WallStSmart

Arch Capital Group Ltd. (ACGL)vsMidland States Bancorp, Inc. (MSBI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd. generates 6621% more annual revenue ($19.23B vs $286.15M). ACGL leads profitability with a 24.4% profit margin vs 15.0%. ACGL appears more attractively valued with a PEG of 1.06. MSBI earns a higher WallStSmart Score of 74/100 (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

MSBI

Strong Buy

74

out of 100

Grade: B

Growth: 7.3Profit: 6.5Value: 5.7Quality: 4.0
Piotroski: 4/9Altman Z: -0.65

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

MSBI4 strengths · Avg: 9.0/10
Operating MarginProfitability
35.6%10/10

Strong operational efficiency at 35.6%

EPS GrowthGrowth
86.0%10/10

Earnings expanding 86.0% YoY

Price/BookValuation
1.5x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
18.0%8/10

18.0% revenue growth

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

MSBI3 concerns · Avg: 2.7/10
Market CapQuality
$695.82M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
7.5%3/10

ROE of 7.5% — below average capital efficiency

Altman Z-ScoreHealth
-0.652/10

Distress zone — elevated risk

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 : MSBI

The strongest argument for MSBI centers on Operating Margin, EPS Growth, Price/Book. Revenue growth of 18.0% demonstrates continued momentum. PEG of 1.41 suggests the stock is reasonably priced for its growth.

Bear Case : ACGL

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

Bear Case : MSBI

The primary concerns for MSBI are Market Cap, Return on Equity, Altman Z-Score.

Key Dynamics to Monitor

ACGL profiles as a declining stock while MSBI is a growth play — different risk/reward profiles.

MSBI carries more volatility with a beta of 0.64 — expect wider price swings.

MSBI is growing revenue faster at 18.0% — sustainability is the question.

ACGL generates stronger free cash flow (1.3B), providing more financial flexibility.

Bottom Line

MSBI scores higher overall (74/100 vs 67/100) and 18.0% 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.

Midland States Bancorp, Inc.

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Midland States Bancorp, Inc. is a financial holding company for Midland States Bank offering various banking products and services to individuals, businesses, municipalities, and other entities. The company is headquartered in Effingham, Illinois.

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