Arch Capital Group Ltd (ACGL)vsWaterdrop Inc ADR (WDH)
ACGL
Arch Capital Group Ltd
$93.32
-0.30%
FINANCIAL SERVICES · Cap: $33.94B
WDH
Waterdrop Inc ADR
$1.65
-1.20%
FINANCIAL SERVICES · Cap: $616.13M
Smart Verdict
WallStSmart Research — data-driven comparison
Arch Capital Group Ltd generates 513% more annual revenue ($19.93B vs $3.25B). ACGL leads profitability with a 22.1% profit margin vs 15.6%. ACGL trades at a lower P/E of 8.1x. ACGL earns a higher WallStSmart Score of 81/100 (A-).
ACGL
Exceptional Buy81
out of 100
Grade: A-
WDH
Strong Buy67
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+81.8%
Fair Value
$542.88
Current Price
$93.32
$449.56 discount
Margin of Safety
+80.8%
Fair Value
$9.36
Current Price
$1.65
$7.71 discount
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
Attractively priced relative to earnings
Reasonable price relative to book value
Revenue surging 38.4% year-over-year
Conservative balance sheet, low leverage
Earnings expanding 46.5% YoY
Areas to Watch
No major concerns identified
Smaller company, higher risk/reward
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 : WDH
The strongest argument for WDH centers on P/E Ratio, Price/Book, Revenue Growth. Profitability is solid with margins at 15.6% and operating margin at 11.7%. Revenue growth of 38.4% demonstrates continued momentum.
Bear Case : ACGL
No major red flags identified for ACGL, but monitor valuation.
Bear Case : WDH
The primary concerns for WDH are Market Cap.
Key Dynamics to Monitor
ACGL profiles as a mature stock while WDH is a growth play — different risk/reward profiles.
ACGL carries more volatility with a beta of 0.36 — expect wider price swings.
WDH is growing revenue faster at 38.4% — sustainability is the question.
Monitor INSURANCE - DIVERSIFIED industry trends, competitive dynamics, and regulatory changes.
Bottom Line
ACGL scores higher overall (81/100 vs 67/100), backed by strong 22.1% margins. WDH offers better value entry with a 80.8% margin of safety. Both earn "Exceptional 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.
Waterdrop Inc ADR
FINANCIAL SERVICES · INSURANCE - DIVERSIFIED · China
Waterdrop Inc. provides online insurance brokerage services to connect and connect users with related insurance products underwritten by insurance companies in the People's Republic of China. The company is headquartered in Beijing, the People's Republic of China.
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