WallStSmart

Arch Capital Group Ltd (ACGL)vsRadian Group Inc (RDN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd generates 1565% more annual revenue ($19.93B vs $1.20B). RDN leads profitability with a 48.7% profit margin vs 22.1%. RDN appears more attractively valued with a PEG of 0.76. 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

RDN

Strong Buy

71

out of 100

Grade: B

Growth: 4.7Profit: 8.0Value: 7.7Quality: 4.8
Piotroski: 3/9Altman Z: 2.82

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

RDN5 strengths · Avg: 9.6/10
P/E RatioValuation
8.5x10/10

Attractively priced relative to earnings

Price/BookValuation
1.1x10/10

Reasonable price relative to book value

Profit MarginProfitability
48.7%10/10

Keeps 49 of every $100 in revenue as profit

Operating MarginProfitability
76.7%10/10

Strong operational efficiency at 76.7%

PEG RatioValuation
0.768/10

Growing faster than its price suggests

Areas to Watch

ACGL0 concerns · Avg: 0/10

No major concerns identified

RDN2 concerns · Avg: 3.5/10
Revenue GrowthGrowth
2.7%4/10

2.7% revenue growth

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

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 : RDN

The strongest argument for RDN centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 48.7% and operating margin at 76.7%. PEG of 0.76 suggests the stock is reasonably priced for its growth.

Bear Case : ACGL

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

Bear Case : RDN

The primary concerns for RDN are Revenue Growth, Piotroski F-Score.

Key Dynamics to Monitor

ACGL profiles as a mature stock while RDN is a value play — different risk/reward profiles.

RDN carries more volatility with a beta of 0.77 — expect wider price swings.

ACGL is growing revenue faster at 8.5% — sustainability is the question.

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

Bottom Line

ACGL scores higher overall (81/100 vs 71/100), 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.

Radian Group Inc

FINANCIAL SERVICES · INSURANCE - SPECIALTY · USA

Radian Group Inc. is engaged in the mortgage and real estate services business in the United States. The company is headquartered in Philadelphia, Pennsylvania.

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