Here's Why Arch Capital Group (ACGL) is a Strong Value Stock

Group 1: Zacks Premium Overview - Zacks Premium offers various tools for investors to enhance their stock market strategies, including daily updates on Zacks Rank and Industry Rank, Equity Research reports, and Premium stock screens [1] - The service includes Zacks Style Scores, which help investors identify stocks with the highest potential to outperform the market [2] Group 2: Zacks Style Scores - Zacks Style Scores rate stocks based on value, growth, and momentum characteristics, assigning ratings from A to F, with A indicating the highest potential for outperformance [2][3] - The Value Score focuses on identifying undervalued stocks using financial ratios like P/E and Price/Sales [2] - The Growth Score assesses a company's financial health and future outlook based on earnings and sales projections [3] - The Momentum Score evaluates stocks based on price trends and earnings estimate changes to identify favorable investment opportunities [3] - The VGM Score combines the three Style Scores to highlight stocks with attractive value, growth, and momentum characteristics [4] Group 3: Zacks Rank and Style Scores Integration - The Zacks Rank is a proprietary model that uses earnings estimate revisions to help investors build successful portfolios, with 1 (Strong Buy) stocks achieving an average annual return of +25.41% since 1988 [5] - Investors are encouraged to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal investment potential [6] Group 4: Company Spotlight - Arch Capital Group (ACGL) - Arch Capital Group Ltd., established in 1995 and headquartered in Bermuda, provides a range of insurance and reinsurance products globally [7] - ACGL currently holds a Zacks Rank of 3 (Hold) and has a VGM Score of A, with a Value Style Score of B due to a forward P/E ratio of 12 [7] - For fiscal 2024, ACGL's earnings estimate has been revised upwards by seven analysts, increasing the Zacks Consensus Estimate by $0.55 to $8.55 per share, with an average earnings surprise of 28.4% [8]