WallStSmart

Arch Capital Group Ltd. (ACGL)vsSmartFinancial, Inc. (SMBK)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd. generates 9963% more annual revenue ($19.78B vs $196.53M). SMBK leads profitability with a 26.9% profit margin vs 24.6%. 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

SMBK

Buy

62

out of 100

Grade: C+

Growth: 7.3Profit: 7.5Value: 6.0Quality: 5.5
Piotroski: 4/9Altman Z: -0.61

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

SMBK6 strengths · Avg: 9.0/10
Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Operating MarginProfitability
37.8%10/10

Strong operational efficiency at 37.8%

Profit MarginProfitability
26.9%9/10

Keeps 27 of every $100 in revenue as profit

Debt/EquityHealth
0.189/10

Conservative balance sheet, low leverage

P/E RatioValuation
14.2x8/10

Attractively priced relative to earnings

EPS GrowthGrowth
20.9%8/10

Earnings expanding 20.9% YoY

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

SMBK2 concerns · Avg: 2.5/10
Market CapQuality
$755.24M3/10

Smaller company, higher risk/reward

Altman Z-ScoreHealth
-0.612/10

Distress zone — elevated risk

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 : SMBK

The strongest argument for SMBK centers on Price/Book, Operating Margin, Profit Margin. Profitability is solid with margins at 26.9% and operating margin at 37.8%.

Bear Case : ACGL

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

Bear Case : SMBK

The primary concerns for SMBK are Market Cap, Altman Z-Score.

Key Dynamics to Monitor

ACGL profiles as a declining stock while SMBK is a mature play — different risk/reward profiles.

SMBK carries more volatility with a beta of 0.72 — expect wider price swings.

SMBK is growing revenue faster at 8.3% — 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 62/100), 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.

SmartFinancial, Inc.

FINANCIAL SERVICES · BANKS - REGIONAL · USA

SmartFinancial, Inc. is SmartBank's banking holding company that provides various financial services to individual and corporate clients. The company is headquartered in Knoxville, Tennessee.

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