Arch Capital Group Ltd. (ACGL)vsMastercard Inc (MA)
ACGL
Arch Capital Group Ltd.
$109.24
+0.06%
FINANCIAL SERVICES · Cap: $35.20B
MA
Mastercard Inc
$660.73
-1.23%
FINANCIAL SERVICES · Cap: $555.82B
Smart Verdict
WallStSmart Research — data-driven comparison
Mastercard Inc generates 93% more annual revenue ($36.29B vs $18.78B). MA leads profitability with a 46.7% profit margin vs 23.3%. ACGL appears more attractively valued with a PEG of 1.06. MA earns a higher WallStSmart Score of 70/100 (B).
ACGL
Strong Buy67
out of 100
Grade: B-
MA
Strong Buy70
out of 100
Grade: B
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Keeps 23 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Reasonable price relative to book value
Strong operational efficiency at 26.8%
Generating 1.7B in free cash flow
Mega-cap, among the largest globally
Every $100 of equity generates 251 in profit
Keeps 47 of every $100 in revenue as profit
Strong operational efficiency at 60.5%
Safe zone — low bankruptcy risk
Earnings expanding 21.7% YoY
Areas to Watch
Revenue declined 8.9%
Earnings declined 15.7%
Distress zone — elevated risk
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 85.4x book value
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : ACGL
The strongest argument for ACGL centers on P/E Ratio, Profit Margin, Debt/Equity. Profitability is solid with margins at 23.3% and operating margin at 26.8%. PEG of 1.06 suggests the stock is reasonably priced for its growth.
Bull Case : MA
The strongest argument for MA centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 46.7% and operating margin at 60.5%. Revenue growth of 14.0% demonstrates continued momentum.
Bear Case : ACGL
The primary concerns for ACGL are Revenue Growth, EPS Growth, Altman Z-Score.
Bear Case : MA
The primary concerns for MA are PEG Ratio, P/E Ratio, Price/Book. Debt-to-equity of 3.54 is elevated, increasing financial risk.
Key Dynamics to Monitor
ACGL profiles as a declining stock while MA is a mature play — different risk/reward profiles.
MA carries more volatility with a beta of 0.76 — expect wider price swings.
MA is growing revenue faster at 14.0% — sustainability is the question.
MA generates stronger free cash flow (4.8B), providing more financial flexibility.
Bottom Line
MA scores higher overall (70/100 vs 67/100), backed by strong 46.7% margins and 14.0% revenue growth. 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.
Mastercard Inc
FINANCIAL SERVICES · CREDIT SERVICES · USA
Mastercard Incorporated is an American multinational financial services corporation headquartered in the Mastercard International Global Headquarters in Purchase, New York. The Global Operations Headquarters is located in O'Fallon, Missouri, a municipality of St. Charles County, Missouri. Throughout the world, its principal business is to process payments between the banks of merchants and the card-issuing banks or credit unions of the purchasers who use the Mastercard brand debit, credit and prepaid cards to make purchases. Mastercard Worldwide has been a publicly traded company since 2006.
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