

Keeps 24 of every $100 in revenue as profit

Debt/EquityHealth
0.189/10

Conservative balance sheet, low leverage

Operating MarginProfitability
26.6%8/10

Strong operational efficiency at 26.6%

Free Cash FlowQuality
$1.31B8/10

Generating 1.3B in free cash flow

JXN4 strengths · Avg: 9.3/10
Price/BookValuation
1.0x10/10

Reasonable price relative to book value

EPS GrowthGrowth
291.6%10/10

Earnings expanding 291.6% YoY

Debt/EquityHealth
0.289/10

Conservative balance sheet, low leverage

Free Cash FlowQuality
$1.85B8/10

Generating 1.8B in free cash flow

Areas to Watch

ACGL3 concerns · Avg: 2.0/10
Revenue GrowthGrowth
-10.5%2/10

Revenue declined 10.5%

EPS GrowthGrowth
-7.1%2/10

Earnings declined 7.1%

Altman Z-ScoreHealth
1.482/10

Distress zone — elevated risk

JXN4 concerns · Avg: 2.3/10
Profit MarginProfitability
1.6%3/10

1.6% margin — thin

P/E RatioValuation
148.5x2/10

Premium valuation, high expectations priced in

Return on EquityProfitability
-3.9%2/10

ROE of -3.9% — below average capital efficiency

Revenue GrowthGrowth
-22.6%2/10

Revenue declined 22.6%

Comparative Analysis Report

WallStSmart Research

Bull Case : ACGL

The strongest argument for ACGL centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 24.4% and operating margin at 26.6%. PEG of 1.06 suggests the stock is reasonably priced for its growth.

Bull Case : JXN

The strongest argument for JXN centers on Price/Book, EPS Growth, Debt/Equity.

Bear Case : ACGL

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

Bear Case : JXN

The primary concerns for JXN are Profit Margin, P/E Ratio, Return on Equity. A P/E of 148.5x leaves little room for execution misses. Thin 1.6% margins leave little buffer for downturns.

Key Dynamics to Monitor

ACGL profiles as a declining stock while JXN is a value play — different risk/reward profiles.

JXN carries more volatility with a beta of 1.32 — expect wider price swings.

ACGL is growing revenue faster at -10.5% — sustainability is the question.

JXN generates stronger free cash flow (1.8B), providing more financial flexibility.

Bottom Line

ACGL scores higher overall (67/100 vs 46/100), backed by strong 24.4% margins. Both earn "Strong Buy" and "Hold" 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.

Jackson Financial Inc

FINANCIAL SERVICES · INSURANCE - LIFE · USA

Jackson Financial Inc. is a prominent player in the U.S. life insurance and asset management sectors, renowned for its innovative retirement solutions that aim to bolster financial security for individuals and families. The company offers a diverse portfolio of fixed and variable annuities along with life insurance products, skillfully meeting the evolving needs of retirees and investors in a complex financial landscape. By harnessing cutting-edge technology and a robust distribution network, Jackson Financial is well-equipped to capitalize on demographic trends and the rising demand for efficient retirement planning, positioning itself for sustained growth and a competitive advantage in the industry.

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