Arch Capital Group Ltd. (ACGL)vsLendingClub Corp (LC)
ACGL
Arch Capital Group Ltd.
$88.34
+0.58%
FINANCIAL SERVICES · Cap: $32.03B
LC
LendingClub Corp
$17.15
-2.39%
FINANCIAL SERVICES · Cap: $2.08B
Smart Verdict
WallStSmart Research — data-driven comparison
Arch Capital Group Ltd. generates 1341% more annual revenue ($19.78B vs $1.37B). ACGL leads profitability with a 24.6% profit margin vs 12.8%. 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+
LC
Strong Buy68
out of 100
Grade: B-
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
Reasonable price relative to book value
Earnings expanding 340.0% YoY
Conservative balance sheet, low leverage
Attractively priced relative to earnings
Strong operational efficiency at 20.0%
Areas to Watch
Revenue declined 3.3%
Distress zone — elevated risk
Negative free cash flow — burning cash
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 : LC
The strongest argument for LC centers on Price/Book, EPS Growth, Debt/Equity. Revenue growth of 12.5% demonstrates continued momentum.
Bear Case : ACGL
The primary concerns for ACGL are Revenue Growth, Altman Z-Score.
Bear Case : LC
The primary concerns for LC are Free Cash Flow, Altman Z-Score.
Key Dynamics to Monitor
ACGL profiles as a declining stock while LC is a value play — different risk/reward profiles.
LC carries more volatility with a beta of 1.97 — expect wider price swings.
LC is growing revenue faster at 12.5% — 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 68/100), 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.
LendingClub Corp
FINANCIAL SERVICES · BANKS - REGIONAL · USA
LendingClub Corporation, is a banking holding company for LendingClub Bank, a National Association that offers a range of financial products and services through a technology-driven platform in the United States. The company is headquartered in San Francisco, California.
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