Arch Capital Group Ltd (ACGL)vsTPG Inc (TPG)
ACGL
Arch Capital Group Ltd
$94.46
+1.88%
FINANCIAL SERVICES · Cap: $34.58B
TPG
TPG Inc
$43.62
+3.66%
FINANCIAL SERVICES · Cap: $16.32B
Smart Verdict
WallStSmart Research — data-driven comparison
Arch Capital Group Ltd generates 327% more annual revenue ($19.93B vs $4.67B). ACGL leads profitability with a 22.1% profit margin vs 4.0%. ACGL trades at a lower P/E of 8.4x. ACGL earns a higher WallStSmart Score of 81/100 (A-).
ACGL
Exceptional Buy81
out of 100
Grade: A-
TPG
Buy53
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
Revenue surging 38.5% year-over-year
Strong operational efficiency at 20.0%
Areas to Watch
No major concerns identified
0.0% earnings growth
4.0% margin — thin
Premium valuation, high expectations priced in
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 : TPG
The strongest argument for TPG centers on Revenue Growth, Operating Margin. Revenue growth of 38.5% demonstrates continued momentum.
Bear Case : ACGL
No major red flags identified for ACGL, but monitor valuation.
Bear Case : TPG
The primary concerns for TPG are EPS Growth, Profit Margin, P/E Ratio. A P/E of 94.4x leaves little room for execution misses. Thin 4.0% margins leave little buffer for downturns.
Key Dynamics to Monitor
ACGL profiles as a mature stock while TPG is a hypergrowth play — different risk/reward profiles.
TPG carries more volatility with a beta of 1.53 — expect wider price swings.
TPG is growing revenue faster at 38.5% — 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 53/100), 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.
TPG Inc
FINANCIAL SERVICES · ASSET MANAGEMENT · USA
TPG Inc. is a global alternative asset manager. The company is headquartered in Fort Worth, Texas.
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