WallStSmart

Arch Capital Group Ltd. (ACGL)vsWestwood Holdings Group Inc (WHG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd. generates 19781% more annual revenue ($19.78B vs $99.48M). ACGL leads profitability with a 24.6% profit margin vs 7.4%. ACGL trades at a lower P/E of 7.0x. ACGL earns a higher WallStSmart Score of 79/100 (B+).

ACGL

Strong Buy

79

out of 100

Grade: B+

Growth: 7.3Profit: 8.0Value: 7.0Quality: 6.0
Piotroski: 6/9Altman Z: 1.48

WHG

Hold

49

out of 100

Grade: D+

Growth: 8.0Profit: 3.5Value: 5.3Quality: 8.5
Piotroski: 3/9Altman Z: 3.23

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ACGL6 strengths · Avg: 9.5/10
P/E RatioValuation
7.0x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

EPS GrowthGrowth
94.6%10/10

Earnings expanding 94.6% YoY

Return on EquityProfitability
20.1%9/10

Every $100 of equity generates 20 in profit

Profit MarginProfitability
24.6%9/10

Keeps 25 of every $100 in revenue as profit

Debt/EquityHealth
0.119/10

Conservative balance sheet, low leverage

WHG4 strengths · Avg: 10.0/10
Price/BookValuation
1.2x10/10

Reasonable price relative to book value

EPS GrowthGrowth
80.0%10/10

Earnings expanding 80.0% YoY

Debt/EquityHealth
0.0810/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
3.2310/10

Safe zone — low bankruptcy risk

Areas to Watch

ACGL2 concerns · Avg: 2.0/10
Revenue GrowthGrowth
-3.3%2/10

Revenue declined 3.3%

Altman Z-ScoreHealth
1.482/10

Distress zone — elevated risk

WHG4 concerns · Avg: 3.0/10
Market CapQuality
$165.38M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
5.9%3/10

ROE of 5.9% — below average capital efficiency

Profit MarginProfitability
7.4%3/10

7.4% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : ACGL

The strongest argument for ACGL centers on P/E Ratio, Price/Book, EPS Growth. Profitability is solid with margins at 24.6% and operating margin at 25.3%. PEG of 1.06 suggests the stock is reasonably priced for its growth.

Bull Case : WHG

The strongest argument for WHG centers on Price/Book, EPS Growth, Debt/Equity.

Bear Case : ACGL

The primary concerns for ACGL are Revenue Growth, Altman Z-Score.

Bear Case : WHG

The primary concerns for WHG are Market Cap, Return on Equity, Profit Margin.

Key Dynamics to Monitor

ACGL profiles as a declining stock while WHG is a value play — different risk/reward profiles.

WHG carries more volatility with a beta of 0.61 — expect wider price swings.

WHG is growing revenue faster at 7.4% — sustainability is the question.

ACGL generates stronger free cash flow (1.2B), providing more financial flexibility.

Bottom Line

ACGL scores higher overall (79/100 vs 49/100), backed by strong 24.6% margins. Both earn "Strong 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.

Westwood Holdings Group Inc

FINANCIAL SERVICES · ASSET MANAGEMENT · USA

Westwood Holdings Group, Inc., manages investment assets and provides services to its clients. The company is headquartered in Dallas, Texas.

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