WallStSmart

Arch Capital Group Ltd (ACGL)vsWhite Mountains Insurance Group Ltd (WTM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Arch Capital Group Ltd generates 434% more annual revenue ($19.93B vs $3.73B). WTM leads profitability with a 29.6% profit margin vs 22.1%. WTM appears more attractively valued with a PEG of 0.81. WTM earns a higher WallStSmart Score of 82/100 (A-).

ACGL

Exceptional Buy

81

out of 100

Grade: A-

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

WTM

Exceptional Buy

82

out of 100

Grade: A-

Growth: 7.3Profit: 9.0Value: 7.7Quality: 5.0
Piotroski: 3/9Altman Z: 1.85

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

WTM6 strengths · Avg: 9.7/10
P/E RatioValuation
5.1x10/10

Attractively priced relative to earnings

Price/BookValuation
1.0x10/10

Reasonable price relative to book value

Operating MarginProfitability
64.3%10/10

Strong operational efficiency at 64.3%

Revenue GrowthGrowth
348.0%10/10

Revenue surging 348.0% year-over-year

Return on EquityProfitability
21.1%9/10

Every $100 of equity generates 21 in profit

Profit MarginProfitability
29.6%9/10

Keeps 30 of every $100 in revenue as profit

Areas to Watch

ACGL0 concerns · Avg: 0/10

No major concerns identified

WTM3 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.854/10

Grey zone — moderate risk

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

EPS GrowthGrowth
-36.6%2/10

Earnings declined 36.6%

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 : WTM

The strongest argument for WTM centers on P/E Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 29.6% and operating margin at 64.3%. Revenue growth of 348.0% demonstrates continued momentum.

Bear Case : ACGL

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

Bear Case : WTM

The primary concerns for WTM are Altman Z-Score, Piotroski F-Score, EPS Growth.

Key Dynamics to Monitor

ACGL profiles as a mature stock while WTM is a growth play — different risk/reward profiles.

ACGL carries more volatility with a beta of 0.38 — expect wider price swings.

WTM is growing revenue faster at 348.0% — sustainability is the question.

ACGL generates stronger free cash flow (1.4B), providing more financial flexibility.

Bottom Line

WTM scores higher overall (82/100 vs 81/100), backed by strong 29.6% margins and 348.0% revenue growth. Both earn "Exceptional Buy" and "Exceptional 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.

White Mountains Insurance Group Ltd

FINANCIAL SERVICES · INSURANCE - PROPERTY & CASUALTY · USA

White Mountains Insurance Group, Ltd., provides insurance services in the United States. The company is headquartered in Hamilton, Bermuda.

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