Arch Capital Group Ltd (ACGL)vsVerizon Communications Inc (VZ)
ACGL
Arch Capital Group Ltd
$93.60
-0.06%
FINANCIAL SERVICES · Cap: $33.94B
VZ
Verizon Communications Inc
$50.91
-1.06%
COMMUNICATION SERVICES · Cap: $210.80B
Smart Verdict
WallStSmart Research — data-driven comparison
Verizon Communications Inc generates 593% more annual revenue ($138.19B vs $19.93B). ACGL leads profitability with a 22.1% profit margin vs 12.4%. ACGL appears more attractively valued with a PEG of 1.06. ACGL earns a higher WallStSmart Score of 81/100 (A-).
ACGL
Exceptional Buy81
out of 100
Grade: A-
VZ
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+81.8%
Fair Value
$542.88
Current Price
$93.60
$449.28 discount
Margin of Safety
-84.4%
Fair Value
$27.61
Current Price
$50.91
$23.30 premium
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
Mega-cap, among the largest globally
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 21.0%
Generating 4.4B in free cash flow
Areas to Watch
No major concerns identified
2.0% revenue growth
Weak financial health signals
Earnings declined 53.3%
Distress zone — elevated risk
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 : VZ
The strongest argument for VZ centers on Market Cap, P/E Ratio, Price/Book. PEG of 1.23 suggests the stock is reasonably priced for its growth.
Bear Case : ACGL
No major red flags identified for ACGL, but monitor valuation.
Bear Case : VZ
The primary concerns for VZ are Revenue Growth, Piotroski F-Score, EPS Growth.
Key Dynamics to Monitor
ACGL profiles as a mature stock while VZ is a value play — different risk/reward profiles.
ACGL carries more volatility with a beta of 0.36 — expect wider price swings.
ACGL is growing revenue faster at 8.5% — sustainability is the question.
VZ generates stronger free cash flow (4.4B), providing more financial flexibility.
Bottom Line
ACGL scores higher overall (81/100 vs 62/100), 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.
Verizon Communications Inc
COMMUNICATION SERVICES · TELECOM SERVICES · USA
Verizon Communications Inc. is an American multinational telecommunications conglomerate and a corporate component of the Dow Jones Industrial Average. The company is headquartered at 1095 Avenue of the Americas in Midtown Manhattan, New York City, but is incorporated in Delaware.
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