The stock of Arch Capital Group Ltd. (NASDAQ:ACGL) increased by $1.56 on Tuesday to finish at $75.75, up 2.10 percent. The last five days have seen an average of 1,580,660 shares of common stock traded. 36 times new highs were reached in the current year, with a gain of $12.97. The average number of shares traded over the last 20 days was 1,518,215, while the average volume over the last 50 days totaled 1,959,930.
ACGL stock dropped -2.50% since last month. On 08/18/23, the company’s shares reached a one-month low of $73.50. The stock touched a high of $84.83 on 07/27/23, after rallying from a low of $41.05 in 52 weeks. The price of ACGL stock has risen by 20.66% or $12.97 this year, reaching a new high 36 times. Still, the stock price is down -10.70% from the 52-week high.
Insider Transactions
ACGL stock investors should be aware that Arch Capital Group Ltd. (ACGL) stock had its last reported insider trading activity 103 days ago on May 19. On May 19, CEO GRANDISSON MARC sold 200,000 shares at $76.10 each. This transaction resulted in the insider making $15,220,920. On May 10, PETRILLO LOUIS T sold 15,406 shares at a price of US$76.79. After the transaction, the insider now owns 105,254 shares. CHAIRMAN & CEO ARCH RE GROUP Rajeh Maamoun had earlier sold 40,000 shares on May 09 for $76.41 a share. The transaction was completed for $3,056,200.
Valuation Metrics
Arch Capital Group Ltd. (ACGL) has a trailing price-to-earnings (P/E) ratio of 12.85. Beta for the stock is 0.73. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 2.46, the price-to-book (PB) ratio of 2.02, and the price-to-cash flow ratio of 6.46.
Financial Health
The company’s long-term debt to equity ratio for the quarter ending June 29 is 0.20, and the total debt to equity ratio is 0.20. Arch Capital Group Ltd.’s operating margin stood at 19.70% for the same period. Based on annual data, it had gross profit of $1.56 billion and revenue of $9.61 billion.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. ACGL’s return on assets (ROA) during the last 12 months has been 4.50%. There was a 8.90% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was 17.80%.
Earnings Surprise
According to Arch Capital Group Ltd.’s quarterly financial report for the quarter that ended June 29. A lower net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $3.16 billion, while revenues rose by 29.95% to $3.17 billion. It was predicted that Arch Capital Group Ltd.’s quarterly earnings would be $1.92, but it ended up being $1.58, beating the consensus by 21.50%. EBITDA was $776.0 million for the quarter. At the end of Arch Capital Group Ltd.’s most recent quarter ended June 29, its total debt was $2.73 billion. Equity owned by shareholders amounts to $372.95 million.
Technical Picture
Here’s a quick look at Arch Capital Group Ltd.’s (ACGL) price momentum from a technical perspective. As of 29 August, the RSI 9-day stood at 49.47%, suggesting the stock is Neutral, with a 24.28% historical volatility rate.
The stochastic %K and %D were 29.42% and 29.31% respectively, while the average true range (ATR) was 1.58. Based on the 14-day stochastic reading of 49.23%, the RSI (14) reading is 48.33%. On the 9-day MACD Oscillator, the stock is at -0.08, and the 14-day reading is at -0.81.
Analyst Ratings
In its analyst report released on June 20, 2023, Morgan Stanley began covering Arch Capital Group Ltd. (NASDAQ: ACGL). The stock was rated as an Overweight by the brokerage firm. Analysts have assigned Arch Capital Group Ltd. (ACGL) an Buy rating. ACGL is a stock that is recommended for selling by 0 brokerage firms, while 2 companies recommend holding. The stock is underweighted by 0 analysts. Among the analysts who rate the stock, 1 rate it overweight and 12 others recommend it as a buy.
What is ACGL’s price target for the next 12 months?
The current consensus forecast for the stock is between $78.00 and $100.00, with a median target price of $90.00. In analyzing these forecasts, the average price target given by analysts for Arch Capital Group Ltd. (ACGL) is $89.77.
