Arch Capital Group Ltd. (ACGL)vsPreferred Bank (PFBC)
ACGL
Arch Capital Group Ltd.
$93.80
-0.76%
FINANCIAL SERVICES · Cap: $33.09B
PFBC
Preferred Bank
$95.04
+0.34%
FINANCIAL SERVICES · Cap: $1.12B
Smart Verdict
WallStSmart Research — data-driven comparison
Arch Capital Group Ltd. generates 6878% more annual revenue ($19.78B vs $283.40M). PFBC leads profitability with a 47.5% profit margin vs 24.6%. PFBC appears more attractively valued with a PEG of 0.94. ACGL earns a higher WallStSmart Score of 79/100 (B+).
ACGL
Strong Buy79
out of 100
Grade: B+
PFBC
Strong Buy74
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 21 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
Keeps 48 of every $100 in revenue as profit
Strong operational efficiency at 66.0%
Growing faster than its price suggests
Areas to Watch
Revenue declined 3.3%
3.3% revenue growth
Smaller company, higher risk/reward
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 : PFBC
The strongest argument for PFBC centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 47.5% and operating margin at 66.0%. PEG of 0.94 suggests the stock is reasonably priced for its growth.
Bear Case : ACGL
The primary concerns for ACGL are Revenue Growth.
Bear Case : PFBC
The primary concerns for PFBC are Revenue Growth, Market Cap.
Key Dynamics to Monitor
ACGL profiles as a declining stock while PFBC is a value play — different risk/reward profiles.
PFBC carries more volatility with a beta of 0.56 — expect wider price swings.
PFBC is growing revenue faster at 3.3% — 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 74/100), 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.
Preferred Bank
FINANCIAL SERVICES · BANKS - REGIONAL · USA
Preferred Bank offers a variety of commercial banking products and services to small and medium-sized businesses and their real estate owners, entrepreneurs, developers and investors, professionals, and high-net-worth individuals in the United States. The company is headquartered in Los Angeles, California.
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