Arch Capital Group (ACGL) Falls More Steeply Than Broader Market: What Investors Need to Know

Company Overview - Arch Capital Group (ACGL) ended the latest trading session at $112.85, reflecting a -0.78% adjustment from the previous day's close, underperforming the S&P 500's loss of 0.17% [1] - Over the past month, shares of Arch Capital have appreciated by 0.37%, outperforming the Finance sector's loss of 0.26% but lagging behind the S&P 500's gain of 1.25% [1] Upcoming Financial Results - Arch Capital Group is set to announce its earnings on October 30, 2024, with an expected EPS of $1.70, which represents a decline of 26.41% from the prior-year quarter [1] - The consensus estimate forecasts revenue to be $3.8 billion, indicating an 8.23% growth compared to the same quarter of the previous year [1] Analyst Estimates and Performance - For the annual period, Zacks Consensus Estimates anticipate earnings of $9.01 per share and revenue of $15.56 billion, reflecting increases of +6.63% and +15.33% respectively from the previous year [2] - Recent changes to analyst estimates for Arch Capital Group indicate short-term business trends, with positive revisions suggesting analyst optimism regarding the company's profitability [2] Zacks Rank and Valuation - Arch Capital Group currently holds a Zacks Rank of 2 (Buy), with the Zacks Consensus EPS estimate having moved 0.04% higher over the last 30 days [3] - The company is trading with a Forward P/E ratio of 12.62, which is a discount compared to the industry's average Forward P/E of 13.72 [3] - Arch Capital has a PEG ratio of 2.06, compared to the average PEG ratio of 1.71 in the Insurance - Property and Casualty industry [3] Industry Context - The Insurance - Property and Casualty industry is part of the Finance sector and holds a Zacks Industry Rank of 21, placing it in the top 9% of over 250 industries [4] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [4]