Arch Capital Group (NASDAQ:ACGL) Reaches New 52-Week High After Earnings Beat

Arch Capital Group Ltd. (NASDAQ:ACGL - Get Free Report)'s stock price hit a new 52-week high during mid-day trading on Wednesday following a better than expected earnings announcement. The stock traded as high as $95.62 and last traded at $94.81, with a volume of 97423 shares traded. The stock had previously closed at $93.54.

The insurance provider reported $2.45 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.06 by $0.39. Arch Capital Group had a return on equity of 23.02% and a net margin of 33.65%. The business had revenue of $4.09 billion during the quarter, compared to analyst estimates of $3.77 billion. During the same quarter last year, the firm earned $1.73 earnings per share. The company's revenue for the quarter was up 19.3% compared to the same quarter last year.

Analyst Ratings Changes

A number of equities research analysts have recently issued reports on the company. Deutsche Bank Aktiengesellschaft increased their target price on Arch Capital Group from $103.00 to $110.00 and gave the company a "buy" rating in a research note on Tuesday. Morgan Stanley raised their price objective on Arch Capital Group from $104.00 to $109.00 and gave the company an "overweight" rating in a research note on Monday, April 15th. Citigroup lowered their price objective on Arch Capital Group from $91.00 to $89.00 and set a "neutral" rating for the company in a research note on Monday, January 22nd. Wells Fargo & Company raised their price objective on Arch Capital Group from $109.00 to $110.00 and gave the company an "overweight" rating in a research note on Wednesday. Finally, JPMorgan Chase & Co. raised their price objective on Arch Capital Group from $88.00 to $92.00 and gave the company a "neutral" rating in a research note on Monday, April 8th. Four research analysts have rated the stock with a hold rating and eleven have issued a buy rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $100.67.

Insider Buying and Selling

In related news, CFO Francois Morin sold 25,689 shares of the firm's stock in a transaction that occurred on Thursday, March 7th. The stock was sold at an average price of $87.47, for a total value of $2,247,016.83. Following the sale, the chief financial officer now owns 221,779 shares of the company's stock, valued at approximately $19,399,009.13. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. In other Arch Capital Group news, CEO Maamoun Rajeh sold 50,000 shares of Arch Capital Group stock in a transaction on Tuesday, March 5th. The stock was sold at an average price of $87.48, for a total transaction of $4,374,000.00. Following the sale, the chief executive officer now owns 336,170 shares of the company's stock, valued at approximately $29,408,151.60. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO Francois Morin sold 25,689 shares of Arch Capital Group stock in a transaction on Thursday, March 7th. The shares were sold at an average price of $87.47, for a total value of $2,247,016.83. Following the sale, the chief financial officer now directly owns 221,779 shares in the company, valued at approximately $19,399,009.13. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 135,689 shares of company stock valued at $11,872,217. Insiders own 4.20% of the company's stock.

Institutional Trading of Arch Capital Group

Several hedge funds have recently added to or reduced their stakes in ACGL. Commonwealth Equity Services LLC raised its stake in Arch Capital Group by 109.3% during the 3rd quarter. Commonwealth Equity Services LLC now owns 45,198 shares of the insurance provider's stock valued at $3,603,000 after acquiring an additional 23,607 shares in the last quarter. Robeco Institutional Asset Management B.V. increased its position in shares of Arch Capital Group by 5.8% during the 3rd quarter. Robeco Institutional Asset Management B.V. now owns 1,122,667 shares of the insurance provider's stock valued at $89,488,000 after purchasing an additional 61,068 shares during the period. Dakota Wealth Management increased its position in shares of Arch Capital Group by 21.1% during the 3rd quarter. Dakota Wealth Management now owns 7,909 shares of the insurance provider's stock valued at $630,000 after purchasing an additional 1,380 shares during the period. Stratos Wealth Partners LTD. increased its position in shares of Arch Capital Group by 4.7% during the 3rd quarter. Stratos Wealth Partners LTD. now owns 13,011 shares of the insurance provider's stock valued at $1,037,000 after purchasing an additional 585 shares during the period. Finally, Mn Services Vermogensbeheer B.V. increased its position in shares of Arch Capital Group by 2.8% during the 3rd quarter. Mn Services Vermogensbeheer B.V. now owns 182,300 shares of the insurance provider's stock valued at $14,531,000 after purchasing an additional 4,900 shares during the period. Institutional investors own 89.07% of the company's stock.

Arch Capital Group Trading Up 2.4 %

The company has a market capitalization of $35.94 billion, a price-to-earnings ratio of 8.24, a PEG ratio of 1.14 and a beta of 0.57. The firm has a 50-day moving average price of $90.60 and a 200-day moving average price of $84.56. The company has a current ratio of 0.57, a quick ratio of 0.57 and a debt-to-equity ratio of 0.17.

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.