Roth Capital Equities Analysts Boost Earnings Estimates for Arch Capital Group Ltd. (NASDAQ:ACGL)

Arch Capital Group Ltd. (NASDAQ:ACGL) – Roth Capital upped their FY2024 earnings estimates for Arch Capital Group in a research report issued on Tuesday, April 30th. Roth Capital analyst H. Fong now forecasts that the insurance provider will post earnings of $9.30 per share for the year, up from their prior forecast of $8.25. The consensus estimate for Arch Capital Group’s current full-year earnings is $8.09 per share. Roth Capital also issued estimates for Arch Capital Group’s Q4 2024 earnings at $2.56 EPS, Q4 2025 earnings at $2.94 EPS and FY2025 earnings at $10.30 EPS.

A number of other brokerages have also recently weighed in on ACGL. TD Cowen assumed coverage on shares of Arch Capital Group in a research note on Wednesday, January 10th. They issued an “outperform” rating and a $96.00 price objective for the company. Citigroup cut their target price on shares of Arch Capital Group from $91.00 to $89.00 and set a “neutral” rating for the company in a research note on Monday, January 22nd. UBS Group cut their target price on shares of Arch Capital Group from $101.00 to $97.00 and set a “buy” rating for the company in a research note on Wednesday, January 10th. Evercore ISI upped their target price on shares of Arch Capital Group from $98.00 to $100.00 and gave the company an “in-line” rating in a research note on Tuesday. Finally, Morgan Stanley upped their target price on shares of Arch Capital Group from $104.00 to $109.00 and gave the company an “overweight” rating in a research note on Monday, April 15th. Four investment analysts have rated the stock with a hold rating and eleven have given a buy rating to the company’s stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $100.67.

Arch Capital Group Price Performance

Shares of Arch Capital Group stock opened at $95.80 on Thursday. The firm has a fifty day simple moving average of $90.60 and a 200-day simple moving average of $84.56. The company has a current ratio of 0.59, a quick ratio of 0.57 and a debt-to-equity ratio of 0.17. Arch Capital Group has a 1-year low of $69.05 and a 1-year high of $96.58. The stock has a market capitalization of $35.94 billion, a price-to-earnings ratio of 7.56, a PEG ratio of 1.16 and a beta of 0.56.

Arch Capital Group (NASDAQ:ACGL) last posted its earnings results on Monday, April 29th. The insurance provider reported $2.45 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.06 by $0.39. Arch Capital Group had a net margin of 33.65% and a return on equity of 21.85%. The firm had revenue of $4.09 billion during the quarter, compared to analysts’ expectations of $3.77 billion. During the same period in the previous year, the company earned $1.73 earnings per share. The company’s revenue was up 19.3% compared to the same quarter last year.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the business. Assenagon Asset Management S.A. raised its position in shares of Arch Capital Group by 0.4% in the 1st quarter. Assenagon Asset Management S.A. now owns 33,283 shares of the insurance provider’s stock valued at $3,077,000 after acquiring an additional 117 shares during the period. Sunbelt Securities Inc. raised its position in shares of Arch Capital Group by 1.8% in the 1st quarter. Sunbelt Securities Inc. now owns 6,679 shares of the insurance provider’s stock valued at $617,000 after acquiring an additional 117 shares during the period. Resonant Capital Advisors LLC raised its position in shares of Arch Capital Group by 2.1% in the 1st quarter. Resonant Capital Advisors LLC now owns 5,802 shares of the insurance provider’s stock valued at $536,000 after acquiring an additional 118 shares during the period. Petra Financial Advisors Inc. raised its position in shares of Arch Capital Group by 1.2% in the 1st quarter. Petra Financial Advisors Inc. now owns 10,574 shares of the insurance provider’s stock valued at $977,000 after acquiring an additional 129 shares during the period. Finally, Harbor Capital Advisors Inc. raised its position in shares of Arch Capital Group by 2.7% in the 4th quarter. Harbor Capital Advisors Inc. now owns 5,448 shares of the insurance provider’s stock valued at $405,000 after acquiring an additional 144 shares during the period. 89.07% of the stock is currently owned by institutional investors and hedge funds.

Insider Transactions at Arch Capital Group

In other news, insider Nicolas Papadopoulo sold 60,000 shares of the company’s stock in a transaction dated Thursday, March 7th. The shares were sold at an average price of $87.52, for a total value of $5,251,200.00. Following the sale, the insider now owns 651,931 shares of the company’s stock, valued at approximately $57,057,001.12. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. In related news, CFO Francois Morin sold 25,689 shares of the company’s stock in a transaction dated Thursday, March 7th. The shares were sold at an average price of $87.47, for a total transaction of $2,247,016.83. Following the transaction, the chief financial officer now owns 221,779 shares in the company, valued at approximately $19,399,009.13. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, insider Nicolas Papadopoulo sold 60,000 shares of the company’s stock in a transaction dated Thursday, March 7th. The shares were sold at an average price of $87.52, for a total transaction of $5,251,200.00. Following the transaction, the insider now owns 651,931 shares in the company, valued at $57,057,001.12. The disclosure for this sale can be found here. In the last quarter, insiders have sold 135,689 shares of company stock valued at $11,872,217. 4.20% of the stock is owned by insiders.

About Arch Capital Group

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.