Arch Capital Group Ltd. (ACGL)vsThe Travelers Companies Inc (TRV)
ACGL
Arch Capital Group Ltd.
$98.48
-0.82%
FINANCIAL SERVICES · Cap: $34.28B
TRV
The Travelers Companies Inc
$384.31
-0.44%
FINANCIAL SERVICES · Cap: $78.66B
Smart Verdict
WallStSmart Research — data-driven comparison
The Travelers Companies Inc generates 155% more annual revenue ($48.98B vs $19.23B). ACGL leads profitability with a 24.4% profit margin vs 17.0%. ACGL appears more attractively valued with a PEG of 1.06. TRV earns a higher WallStSmart Score of 74/100 (B).
ACGL
Strong Buy67
out of 100
Grade: B-
TRV
Strong Buy74
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
Every $100 of equity generates 20 in profit
Keeps 24 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Strong operational efficiency at 26.6%
Attractively priced relative to earnings
Earnings expanding 57.1% YoY
Large-cap with strong market position
Every $100 of equity generates 25 in profit
Conservative balance sheet, low leverage
Reasonable price relative to book value
Areas to Watch
Revenue declined 10.5%
Earnings declined 7.1%
Distress zone — elevated risk
Expensive relative to growth rate
0.3% revenue growth
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : ACGL
The strongest argument for ACGL centers on P/E Ratio, Price/Book, Return on Equity. 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 : TRV
The strongest argument for TRV centers on P/E Ratio, EPS Growth, Market Cap. Profitability is solid with margins at 17.0% and operating margin at 23.7%.
Bear Case : ACGL
The primary concerns for ACGL are Revenue Growth, EPS Growth, Altman Z-Score.
Bear Case : TRV
The primary concerns for TRV are PEG Ratio, Revenue Growth, Altman Z-Score.
Key Dynamics to Monitor
ACGL profiles as a declining stock while TRV is a value play — different risk/reward profiles.
TRV carries more volatility with a beta of 0.46 — expect wider price swings.
TRV is growing revenue faster at 0.3% — sustainability is the question.
TRV generates stronger free cash flow (1.9B), providing more financial flexibility.
Bottom Line
TRV scores higher overall (74/100 vs 67/100), backed by strong 17.0% margins. 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.
The Travelers Companies Inc
FINANCIAL SERVICES · INSURANCE - PROPERTY & CASUALTY · USA
The Travelers Companies, Inc., commonly known as Travelers, is an American insurance company.
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