Arch Capital Group Ltd (ACGL)vsRocket Companies Inc (RKT)
ACGL
Arch Capital Group Ltd
$94.46
+1.88%
FINANCIAL SERVICES · Cap: $34.58B
RKT
Rocket Companies Inc
$14.62
+1.53%
FINANCIAL SERVICES · Cap: $40.61B
Smart Verdict
WallStSmart Research — data-driven comparison
Arch Capital Group Ltd generates 182% more annual revenue ($19.93B vs $7.07B). ACGL leads profitability with a 22.1% profit margin vs -1.0%. RKT appears more attractively valued with a PEG of 0.49. ACGL earns a higher WallStSmart Score of 81/100 (A-).
ACGL
Exceptional Buy81
out of 100
Grade: A-
RKT
Buy55
out of 100
Grade: C
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 22 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Strong operational efficiency at 29.5%
Earnings expanding 38.8% YoY
Growing faster than its price suggests
Revenue surging 52.6% year-over-year
Reasonable price relative to book value
Areas to Watch
No major concerns identified
Weak financial health signals
ROE of -1.5% — below average capital efficiency
Earnings declined 89.5%
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull 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 : RKT
The strongest argument for RKT centers on PEG Ratio, Revenue Growth, Price/Book. Revenue growth of 52.6% demonstrates continued momentum. PEG of 0.49 suggests the stock is reasonably priced for its growth.
Bear Case : ACGL
No major red flags identified for ACGL, but monitor valuation.
Bear Case : RKT
The primary concerns for RKT are Piotroski F-Score, Return on Equity, EPS Growth. Debt-to-equity of 2.51 is elevated, increasing financial risk.
Key Dynamics to Monitor
ACGL profiles as a mature stock while RKT is a hypergrowth play — different risk/reward profiles.
RKT carries more volatility with a beta of 2.36 — expect wider price swings.
RKT is growing revenue faster at 52.6% — 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 55/100), backed by strong 22.1% margins. Both earn "Exceptional 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.
Rocket Companies Inc
FINANCIAL SERVICES · MORTGAGE FINANCE · USA
Rocket Companies, Inc. is engaged in the technology-driven real estate, mortgage and e-commerce businesses in the United States and Canada. The company is headquartered in Detroit, Michigan.
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