Arch Capital Group Ltd. (ACGL)vsUniversal Insurance Holdings Inc (UVE)
ACGL
Arch Capital Group Ltd.
$103.94
+1.40%
FINANCIAL SERVICES · Cap: $34.24B
UVE
Universal Insurance Holdings Inc
$45.98
-2.61%
FINANCIAL SERVICES · Cap: $1.31B
Smart Verdict
WallStSmart Research — data-driven comparison
Arch Capital Group Ltd. generates 1053% more annual revenue ($19.23B vs $1.67B). ACGL leads profitability with a 24.4% profit margin vs 14.0%. UVE trades at a lower P/E of 6.0x. UVE earns a higher WallStSmart Score of 67/100 (B-).
ACGL
Strong Buy67
out of 100
Grade: B-
UVE
Strong Buy67
out of 100
Grade: B-
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Keeps 24 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Reasonable price relative to book value
Strong operational efficiency at 26.6%
Generating 1.3B in free cash flow
Attractively priced relative to earnings
Every $100 of equity generates 33 in profit
Conservative balance sheet, low leverage
Reasonable price relative to book value
Earnings expanding 30.4% YoY
Areas to Watch
Revenue declined 10.5%
Earnings declined 7.1%
Distress zone — elevated risk
Smaller company, higher risk/reward
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : ACGL
The strongest argument for ACGL centers on P/E Ratio, Profit Margin, Debt/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 : UVE
The strongest argument for UVE centers on P/E Ratio, Return on Equity, Debt/Equity.
Bear Case : ACGL
The primary concerns for ACGL are Revenue Growth, EPS Growth, Altman Z-Score.
Bear Case : UVE
The primary concerns for UVE are Market Cap, Altman Z-Score.
Key Dynamics to Monitor
ACGL profiles as a declining stock while UVE is a value play — different risk/reward profiles.
UVE carries more volatility with a beta of 0.70 — expect wider price swings.
UVE is growing revenue faster at 9.6% — sustainability is the question.
ACGL generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
ACGL scores higher overall (67/100 vs 67/100), backed by strong 24.4% 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.
Universal Insurance Holdings Inc
FINANCIAL SERVICES · INSURANCE - PROPERTY & CASUALTY · USA
Universal Insurance Holdings, Inc., is an integrated insurance holding company in the United States. The company is headquartered in Fort Lauderdale, Florida.
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