Arch Capital Group Ltd.ACGL
NasdaqGS•Financial Services•Insurance - Diversified
Arch Capital Group Ltd., together with its subsidiaries, provides insurance, reinsurance, and mortgage insurance products in the United States, Canada, Bermuda, the United Kingdom, Europe, and Australia. The company operates through three segments: Insurance, Reinsurance, and Mortgage. The Insurance segment offers commercial automobile; commercial multiperil; financial and professional line liability; admitted, excess, and surplus casualty lines; property and short-tail specialty; workers compensation; and casualty insurance. Its Reinsurance segment provides reinsurance products for casualty; marine and aviation; property catastrophe; property excluding property catastrophe; and other specialty products. The Mortgage segment offers U.S. primary mortgage insurance business written predominantly on loans sold to the Federal National Mortgage Association and Federal Home Loan Mortgage Corporation; reinsurance and underwriting services related to the U.S. credit-risk transfer business and other U.S. mortgage reinsurance transactions; and international mortgage insurance and reinsurance business covering loans. It markets its products through a group of licensed independent retail and wholesale brokers. The company was formerly known as Risk Capital Holdings, Inc. Arch Capital Group Ltd. was founded in 1995 and is headquartered in Pembroke, Bermuda.
Arch Capital Group Ltd. (ACGL) reported trailing twelve months revenue of $19.78B as of March 2026, a 10.6% decline year-over-year. Quarterly revenue reached $4.52B, reflecting a contraction in sales.
Arch Capital Group Ltd. generated $4.87B in TTM net income, with quarterly EBITDA of $1.15B. The operating margin expanded from 14.9% to 25.3%, suggesting improving cost efficiency and pricing discipline.
The spread between operating margin (25.3%) and net margin (23.2%) indicates tight cost control with minimal non-operating drag. Net margin has improved from 12.3% a year ago, signaling stronger bottom-line efficiency.
ACGL trades at a P/E of 6.9x (below the broader market average) and a P/S of 1.7x. The price-to-book ratio of 1.4x reflects a moderate premium to book value.
The company generated $1.18B in free cash flow over the trailing twelve months, a 18.6% decrease year-over-year, indicating cash generation ability. The balance sheet shows $81.45B in total assets with no in long-term debt against $24.19B in stockholders equity. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are expanding at ~26.7%, suggesting durable pricing power and cost discipline.
Consistently high ROE averaging 23.4% suggests a durable competitive advantage and efficient capital allocation.
8 of the last 8 quarters generated positive FCF. The company generally funds itself but has occasional cash consumption quarters.
Revenue shows resilience with 5 of 7 quarters posting growth — demand is generally stable but has seen some soft patches.
Data-driven red flags and warnings across 21 quarters
Margins are stable or improving at ~28.3% — no sign of cost or pricing stress.
FCF covers net income by 1.3x on average — earnings are well-supported by cash generation.
Limited debt-to-equity data available.
Revenue is stable or growing over recent quarters — demand appears durable.
Free cash flow is consistently positive — the business self-funds without external capital reliance.
Shares decreased 4.8% — net buybacks are reducing shares outstanding and boosting per-share value.
Quarterly standardized metrics.
Stock price and market valuation
Revenue and earnings growth across quarters
Assets, cash, debt, and leverage
Price multiples and return ratios
Operating efficiency and return metrics
Free cash flow, earnings quality, and capital allocation