Arch Capital Group Ltd (ACGL)vsTexas Capital Bancshares Inc (TCBIO)
ACGL
Arch Capital Group Ltd
$94.46
+1.88%
FINANCIAL SERVICES · Cap: $34.58B
TCBIO
Texas Capital Bancshares Inc
$21.58
-0.35%
FINANCIAL SERVICES · Cap: $3.31B
Smart Verdict
WallStSmart Research — data-driven comparison
Arch Capital Group Ltd generates 1500% more annual revenue ($19.93B vs $1.25B). TCBIO leads profitability with a 28.7% profit margin vs 22.1%. TCBIO trades at a lower P/E of 5.5x. ACGL earns a higher WallStSmart Score of 81/100 (A-).
ACGL
Exceptional Buy81
out of 100
Grade: A-
TCBIO
Buy54
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
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 32.2%
Earnings expanding 69.6% YoY
Keeps 29 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Areas to Watch
No major concerns identified
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 : TCBIO
The strongest argument for TCBIO centers on P/E Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 28.7% and operating margin at 32.2%. Revenue growth of 16.9% demonstrates continued momentum.
Bear Case : ACGL
No major red flags identified for ACGL, but monitor valuation.
Bear Case : TCBIO
The primary concerns for TCBIO are Altman Z-Score.
Key Dynamics to Monitor
ACGL profiles as a mature stock while TCBIO is a growth play — different risk/reward profiles.
TCBIO carries more volatility with a beta of 0.67 — expect wider price swings.
TCBIO is growing revenue faster at 16.9% — 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 54/100), 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.
Texas Capital Bancshares Inc
FINANCIAL SERVICES · BANKS - REGIONAL · USA
Texas Capital Bancshares Inc (TCBIO), headquartered in Dallas, Texas, is a leading regional bank offering a comprehensive suite of financial services that cater to both commercial and individual clients. The firm excels in providing customized solutions including business lending, treasury management, and personal banking, driven by a strong emphasis on client relationships and in-depth local market insights. With a robust approach to risk management and a strategic focus on sustainable growth, TCBIO is strategically positioned to thrive in a competitive environment while delivering long-term value for its shareholders.
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