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Arch Capital Group (ACGL) Gains But Lags Market: What You Should Know
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Arch Capital Group (ACGL - Free Report) closed the most recent trading day at $46.52, moving +0.11% from the previous trading session. This move lagged the S&P 500's daily gain of 1.53%. Elsewhere, the Dow gained 1.19%, while the tech-heavy Nasdaq added 0.14%.
Prior to today's trading, shares of the property and casualty insurer had gained 1.07% over the past month. This has outpaced the Finance sector's loss of 1.54% and the S&P 500's loss of 3.1% in that time.
Arch Capital Group will be looking to display strength as it nears its next earnings release. On that day, Arch Capital Group is projected to report earnings of $0.98 per share, which would represent year-over-year growth of 32.43%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.51 billion, up 24.61% from the year-ago period.
ACGL's full-year Zacks Consensus Estimates are calling for earnings of $4.64 per share and revenue of $9.6 billion. These results would represent year-over-year changes of +29.61% and +13.21%, respectively.
Investors should also note any recent changes to analyst estimates for Arch Capital Group. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.27% higher. Arch Capital Group is currently a Zacks Rank #1 (Strong Buy).
Investors should also note Arch Capital Group's current valuation metrics, including its Forward P/E ratio of 10.02. For comparison, its industry has an average Forward P/E of 12.65, which means Arch Capital Group is trading at a discount to the group.
It is also worth noting that ACGL currently has a PEG ratio of 1. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Insurance - Property and Casualty industry currently had an average PEG ratio of 1.71 as of yesterday's close.
The Insurance - Property and Casualty industry is part of the Finance sector. This group has a Zacks Industry Rank of 155, putting it in the bottom 39% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Arch Capital Group (ACGL) Gains But Lags Market: What You Should Know
Arch Capital Group (ACGL - Free Report) closed the most recent trading day at $46.52, moving +0.11% from the previous trading session. This move lagged the S&P 500's daily gain of 1.53%. Elsewhere, the Dow gained 1.19%, while the tech-heavy Nasdaq added 0.14%.
Prior to today's trading, shares of the property and casualty insurer had gained 1.07% over the past month. This has outpaced the Finance sector's loss of 1.54% and the S&P 500's loss of 3.1% in that time.
Arch Capital Group will be looking to display strength as it nears its next earnings release. On that day, Arch Capital Group is projected to report earnings of $0.98 per share, which would represent year-over-year growth of 32.43%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.51 billion, up 24.61% from the year-ago period.
ACGL's full-year Zacks Consensus Estimates are calling for earnings of $4.64 per share and revenue of $9.6 billion. These results would represent year-over-year changes of +29.61% and +13.21%, respectively.
Investors should also note any recent changes to analyst estimates for Arch Capital Group. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.27% higher. Arch Capital Group is currently a Zacks Rank #1 (Strong Buy).
Investors should also note Arch Capital Group's current valuation metrics, including its Forward P/E ratio of 10.02. For comparison, its industry has an average Forward P/E of 12.65, which means Arch Capital Group is trading at a discount to the group.
It is also worth noting that ACGL currently has a PEG ratio of 1. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Insurance - Property and Casualty industry currently had an average PEG ratio of 1.71 as of yesterday's close.
The Insurance - Property and Casualty industry is part of the Finance sector. This group has a Zacks Industry Rank of 155, putting it in the bottom 39% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.