Arch Capital Group (ACGL) closed the latest trading day at $93.10, indicating a +0.03% change from the previous session's end. The stock's performance was ahead of the S&P 500's daily loss of 0.76%. On the other hand, the Dow registered a loss of 0.28%, and the technology-centric Nasdaq decreased by 1.2%.
Shares of the property and casualty insurer witnessed a gain of 1.83% over the previous month, trailing the performance of the Finance sector with its gain of 4.85% and the S&P 500's gain of 2.71%.
Investors will be eagerly watching for the performance of Arch Capital Group in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on February 10, 2025. The company's upcoming EPS is projected at $1.85, signifying a 25.7% drop compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $4.23 billion, showing a 15.22% escalation compared to the year-ago quarter.
Any recent changes to analyst estimates for Arch Capital Group should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional 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 last 30 days, the Zacks Consensus EPS estimate has witnessed a 1.42% decrease. Arch Capital Group is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Arch Capital Group is currently trading at a Forward P/E ratio of 10.34. This indicates a discount in contrast to its industry's Forward P/E of 11.18.
One should further note that ACGL currently holds a PEG ratio of 1.52. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. By the end of yesterday's trading, the Insurance - Property and Casualty industry had an average PEG ratio of 1.5.
The Insurance - Property and Casualty industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 149, which puts it in the bottom 41% 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 follow all of these stock-moving metrics, and many more, on Zacks.com.
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