Arch Capital Group (ACGL) Gains As Market Dips: What You Should Know

Arch Capital Group (ACGL) closed at $93.71 in the latest trading session, marking a +1.81% move from the prior day. The stock's change was more than the S&P 500's daily loss of 1.44%. Elsewhere, the Dow lost 0.09%, while the tech-heavy Nasdaq lost 2.22%. The property and casualty insurer's shares have seen a decrease of 4.42% over the last month, not keeping up with the Finance sector's gain of 3.16% and the S&P 500's gain of 0.08%.Market participants will be closely following the financial results of Arch Capital Group in its upcoming release. In that report, analysts expect Arch Capital Group to post earnings of $2.46 per share. This would mark a year-over-year decline of 4.65%. Our most recent consensus estimate is calling for quarterly revenue of $4.6 billion, down 3.39% from the year-ago period. For the full year, the Zacks Consensus Estimates project earnings of $9.3 per share and a revenue of $18.2 billion, demonstrating changes of -5.49% and -3.12%, respectively, from the preceding year. Any recent changes to analyst estimates for Arch Capital Group should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook. Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system. The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.12% higher. At present, Arch Capital Group boasts a Zacks Rank of #3 (Hold). In terms of valuation, Arch Capital Group is presently being traded at a Forward P/E ratio of 9.89. This expresses a discount compared to the average Forward P/E of 11.17 of its industry. Investors should also note that ACGL has a PEG ratio of 4.6 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Insurance - Property and Casualty industry currently had an average PEG ratio of 2.36 as of yesterday's close. The Insurance - Property and Casualty industry is part of the Finance sector. This group has a Zacks Industry Rank of 80, putting it in the top 33% of all 250+ industries. The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. You can find more information on all of these metrics, and much more, on Zacks.com. Research Chief Names "Single Best Pick to Double"From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.Free: See Our Top Stock And 4 Runners UpThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks