Jacobs Levy Equity Management Inc. Lowers Stock Position in Arch Capital Group Ltd. $ACGL

Key Points

• Jacobs Levy Equity Management Inc. has significantly reduced its stake in Arch Capital Group Ltd., selling 77,363 shares, which represents a 68.1% decrease during the first quarter, leading to ownership of only 36,169 shares valued at approximately $3.48 million.
• Insider trading activity was noted, as Maamoun Rajeh sold 10,000 shares at an average price of $94.15, reducing their total holdings to 433,589 shares.
• Despite a recent downturn of 1.4% in share price, Arch Capital Group reported strong quarterly earnings with $2.58 EPS, surpassing analysts' expectations and indicating a solid financial performance.

Jacobs Levy Equity Management Inc. trimmed its holdings in shares of Arch Capital Group Ltd. (NASDAQ:ACGL - Free Report) by 68.1% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 36,169 shares of the insurance provider's stock after selling 77,363 shares during the quarter. Jacobs Levy Equity Management Inc.'s holdings in Arch Capital Group were worth $3,479,000 at the end of the most recent quarter.

Other institutional investors have also recently added to or reduced their stakes in the company. Mirae Asset Global Investments Co. Ltd. grew its holdings in Arch Capital Group by 14.1% during the 1st quarter. Mirae Asset Global Investments Co. Ltd. now owns 51,804 shares of the insurance provider's stock worth $4,924,000 after acquiring an additional 6,406 shares during the last quarter. DAVENPORT & Co LLC bought a new position in Arch Capital Group during the first quarter worth $251,000. D.A. Davidson & CO. raised its holdings in Arch Capital Group by 10.9% during the first quarter. D.A. Davidson & CO. now owns 45,552 shares of the insurance provider's stock worth $4,381,000 after buying an additional 4,460 shares during the last quarter. Crossmark Global Holdings Inc. raised its holdings in Arch Capital Group by 24.7% during the first quarter. Crossmark Global Holdings Inc. now owns 37,625 shares of the insurance provider's stock worth $3,619,000 after buying an additional 7,448 shares during the last quarter. Finally, World Investment Advisors raised its holdings in Arch Capital Group by 114.1% during the first quarter. World Investment Advisors now owns 6,321 shares of the insurance provider's stock worth $608,000 after buying an additional 3,369 shares during the last quarter. 89.07% of the stock is owned by institutional investors.

Arch Capital Group Stock Performance

NASDAQ:ACGL traded down $0.03 on Friday, reaching $92.26. 1,256,486 shares of the company's stock were exchanged, compared to its average volume of 1,757,837. The company has a debt-to-equity ratio of 0.16, a current ratio of 0.56 and a quick ratio of 0.56. The firm has a market cap of $34.43 billion, a price-to-earnings ratio of 9.52, a P/E/G ratio of 5.65 and a beta of 0.51. Arch Capital Group Ltd. has a 52 week low of $82.49 and a 52 week high of $116.47. The stock has a fifty day simple moving average of $89.83 and a 200-day simple moving average of $91.37.

Arch Capital Group (NASDAQ:ACGL - Get Free Report) last issued its earnings results on Tuesday, July 29th. The insurance provider reported $2.58 earnings per share for the quarter, topping analysts' consensus estimates of $2.30 by $0.28. The firm had revenue of $4.35 billion during the quarter, compared to analyst estimates of $4.29 billion. Arch Capital Group had a net margin of 19.49% and a return on equity of 15.33%. During the same quarter last year, the business earned $2.57 earnings per share. As a group, sell-side analysts predict that Arch Capital Group Ltd. will post 8.42 earnings per share for the current year.

Insiders Place Their Bets

In other Arch Capital Group news, insider Maamoun Rajeh sold 10,000 shares of the stock in a transaction dated Friday, August 22nd. The shares were sold at an average price of $94.15, for a total transaction of $941,500.00. Following the completion of the transaction, the insider owned 433,589 shares in the company, valued at $40,822,404.35. This trade represents a 2.25% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. 4.20% of the stock is owned by corporate insiders.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on ACGL shares. Cowen restated a "buy" rating on shares of Arch Capital Group in a report on Monday, August 4th. Citigroup started coverage on shares of Arch Capital Group in a report on Wednesday, August 13th. They set a "buy" rating and a $113.00 price target on the stock. UBS Group restated a "buy" rating and set a $118.00 price target (down from $124.00) on shares of Arch Capital Group in a report on Monday, August 4th. Jefferies Financial Group cut shares of Arch Capital Group from a "buy" rating to a "hold" rating and cut their price target for the stock from $106.00 to $100.00 in a report on Tuesday, June 10th. Finally, Cantor Fitzgerald upgraded shares of Arch Capital Group to a "hold" rating in a report on Wednesday, August 13th. Nine analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $111.27.

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.