WallStSmart

Arch Capital Group Ltd. (ACGL)vsThird Coast Bancshares, Inc. (TCBX)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd. generates 8300% more annual revenue ($19.23B vs $228.96M). TCBX leads profitability with a 32.5% profit margin vs 24.4%. ACGL trades at a lower P/E of 7.7x. TCBX earns a higher WallStSmart Score of 68/100 (B-).

ACGL

Strong Buy

67

out of 100

Grade: B-

Growth: 4.7Profit: 8.0Value: 7.0Quality: 6.0
Piotroski: 6/9Altman Z: 1.48

TCBX

Strong Buy

68

out of 100

Grade: B-

Growth: 8.7Profit: 7.5Value: 6.7Quality: 5.0
Piotroski: 5/9Altman Z: -0.72

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACGL6 strengths · Avg: 9.0/10
P/E RatioValuation
7.7x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Profit MarginProfitability
24.4%9/10

Keeps 24 of every $100 in revenue as profit

Debt/EquityHealth
0.189/10

Conservative balance sheet, low leverage

Operating MarginProfitability
26.6%8/10

Strong operational efficiency at 26.6%

Free Cash FlowQuality
$1.31B8/10

Generating 1.3B in free cash flow

TCBX6 strengths · Avg: 9.8/10
P/E RatioValuation
11.0x10/10

Attractively priced relative to earnings

Price/BookValuation
1.1x10/10

Reasonable price relative to book value

Profit MarginProfitability
32.5%10/10

Keeps 33 of every $100 in revenue as profit

Operating MarginProfitability
42.7%10/10

Strong operational efficiency at 42.7%

Revenue GrowthGrowth
32.1%10/10

Revenue surging 32.1% year-over-year

Debt/EquityHealth
0.219/10

Conservative balance sheet, low leverage

Areas to Watch

ACGL3 concerns · Avg: 2.0/10
Revenue GrowthGrowth
-10.5%2/10

Revenue declined 10.5%

EPS GrowthGrowth
-7.1%2/10

Earnings declined 7.1%

Altman Z-ScoreHealth
1.482/10

Distress zone — elevated risk

TCBX2 concerns · Avg: 2.5/10
Market CapQuality
$738.28M3/10

Smaller company, higher risk/reward

Altman Z-ScoreHealth
-0.722/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : ACGL

The strongest argument for ACGL centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 24.4% and operating margin at 26.6%. PEG of 1.06 suggests the stock is reasonably priced for its growth.

Bull Case : TCBX

The strongest argument for TCBX centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 32.5% and operating margin at 42.7%. Revenue growth of 32.1% demonstrates continued momentum.

Bear Case : ACGL

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

Bear Case : TCBX

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

Key Dynamics to Monitor

ACGL profiles as a declining stock while TCBX is a growth play — different risk/reward profiles.

TCBX carries more volatility with a beta of 0.64 — expect wider price swings.

TCBX is growing revenue faster at 32.1% — sustainability is the question.

ACGL generates stronger free cash flow (1.3B), providing more financial flexibility.

Bottom Line

TCBX scores higher overall (68/100 vs 67/100), backed by strong 32.5% margins and 32.1% revenue growth. Both earn "Strong 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.

Third Coast Bancshares, Inc.

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Third Coast Bancshares, Inc. is a banking holding company of Third Coast Bank, SSB that offers various commercial banking solutions to small and medium-sized businesses and professionals. The company is headquartered in Humble, Texas.

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