Arch Capital Group Ltd (ACGL)vsSoFi Technologies Inc. (SOFI)
ACGL
Arch Capital Group Ltd
$94.46
+1.88%
FINANCIAL SERVICES · Cap: $34.58B
SOFI
SoFi Technologies Inc.
$16.10
+3.70%
FINANCIAL SERVICES · Cap: $19.89B
Smart Verdict
WallStSmart Research — data-driven comparison
Arch Capital Group Ltd generates 410% more annual revenue ($19.93B vs $3.91B). ACGL leads profitability with a 22.1% profit margin vs 14.8%. SOFI appears more attractively valued with a PEG of 0.99. ACGL earns a higher WallStSmart Score of 81/100 (A-).
ACGL
Exceptional Buy81
out of 100
Grade: A-
SOFI
Strong Buy73
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
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
Revenue surging 42.5% year-over-year
Earnings expanding 99.1% YoY
Conservative balance sheet, low leverage
Growing faster than its price suggests
Reasonable price relative to book value
Areas to Watch
No major concerns identified
Premium valuation, high expectations priced in
ROE of 6.6% — below average capital efficiency
Negative free cash flow — burning cash
Distress zone — elevated risk
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 : SOFI
The strongest argument for SOFI centers on Revenue Growth, EPS Growth, Debt/Equity. Revenue growth of 42.5% demonstrates continued momentum. PEG of 0.99 suggests the stock is reasonably priced for its growth.
Bear Case : ACGL
No major red flags identified for ACGL, but monitor valuation.
Bear Case : SOFI
The primary concerns for SOFI are P/E Ratio, Return on Equity, Free Cash Flow.
Key Dynamics to Monitor
ACGL profiles as a mature stock while SOFI is a growth play — different risk/reward profiles.
SOFI carries more volatility with a beta of 2.25 — expect wider price swings.
SOFI is growing revenue faster at 42.5% — 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 73/100), 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.
SoFi Technologies Inc.
FINANCIAL SERVICES · CREDIT SERVICES · USA
SoFi Technologies, Inc. provides digital financial services. The company is headquartered in San Francisco, California.
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