Confluence Investment Management LLC Reduces Stock Holdings in Arch Capital Group Ltd. $ACGL

Key Points

• Confluence Investment Management LLC reduced its stake in Arch Capital Group Ltd. by 1.1%, owning 396,398 shares valued at approximately $36.1 million after selling 4,299 shares in the second quarter.
• Analysts have mixed ratings for Arch Capital Group, with Citigroup maintaining a buy rating and setting a target price of $113.00, while others have lowered their price targets.
• Arch Capital Group reported $2.58 earnings per share for the last quarter, exceeding estimates, with a market capitalization of $34.43 billion.

Confluence Investment Management LLC cut its holdings in shares of Arch Capital Group Ltd. (NASDAQ:ACGL - Free Report) by 1.1% in the second quarter, according to its most recent filing with the Securities and Exchange Commission. The fund owned 396,398 shares of the insurance provider's stock after selling 4,299 shares during the quarter. Confluence Investment Management LLC owned 0.11% of Arch Capital Group worth $36,092,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors have also made changes to their positions in ACGL. Park National Corp OH grew its stake in Arch Capital Group by 4.4% in the 2nd quarter. Park National Corp OH now owns 2,870 shares of the insurance provider's stock valued at $261,000 after acquiring an additional 120 shares during the period. Harbor Investment Advisory LLC raised its holdings in Arch Capital Group by 17.6% in the 2nd quarter. Harbor Investment Advisory LLC now owns 3,761 shares of the insurance provider's stock valued at $342,000 after buying an additional 562 shares during the period. Swedbank AB raised its holdings in Arch Capital Group by 7.8% in the 1st quarter. Swedbank AB now owns 1,360,830 shares of the insurance provider's stock valued at $130,885,000 after buying an additional 98,873 shares during the period. Voya Investment Management LLC raised its holdings in Arch Capital Group by 1.7% in the 1st quarter. Voya Investment Management LLC now owns 121,260 shares of the insurance provider's stock valued at $11,663,000 after buying an additional 2,055 shares during the period. Finally, eCIO Inc. acquired a new position in Arch Capital Group in the 1st quarter valued at about $306,000. Institutional investors and hedge funds own 89.07% of the company's stock.

Insider Buying and Selling

In other Arch Capital Group news, insider Maamoun Rajeh sold 10,000 shares of the firm's stock in a transaction on Friday, August 22nd. The stock was sold at an average price of $94.15, for a total value of $941,500.00. Following the completion of the sale, the insider owned 433,589 shares of the company's stock, valued at approximately $40,822,404.35. This trade represents a 2.25% 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. Company insiders own 4.20% of the company's stock.

Wall Street Analysts Forecast Growth

Several equities analysts have weighed in on ACGL shares. Cowen reaffirmed a "buy" rating on shares of Arch Capital Group in a research report on Monday, August 4th. Wolfe Research assumed coverage on Arch Capital Group in a research report on Monday. They set a "peer perform" rating for the company. Cantor Fitzgerald raised Arch Capital Group to a "hold" rating in a research report on Wednesday, August 13th. Jefferies Financial Group downgraded Arch Capital Group from a "buy" rating to a "hold" rating and lowered their price objective for the stock from $106.00 to $100.00 in a research report on Tuesday, June 10th. Finally, Keefe, Bruyette & Woods boosted their price objective on Arch Capital Group from $102.00 to $103.00 and gave the stock a "market perform" rating in a research report on Thursday, August 14th. Nine research analysts have rated the stock with a Buy rating and eight have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $111.27.

Arch Capital Group Stock Performance

Shares of NASDAQ ACGL traded up $1.23 during mid-day trading on Thursday, hitting $88.58. 1,035,365 shares of the company were exchanged, compared to its average volume of 1,924,143. 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 stock has a 50 day simple moving average of $89.78 and a 200-day simple moving average of $91.30. Arch Capital Group Ltd. has a 1-year low of $82.49 and a 1-year high of $116.47. The firm has a market cap of $33.06 billion, a price-to-earnings ratio of 9.13, a price-to-earnings-growth ratio of 5.35 and a beta of 0.51.

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

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.