The latest trading session saw Arch Capital Group (ACGL) ending at $95.51, denoting a -0.61% adjustment from its last day's close. The stock's change was less than the S&P 500's daily gain of 1%. Elsewhere, the Dow saw an upswing of 0.78%, while the tech-heavy Nasdaq appreciated by 1.51%.
Heading into today, shares of the property and casualty insurer had gained 7.99% over the past month, outpacing the Finance sector's loss of 0.44% and the S&P 500's loss of 2.14% in that time.
The investment community will be paying close attention to the earnings performance of Arch Capital Group in its upcoming release. The company is slated to reveal its earnings on February 10, 2025. On that day, Arch Capital Group is projected to report earnings of $1.85 per share, which would represent a year-over-year decline of 25.7%. Our most recent consensus estimate is calling for quarterly revenue of $4.22 billion, up 14.86% from the year-ago period.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Arch Capital Group. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been a 1.07% fall in the Zacks Consensus EPS estimate. As of now, Arch Capital Group holds a Zacks Rank of #3 (Hold).
In the context of valuation, Arch Capital Group is at present trading with a Forward P/E ratio of 10.66. This represents a discount compared to its industry's average Forward P/E of 11.68.
We can also see that ACGL currently has a PEG ratio of 1.56. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Insurance - Property and Casualty industry currently had an average PEG ratio of 1.44 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 34, putting it in the top 14% 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.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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