Jefferies Financial Group Inc. Buys 59,069 Shares of Arch Capital Group Ltd. (NASDAQ:ACGL)

Key Points

• Jefferies Financial Group Inc. increased its stake in Arch Capital Group Ltd. by 723.6%, acquiring a total of 67,232 shares valued at over $6 million during the first quarter.
• Insider selling included CFO Francois Morin, who sold 12,630 shares for approximately $1.19 million, representing a 4.4% decrease in his ownership.
• Arch Capital Group posted earnings per share of $2.58 for the last quarter, exceeding analysts' estimates and demonstrating continued strong performance.

Jefferies Financial Group Inc. grew its stake in shares of Arch Capital Group Ltd. (NASDAQ:ACGL - Free Report) by 723.6% during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 67,232 shares of the insurance provider's stock after acquiring an additional 59,069 shares during the quarter. Jefferies Financial Group Inc.'s holdings in Arch Capital Group were worth $6,466,000 as of its most recent SEC filing.

Other hedge funds have also bought and sold shares of the company. First Trust Advisors LP increased its position in shares of Arch Capital Group by 663.3% in the fourth quarter. First Trust Advisors LP now owns 2,462,382 shares of the insurance provider's stock valued at $227,401,000 after buying an additional 2,139,782 shares in the last quarter. Marshall Wace LLP purchased a new stake in shares of Arch Capital Group during the fourth quarter worth about $151,342,000. GAMMA Investing LLC boosted its holdings in Arch Capital Group by 10,817.9% in the 1st quarter. GAMMA Investing LLC now owns 806,181 shares of the insurance provider's stock worth $775,380,000 after buying an additional 798,797 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its position in shares of Arch Capital Group by 17.1% in the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 3,576,223 shares of the insurance provider's stock valued at $330,264,000 after acquiring an additional 522,484 shares in the last quarter. Finally, Deutsche Bank AG increased its position in shares of Arch Capital Group by 31.1% during the fourth quarter. Deutsche Bank AG now owns 2,098,619 shares of the insurance provider's stock worth $193,807,000 after purchasing an additional 498,426 shares in the last quarter. Institutional investors and hedge funds own 89.07% of the company's stock.

Arch Capital Group Stock Performance

Shares of NASDAQ:ACGL traded up $1.01 on Wednesday, reaching $89.67. 981,630 shares of the company's stock were exchanged, compared to its average volume of 1,920,943. The firm has a market capitalization of $33.60 billion, a price-to-earnings ratio of 9.25, a PEG ratio of 6.63 and a beta of 0.49. Arch Capital Group Ltd. has a fifty-two week low of $82.49 and a fifty-two week high of $116.47. 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 business's 50-day moving average is $90.14 and its two-hundred day moving average is $91.50.

Arch Capital Group (NASDAQ:ACGL - Get Free Report) last announced its quarterly earnings results on Tuesday, July 29th. The insurance provider reported $2.58 EPS for the quarter, beating the consensus estimate of $2.30 by $0.28. The company had revenue of $4.35 billion for 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, equities research analysts forecast that Arch Capital Group Ltd. will post 8.42 EPS for the current year.

Insider Activity at Arch Capital Group

In related news, CFO Francois Morin sold 12,630 shares of Arch Capital Group stock in a transaction dated Friday, May 16th. The stock was sold at an average price of $94.58, for a total value of $1,194,545.40. Following the transaction, the chief financial officer owned 274,681 shares of the company's stock, valued at approximately $25,979,328.98. This trade represents a 4.40% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider John M. Pasquesi sold 75,060 shares of the company's stock in a transaction that occurred on Monday, May 12th. The shares were sold at an average price of $94.01, for a total transaction of $7,056,390.60. Following the completion of the sale, the insider owned 579,218 shares of the company's stock, valued at approximately $54,452,284.18. This trade represents a 11.47% decrease in their position. The disclosure for this sale can be found here. Insiders sold 104,340 shares of company stock valued at $9,824,861 over the last 90 days. 4.10% of the stock is currently owned by corporate insiders.

Analysts Set New Price Targets

Several research analysts have recently weighed in on ACGL shares. Morgan Stanley set a $110.00 target price on Arch Capital Group and gave the stock an "overweight" rating in a report on Monday, May 19th. JPMorgan Chase & Co. increased their price target on Arch Capital Group from $106.00 to $107.00 and gave the company a "neutral" rating in a research report on Tuesday, April 8th. Barclays decreased their price target on Arch Capital Group from $100.00 to $93.00 and set an "equal weight" rating for the company in a report on Friday, April 11th. UBS Group restated a "buy" rating and set a $118.00 target price (down previously from $124.00) on shares of Arch Capital Group in a research note on Monday. Finally, JMP Securities reiterated 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. Eight analysts have rated the stock with a hold rating and nine have given a buy rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $113.07.

Arch Capital Group Profile

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.