Arch Capital Group Ltd. (NASDAQ:ACGL) Given Consensus Rating of "Hold" by Analysts

Key Points

• Analysts' consensus: 18 analysts rate Arch Capital an average of "Hold" (1 sell, 8 hold, 9 buy) with a 1-year price target of $109.40.
• Quarterly beat: Arch reported Q4 EPS of $2.98 versus $2.34 expected and revenue of $4.93B versus $3.94B, with a 22.07% net margin and 16.73% ROE.
• Insider selling and institutional ownership: Insiders sold 78,267 shares worth $7.29M in the past three months (insiders own 4.20%), while hedge funds and other institutions own about 89.07% of the stock.

Shares of Arch Capital Group Ltd. (NASDAQ:ACGL - Get Free Report) have been assigned an average rating of "Hold" from the eighteen ratings firms that are covering the firm, MarketBeat reports. One analyst has rated the stock with a sell rating, eight have issued a hold rating and nine have given a buy rating to the company. The average 1-year price target among analysts that have updated their coverage on the stock in the last year is $109.40.

A number of equities research analysts have recently issued reports on the stock. UBS Group restated a "buy" rating and set a $114.00 price target (up from $113.00) on shares of Arch Capital Group in a report on Tuesday, February 17th. The Goldman Sachs Group restated a "sell" rating and set a $93.00 price target (up from $84.00) on shares of Arch Capital Group in a report on Wednesday, January 7th. Cantor Fitzgerald restated a "neutral" rating and set a $100.00 price target (up from $97.00) on shares of Arch Capital Group in a report on Tuesday, February 17th. Weiss Ratings upgraded shares of Arch Capital Group from a "hold (c+)" rating to a "buy (b-)" rating in a report on Wednesday, February 4th. Finally, Royal Bank Of Canada boosted their price target on shares of Arch Capital Group from $108.00 to $115.00 and gave the company an "outperform" rating in a report on Wednesday, February 11th.

Insider Activity

In other news, Director Brian S. Posner sold 3,000 shares of the business's stock in a transaction that occurred on Wednesday, March 11th. The shares were sold at an average price of $17.11, for a total transaction of $51,330.00. Following the sale, the director owned 2,000 shares in the company, valued at $34,220. The trade was a 60.00% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider David Gansberg sold 5,907 shares of the business's stock in a transaction that occurred on Tuesday, March 10th. The shares were sold at an average price of $96.37, for a total transaction of $569,257.59. Following the transaction, the insider directly owned 336,559 shares in the company, valued at $32,434,190.83. The trade was a 1.72% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 78,267 shares of company stock worth $7,291,637 over the last three months. 4.20% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Hsbc Holdings PLC grew its position in Arch Capital Group by 4.8% during the fourth quarter. Hsbc Holdings PLC now owns 389,698 shares of the insurance provider's stock valued at $37,551,000 after purchasing an additional 17,832 shares in the last quarter. World Investment Advisors grew its position in Arch Capital Group by 19.8% during the fourth quarter. World Investment Advisors now owns 6,930 shares of the insurance provider's stock valued at $665,000 after purchasing an additional 1,145 shares in the last quarter. Meadowbrook Advisors Group LLC purchased a new position in Arch Capital Group during the fourth quarter valued at approximately $1,319,000. Pure Financial Advisors LLC purchased a new position in Arch Capital Group during the fourth quarter valued at approximately $207,000. Finally, Caitong International Asset Management Co. Ltd grew its position in Arch Capital Group by 95.3% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 1,701 shares of the insurance provider's stock valued at $163,000 after purchasing an additional 830 shares in the last quarter. 89.07% of the stock is owned by hedge funds and other institutional investors.

Arch Capital Group Stock Down 2.9%

ACGL stock opened at $95.97 on Friday. Arch Capital Group has a 52-week low of $82.44 and a 52-week high of $103.39. The company's 50 day simple moving average is $96.93 and its 200-day simple moving average is $93.69. The company has a debt-to-equity ratio of 0.13, a current ratio of 0.53 and a quick ratio of 0.53. The firm has a market capitalization of $34.19 billion, a P/E ratio of 8.26, a P/E/G ratio of 3.92 and a beta of 0.41.

Arch Capital Group (NASDAQ:ACGL - Get Free Report) last released its quarterly earnings results on Monday, February 9th. The insurance provider reported $2.98 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.34 by $0.64. Arch Capital Group had a net margin of 22.07% and a return on equity of 16.73%. The business had revenue of $4.93 billion for the quarter, compared to analyst estimates of $3.94 billion. During the same quarter in the previous year, the business earned $2.26 earnings per share. As a group, equities research analysts anticipate that Arch Capital Group will post 8.42 EPS for the current year.

About Arch Capital Group

Arch Capital Group Ltd. NASDAQ: ACGL is a Bermuda-based insurance and reinsurance holding company that underwrites a broad range of property and casualty, mortgage, and specialty risk products. The company operates through a group of underwriting subsidiaries and platforms to provide insurance, reinsurance and related risk solutions tailored to commercial, institutional and individual clients.

Arch's product mix includes treaty and facultative reinsurance, primary casualty and property insurance, mortgage insurance and other specialty lines.

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