Arch Capital Group Ltd. (ACGL)vsNelnet Inc (NNI)
ACGL
Arch Capital Group Ltd.
$96.09
-0.11%
FINANCIAL SERVICES · Cap: $33.47B
NNI
Nelnet Inc
$126.69
+0.72%
FINANCIAL SERVICES · Cap: $4.49B
Smart Verdict
WallStSmart Research — data-driven comparison
Arch Capital Group Ltd. generates 1192% more annual revenue ($19.23B vs $1.49B). ACGL leads profitability with a 24.4% profit margin vs 20.3%. NNI appears more attractively valued with a PEG of 0.46. ACGL earns a higher WallStSmart Score of 67/100 (B-).
ACGL
Strong Buy67
out of 100
Grade: B-
NNI
Buy56
out of 100
Grade: C
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 24 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Strong operational efficiency at 26.6%
Generating 1.3B in free cash flow
Growing faster than its price suggests
Reasonable price relative to book value
Keeps 20 of every $100 in revenue as profit
Attractively priced relative to earnings
Areas to Watch
Revenue declined 10.5%
Earnings declined 7.1%
Distress zone — elevated risk
Elevated debt levels
Revenue declined 30.5%
Earnings declined 62.8%
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull 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 : NNI
The strongest argument for NNI centers on PEG Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 20.3% and operating margin at 18.2%. PEG of 0.46 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 : NNI
The primary concerns for NNI are Debt/Equity, Revenue Growth, EPS Growth. Debt-to-equity of 1.87 is elevated, increasing financial risk.
Key Dynamics to Monitor
NNI carries more volatility with a beta of 0.76 — expect wider price swings.
ACGL is growing revenue faster at -10.5% — sustainability is the question.
ACGL generates stronger free cash flow (1.3B), providing more financial flexibility.
Monitor INSURANCE - DIVERSIFIED industry trends, competitive dynamics, and regulatory changes.
Bottom Line
ACGL scores higher overall (67/100 vs 56/100), backed by strong 24.4% margins. 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.
Nelnet Inc
FINANCIAL SERVICES · CREDIT SERVICES · USA
Nelnet, Inc. is engaged in the loan management, communications and educational technology, services and payment processing businesses globally. The company is headquartered in Lincoln, Nebraska.
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