Wells Fargo & Company Forecasts Strong Price Appreciation for Arch Capital Group (NASDAQ:ACGL) Stock

Key Points

• Wells Fargo & Company raised the price target for Arch Capital Group (ACGL) from $107.00 to $111.00, indicating a potential upside of 17.68%.
• Arch Capital Group's stock has received various ratings; eight analysts rated it as a Buy and nine provided a Hold rating, with an average price target of $110.07.
• The company reported earnings of $2.58 per share in its last quarter, exceeding analyst estimates, and had a revenue of $4.35 billion for the same period.

Arch Capital Group (NASDAQ:ACGL - Get Free Report) had its price target upped by Wells Fargo & Company from $107.00 to $111.00 in a research note issued to investors on Wednesday,Benzinga reports. The brokerage presently has an "overweight" rating on the insurance provider's stock. Wells Fargo & Company's target price would indicate a potential upside of 17.68% from the stock's current price.

ACGL has been the topic of a number of other reports. Citigroup assumed coverage on Arch Capital Group in a research report on Wednesday, August 13th. They set a "buy" rating and a $113.00 target price on the stock. UBS Group reaffirmed a "buy" rating and set a $118.00 target price (down from $124.00) on shares of Arch Capital Group in a research report on Monday, August 4th. Jefferies Financial Group lowered Arch Capital Group from a "buy" rating to a "hold" rating and lowered their target price for the stock from $106.00 to $100.00 in a research report on Tuesday, June 10th. Barclays set a $99.00 target price on Arch Capital Group in a research report on Wednesday. Finally, Cowen reaffirmed a "buy" rating on shares of Arch Capital Group in a research report on Monday, August 4th. Eight equities research analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus price target of $110.07.

Arch Capital Group Trading Up 0.2%

Shares of NASDAQ:ACGL traded up $0.22 during midday trading on Wednesday, hitting $94.32. 224,565 shares of the stock were exchanged, compared to its average volume of 1,932,932. The stock has a market capitalization of $35.20 billion, a price-to-earnings ratio of 9.73, a P/E/G ratio of 5.58 and a beta of 0.47. The company has a debt-to-equity ratio of 0.16, a quick ratio of 0.56 and a current ratio of 0.56. The business's 50-day moving average price is $90.27 and its 200 day moving average price is $91.12. Arch Capital Group has a 12 month low of $82.49 and a 12 month high of $116.40.

Arch Capital Group (NASDAQ:ACGL - Get Free Report) last posted its quarterly earnings data on Tuesday, July 29th. The insurance provider reported $2.58 EPS for the quarter, topping analysts' consensus estimates 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 company had revenue of $4.35 billion for the quarter, compared to analyst estimates of $4.29 billion. During the same period in the previous year, the firm earned $2.57 earnings per share. Analysts predict that Arch Capital Group will post 8.42 earnings per share for the current year.

Insider Transactions at Arch Capital Group

In other Arch Capital Group news, insider Maamoun Rajeh sold 10,000 shares of the company'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 transaction, the insider owned 433,589 shares in the company, valued at $40,822,404.35. This represents a 2.25% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. 4.10% of the stock is owned by company insiders.

Institutional Investors Weigh In On Arch Capital Group

Several large investors have recently added to or reduced their stakes in ACGL. Harbour Investments Inc. lifted its stake in shares of Arch Capital Group by 8.4% during the first quarter. Harbour Investments Inc. now owns 1,431 shares of the insurance provider's stock worth $138,000 after purchasing an additional 111 shares in the last quarter. TD Waterhouse Canada Inc. increased its holdings in Arch Capital Group by 31.4% in the second quarter. TD Waterhouse Canada Inc. now owns 469 shares of the insurance provider's stock valued at $43,000 after buying an additional 112 shares during the last quarter. Crescent Grove Advisors LLC grew its holdings in shares of Arch Capital Group by 3.1% during the second quarter. Crescent Grove Advisors LLC now owns 3,702 shares of the insurance provider's stock valued at $337,000 after purchasing an additional 112 shares during the last quarter. Resonant Capital Advisors LLC boosted its position in shares of Arch Capital Group by 1.7% during the first quarter. Resonant Capital Advisors LLC now owns 6,672 shares of the insurance provider's stock worth $642,000 after buying an additional 113 shares during the period. Finally, Venturi Wealth Management LLC boosted its position in shares of Arch Capital Group by 0.9% during the first quarter. Venturi Wealth Management LLC now owns 13,228 shares of the insurance provider's stock worth $1,272,000 after buying an additional 115 shares during the period. Hedge funds and other institutional investors own 89.07% of the company's stock.

Arch Capital Group Company 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.

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