Arch Capital Group Ltd. (NASDAQ:ACGL) Given Average Rating of "Moderate Buy" by Analysts

Key Points

• Arch Capital Group Ltd. has received a consensus rating of "Moderate Buy" from fifteen analysts, with eight recommending a buy and seven suggesting a hold.
• The company's stock has a 52-week range of $82.49 to $116.47 and opened at $88.51, with a market capitalization of $33.17 billion.
• In recent quarterly results, Arch Capital reported $2.58 earnings per share, surpassing expectations of $2.30, alongside a net margin of 19.49% and revenue of $4.35 billion.

Shares of Arch Capital Group Ltd. (NASDAQ:ACGL - Get Free Report) have received an average rating of "Moderate Buy" from the fifteen brokerages that are currently covering the stock, MarketBeat reports. Seven research analysts have rated the stock with a hold recommendation and eight have issued a buy recommendation on the company. The average twelve-month target price among brokerages that have issued ratings on the stock in the last year is $113.00.

Several equities analysts have recently issued reports on the company. Wells Fargo & Company reduced their price objective on Arch Capital Group from $110.00 to $107.00 and set an "overweight" rating for the company in a research report on Thursday, July 31st. JMP Securities reissued a "market outperform" rating and issued a $125.00 price target on shares of Arch Capital Group in a research note on Wednesday, April 30th. Barclays lowered their price target on Arch Capital Group from $100.00 to $93.00 and set an "equal weight" rating on the stock in a report on Friday, April 11th. Keefe, Bruyette & Woods reaffirmed a "market perform" rating and issued a $101.00 price objective (down previously from $113.00) on shares of Arch Capital Group in a report on Wednesday, July 9th. Finally, UBS Group decreased their target price on shares of Arch Capital Group from $124.00 to $118.00 and set a "buy" rating for the company in a research report on Monday.

Arch Capital Group Stock Performance

Shares of NASDAQ ACGL opened at $88.51 on Tuesday. The company has a quick ratio of 0.56, a current ratio of 0.56 and a debt-to-equity ratio of 0.16. The firm's 50-day moving average price is $90.26 and its two-hundred day moving average price is $91.52. Arch Capital Group has a 52-week low of $82.49 and a 52-week high of $116.47. The stock has a market capitalization of $33.17 billion, a P/E ratio of 9.13, a P/E/G ratio of 6.68 and a beta of 0.49.

Arch Capital Group (NASDAQ:ACGL - Get Free Report) last announced its quarterly earnings results on Tuesday, July 29th. The insurance provider reported $2.58 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.30 by $0.28. Arch Capital Group had a net margin of 19.49% and a return on equity of 15.33%. The company had revenue of $4.35 billion during the quarter, compared to the consensus estimate of $4.29 billion. During the same quarter in the previous year, the company posted $2.57 earnings per share. As a group, sell-side analysts forecast that Arch Capital Group will post 8.42 earnings per share for the current year.

Insiders Place Their Bets

In other news, insider Louis T. Petrillo sold 16,650 shares of the stock in a transaction on Friday, May 9th. The stock was sold at an average price of $94.53, for a total transaction of $1,573,924.50. Following the completion of the sale, the insider owned 140,023 shares in the company, valued at approximately $13,236,374.19. This represents a 10.63% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider John M. Pasquesi sold 75,060 shares of the firm's stock in a transaction on Monday, May 12th. The stock was sold at an average price of $94.01, for a total value of $7,056,390.60. Following the sale, the insider directly owned 579,218 shares of the company's stock, valued at approximately $54,452,284.18. This represents a 11.47% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 104,340 shares of company stock worth $9,824,861. 4.10% of the stock is owned by insiders.

Hedge Funds Weigh In On Arch Capital Group

A number of institutional investors have recently bought and sold shares of the stock. JPMorgan Chase & Co. boosted its position in shares of Arch Capital Group by 30.5% in the first quarter. JPMorgan Chase & Co. now owns 7,470,591 shares of the insurance provider's stock worth $718,522,000 after buying an additional 1,743,945 shares during the period. Northern Trust Corp grew its stake in Arch Capital Group by 3.0% during the 1st quarter. Northern Trust Corp now owns 5,005,790 shares of the insurance provider's stock valued at $481,457,000 after acquiring an additional 144,986 shares in the last quarter. Nuveen Asset Management LLC increased its holdings in shares of Arch Capital Group by 1.9% in the 4th quarter. Nuveen Asset Management LLC now owns 4,888,997 shares of the insurance provider's stock valued at $451,499,000 after purchasing an additional 93,226 shares during the period. Madison Asset Management LLC increased its holdings in shares of Arch Capital Group by 9.0% in the 1st quarter. Madison Asset Management LLC now owns 4,837,602 shares of the insurance provider's stock valued at $465,281,000 after purchasing an additional 397,857 shares during the period. Finally, Egerton Capital UK LLP lifted its position in shares of Arch Capital Group by 8.5% in the first quarter. Egerton Capital UK LLP now owns 4,325,217 shares of the insurance provider's stock worth $415,999,000 after purchasing an additional 337,245 shares in the last quarter. Hedge funds and other institutional investors own 89.07% of the company's stock.

About Arch Capital Group

Arch Capital Group Ltd., together with its subsidiaries, provides insurance, reinsurance, and mortgage insurance products worldwide. The company's Insurance segment offers primary and excess casualty coverages; loss sensitive primary casualty insurance programs; directors' and officers' liability, errors and omissions liability, employment practices and fiduciary liability, crime, professional indemnity, and other financial related coverages; medical professional and general liability insurance coverages; and workers' compensation and umbrella liability, as well as commercial automobile and inland marine products.

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