WallStSmart

Arch Capital Group Ltd (ACGL)vsValue Line Inc (VALU)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd generates 58818% more annual revenue ($19.93B vs $33.83M). VALU leads profitability with a 65.0% profit margin vs 22.1%. ACGL trades at a lower P/E of 8.4x. ACGL earns a higher WallStSmart Score of 81/100 (A-).

ACGL

Exceptional Buy

81

out of 100

Grade: A-

Growth: 8.7Profit: 8.0Value: 7.0Quality: 6.5
Piotroski: 5/9

VALU

Hold

42

out of 100

Grade: D

Growth: 3.3Profit: 7.0Value: 6.0Quality: 9.0
Piotroski: 4/9Altman Z: 3.28

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACGL6 strengths · Avg: 9.0/10
P/E RatioValuation
8.4x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Profit MarginProfitability
22.1%9/10

Keeps 22 of every $100 in revenue as profit

Debt/EquityHealth
0.119/10

Conservative balance sheet, low leverage

Operating MarginProfitability
29.5%8/10

Strong operational efficiency at 29.5%

EPS GrowthGrowth
38.8%8/10

Earnings expanding 38.8% YoY

VALU5 strengths · Avg: 9.4/10
Profit MarginProfitability
65.0%10/10

Keeps 65 of every $100 in revenue as profit

Debt/EquityHealth
0.0410/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
3.2810/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
21.3%9/10

Every $100 of equity generates 21 in profit

P/E RatioValuation
14.8x8/10

Attractively priced relative to earnings

Areas to Watch

ACGL0 concerns · Avg: 0/10

No major concerns identified

VALU2 concerns · Avg: 2.5/10
Market CapQuality
$324.24M3/10

Smaller company, higher risk/reward

Revenue GrowthGrowth
-7.7%2/10

Revenue declined 7.7%

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 22.1% and operating margin at 29.5%. PEG of 1.06 suggests the stock is reasonably priced for its growth.

Bull Case : VALU

The strongest argument for VALU centers on Profit Margin, Debt/Equity, Altman Z-Score. Profitability is solid with margins at 65.0% and operating margin at 12.1%.

Bear Case : ACGL

No major red flags identified for ACGL, but monitor valuation.

Bear Case : VALU

The primary concerns for VALU are Market Cap, Revenue Growth.

Key Dynamics to Monitor

ACGL profiles as a mature stock while VALU is a declining play — different risk/reward profiles.

VALU carries more volatility with a beta of 1.22 — expect wider price swings.

ACGL is growing revenue faster at 8.5% — 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 42/100), backed by strong 22.1% margins. Both earn "Exceptional Buy" and "Hold" 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.

Value Line Inc

FINANCIAL SERVICES · FINANCIAL DATA & STOCK EXCHANGES · USA

Value Line, Inc. produces and sells investment periodicals and related publications primarily in the United States. The company is headquartered in New York, New York.

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