WallStSmart

Arch Capital Group Ltd. (ACGL)vsPatria Investments Ltd (PAX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd. generates 4854% more annual revenue ($19.78B vs $399.23M). ACGL leads profitability with a 24.6% profit margin vs 18.1%. ACGL trades at a lower P/E of 7.0x. ACGL earns a higher WallStSmart Score of 79/100 (B+).

ACGL

Strong Buy

79

out of 100

Grade: B+

Growth: 7.3Profit: 8.0Value: 7.0Quality: 6.0
Piotroski: 6/9Altman Z: 1.48

PAX

Buy

50

out of 100

Grade: C-

Growth: 6.0Profit: 7.5Value: 5.3Quality: 5.8
Piotroski: 3/9

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACGL6 strengths · Avg: 9.5/10
P/E RatioValuation
7.0x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

EPS GrowthGrowth
94.6%10/10

Earnings expanding 94.6% YoY

Return on EquityProfitability
20.1%9/10

Every $100 of equity generates 20 in profit

Profit MarginProfitability
24.6%9/10

Keeps 25 of every $100 in revenue as profit

Debt/EquityHealth
0.119/10

Conservative balance sheet, low leverage

PAX3 strengths · Avg: 8.0/10
Price/BookValuation
2.9x8/10

Reasonable price relative to book value

Operating MarginProfitability
26.4%8/10

Strong operational efficiency at 26.4%

Revenue GrowthGrowth
22.0%8/10

Revenue surging 22.0% year-over-year

Areas to Watch

ACGL2 concerns · Avg: 2.0/10
Revenue GrowthGrowth
-3.3%2/10

Revenue declined 3.3%

Altman Z-ScoreHealth
1.482/10

Distress zone — elevated risk

PAX3 concerns · Avg: 2.7/10
Market CapQuality
$1.85B3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

EPS GrowthGrowth
-85.2%2/10

Earnings declined 85.2%

Comparative Analysis Report

WallStSmart Research

Bull 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 : PAX

The strongest argument for PAX centers on Price/Book, Operating Margin, Revenue Growth. Profitability is solid with margins at 18.1% and operating margin at 26.4%. Revenue growth of 22.0% demonstrates continued momentum.

Bear Case : ACGL

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

Bear Case : PAX

The primary concerns for PAX are Market Cap, Piotroski F-Score, EPS Growth.

Key Dynamics to Monitor

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

PAX carries more volatility with a beta of 0.78 — expect wider price swings.

PAX is growing revenue faster at 22.0% — 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 50/100), backed by strong 24.6% 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.

Patria Investments Ltd

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

Patria Investments Limited is a private market investment firm focused on investing in Latin America. The company is headquartered in Grand Cayman, the Cayman Islands.

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