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The most recent trading session ended with Arch Capital Group (ACGL) standing at $92.25, reflecting a +1.66% shift from the previouse trading day's closing. This move outpaced the S&P 500's daily loss of 1.11%. On the other hand, the Dow registered a loss of 0.42%, and the technology-centric Nasdaq decreased by 1.89%.
Heading into today, shares of the property and casualty insurer had lost 5.38% over the past month, lagging the Finance sector's loss of 3.95% and the S&P 500's loss of 1.7% in that time.
Analysts and investors alike will be keeping a close eye on the performance of Arch Capital Group in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $1.92, marking a 22.89% fall compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $4.22 billion, indicating a 14.86% increase compared to the same quarter of the previous year.
Any recent changes to analyst estimates for Arch Capital Group should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.16% upward. Arch Capital Group is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Arch Capital Group is holding a Forward P/E ratio of 9.94. This expresses a discount compared to the average Forward P/E of 11.21 of its industry.
We can also see that ACGL currently has a PEG ratio of 1.42. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. ACGL's industry had an average PEG ratio of 1.39 as of yesterday's close.
The Insurance - Property and Casualty industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 33, which puts it in the top 14% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.