Arch Capital Group Ltd. (ACGL)vsOnity Group Inc. (ONIT)
ACGL
Arch Capital Group Ltd.
$88.34
+0.58%
FINANCIAL SERVICES · Cap: $32.03B
ONIT
Onity Group Inc.
$35.55
-2.79%
FINANCIAL SERVICES · Cap: $310.56M
Smart Verdict
WallStSmart Research — data-driven comparison
Arch Capital Group Ltd. generates 1680% more annual revenue ($19.78B vs $1.11B). ACGL leads profitability with a 24.6% profit margin vs 15.8%. ONIT appears more attractively valued with a PEG of 0.62. ONIT earns a higher WallStSmart Score of 79/100 (B+).
ACGL
Strong Buy79
out of 100
Grade: B+
ONIT
Strong Buy79
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
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 55.1%
Every $100 of equity generates 29 in profit
Growing faster than its price suggests
17.8% revenue growth
Areas to Watch
Revenue declined 3.3%
Distress zone — elevated risk
Smaller company, higher risk/reward
Earnings declined 70.4%
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 : ONIT
The strongest argument for ONIT centers on P/E Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 15.8% and operating margin at 55.1%. Revenue growth of 17.8% demonstrates continued momentum.
Bear Case : ACGL
The primary concerns for ACGL are Revenue Growth, Altman Z-Score.
Bear Case : ONIT
The primary concerns for ONIT are Market Cap, EPS Growth, Free Cash Flow. Debt-to-equity of 25.27 is elevated, increasing financial risk.
Key Dynamics to Monitor
ACGL profiles as a declining stock while ONIT is a growth play — different risk/reward profiles.
ONIT carries more volatility with a beta of 1.46 — expect wider price swings.
ONIT is growing revenue faster at 17.8% — 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 79/100), 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.
Onity Group Inc.
FINANCIAL SERVICES · MORTGAGE FINANCE · USA
Onity Group Inc., a financial services company, originates and services mortgage loans in the United States, the United States Virgin Islands, India, and the Philippines. The company is headquartered in West Palm Beach, Florida.
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