WallStSmart

Arch Capital Group Ltd (ACGL)vsNorthpointe Bancshares, Inc. (NPB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd generates 7825% more annual revenue ($19.93B vs $251.47M). NPB leads profitability with a 35.1% profit margin vs 22.1%. NPB trades at a lower P/E of 7.8x. ACGL earns a higher WallStSmart Score of 81/100 (A-).

ACGL

Exceptional Buy

81

out of 100

Grade: A-

Growth: 8.7Profit: 8.0Value: 7.0Quality: 6.5
Piotroski: 5/9

NPB

Strong Buy

70

out of 100

Grade: B

Growth: 8.0Profit: 8.0Value: 6.7Quality: 5.0

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACGL6 strengths · Avg: 9.0/10
P/E RatioValuation
8.4x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Profit MarginProfitability
22.1%9/10

Keeps 22 of every $100 in revenue as profit

Debt/EquityHealth
0.119/10

Conservative balance sheet, low leverage

Operating MarginProfitability
29.5%8/10

Strong operational efficiency at 29.5%

EPS GrowthGrowth
38.8%8/10

Earnings expanding 38.8% YoY

NPB6 strengths · Avg: 9.3/10
P/E RatioValuation
7.8x10/10

Attractively priced relative to earnings

Price/BookValuation
1.1x10/10

Reasonable price relative to book value

Profit MarginProfitability
35.1%10/10

Keeps 35 of every $100 in revenue as profit

Operating MarginProfitability
46.1%10/10

Strong operational efficiency at 46.1%

Revenue GrowthGrowth
27.9%8/10

Revenue surging 27.9% year-over-year

EPS GrowthGrowth
24.2%8/10

Earnings expanding 24.2% YoY

Areas to Watch

ACGL0 concerns · Avg: 0/10

No major concerns identified

NPB2 concerns · Avg: 2.5/10
Market CapQuality
$606.06M3/10

Smaller company, higher risk/reward

Free Cash FlowQuality
$-28.77M2/10

Negative free cash flow — burning cash

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 22.1% and operating margin at 29.5%. PEG of 1.06 suggests the stock is reasonably priced for its growth.

Bull Case : NPB

The strongest argument for NPB centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 35.1% and operating margin at 46.1%. Revenue growth of 27.9% demonstrates continued momentum.

Bear Case : ACGL

No major red flags identified for ACGL, but monitor valuation.

Bear Case : NPB

The primary concerns for NPB are Market Cap, Free Cash Flow.

Key Dynamics to Monitor

ACGL profiles as a mature stock while NPB is a growth play — different risk/reward profiles.

NPB is growing revenue faster at 27.9% — sustainability is the question.

ACGL generates stronger free cash flow (1.4B), providing more financial flexibility.

Monitor INSURANCE - DIVERSIFIED industry trends, competitive dynamics, and regulatory changes.

Bottom Line

ACGL scores higher overall (81/100 vs 70/100), backed by strong 22.1% margins. Both earn "Exceptional 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.

Northpointe Bancshares, Inc.

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Northpointe Bancshares, Inc. is the bank holding company for Northpointe Bank provides various banking products and services. The company is headquartered in Grand Rapids, Michigan.

Want to dig deeper into these stocks?