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Arch Capital Group (ACGL) Outperforms Broader Market: What You Need to Know
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Arch Capital Group (ACGL - Free Report) closed the most recent trading day at $114.22, moving +1.96% from the previous trading session. The stock's performance was ahead of the S&P 500's daily gain of 0.13%. Meanwhile, the Dow experienced a rise of 0.55%, and the technology-dominated Nasdaq saw a decrease of 0.52%.
Heading into today, shares of the property and casualty insurer had gained 9.23% over the past month, outpacing the Finance sector's gain of 4.44% and the S&P 500's gain of 3.67% in that time.
The investment community will be paying close attention to the earnings performance of Arch Capital Group in its upcoming release. It is anticipated that the company will report an EPS of $1.72, marking a 25.54% fall compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $3.8 billion, showing an 8.23% escalation compared to the year-ago quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $9.01 per share and a revenue of $15.56 billion, signifying shifts of +6.63% and +15.33%, respectively, from the last year.
Investors might also notice recent changes to analyst estimates for Arch Capital Group. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.14% upward. As of now, Arch Capital Group holds a Zacks Rank of #2 (Buy).
Digging into valuation, Arch Capital Group currently has a Forward P/E ratio of 12.44. For comparison, its industry has an average Forward P/E of 13.56, which means Arch Capital Group is trading at a discount to the group.
Also, we should mention that ACGL has a PEG ratio of 2.03. 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. ACGL's industry had an average PEG ratio of 1.64 as of yesterday's close.
The Insurance - Property and Casualty industry is part of the Finance sector. Currently, this industry holds a Zacks Industry Rank of 47, positioning it in the top 19% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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) Outperforms Broader Market: What You Need to Know
Arch Capital Group (ACGL - Free Report) closed the most recent trading day at $114.22, moving +1.96% from the previous trading session. The stock's performance was ahead of the S&P 500's daily gain of 0.13%. Meanwhile, the Dow experienced a rise of 0.55%, and the technology-dominated Nasdaq saw a decrease of 0.52%.
Heading into today, shares of the property and casualty insurer had gained 9.23% over the past month, outpacing the Finance sector's gain of 4.44% and the S&P 500's gain of 3.67% in that time.
The investment community will be paying close attention to the earnings performance of Arch Capital Group in its upcoming release. It is anticipated that the company will report an EPS of $1.72, marking a 25.54% fall compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $3.8 billion, showing an 8.23% escalation compared to the year-ago quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $9.01 per share and a revenue of $15.56 billion, signifying shifts of +6.63% and +15.33%, respectively, from the last year.
Investors might also notice recent changes to analyst estimates for Arch Capital Group. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.14% upward. As of now, Arch Capital Group holds a Zacks Rank of #2 (Buy).
Digging into valuation, Arch Capital Group currently has a Forward P/E ratio of 12.44. For comparison, its industry has an average Forward P/E of 13.56, which means Arch Capital Group is trading at a discount to the group.
Also, we should mention that ACGL has a PEG ratio of 2.03. 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. ACGL's industry had an average PEG ratio of 1.64 as of yesterday's close.
The Insurance - Property and Casualty industry is part of the Finance sector. Currently, this industry holds a Zacks Industry Rank of 47, positioning it in the top 19% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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.