In the latest market close, Arch Capital Group (ACGL) reached $95.21, with a -1.36% movement compared to the previous day. This move lagged the S&P 500's daily gain of 0.92%. Meanwhile, the Dow experienced a rise of 0.31%, and the technology-dominated Nasdaq saw an increase of 2.03%.
The the stock of property and casualty insurer has risen by 5.04% in the past month, leading the Finance sector's gain of 4.35% and the S&P 500's gain of 0.81%.
Market participants will be closely following the financial results of Arch Capital Group in its upcoming release. The company plans to announce its earnings on February 10, 2025. The company is forecasted to report an EPS of $1.85, showcasing a 25.7% downward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $4.23 billion, up 15.22% from the year-ago period.
It is also important to note the recent changes to analyst estimates for Arch Capital Group. These revisions typically reflect the latest short-term business trends, which can change frequently. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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 1.42% fall in the Zacks Consensus EPS estimate. At present, Arch Capital Group boasts a Zacks Rank of #3 (Hold).
From a valuation perspective, Arch Capital Group is currently exchanging hands at a Forward P/E ratio of 10.72. This represents a discount compared to its industry's average Forward P/E of 11.69.
We can additionally observe that ACGL currently boasts a PEG ratio of 1.57. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Insurance - Property and Casualty industry currently had an average PEG ratio of 1.28 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 90, putting it in the top 36% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming 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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