Arch Capital Group (NASDAQ:ACGL) Announces Earnings Results, Misses Expectations By $0.05 EPS

Arch Capital Group (NASDAQ:ACGL) issued its quarterly earnings data on Tuesday. The insurance provider reported $1.54 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.59 by ($0.05), Zacks reports. Arch Capital Group had a net margin of 24.73% and a return on equity of 17.96%. The firm had revenue of $4.52 billion during the quarter, compared to analyst estimates of $4.75 billion. During the same period last year, the business earned $2.45 EPS. The firm’s revenue was up 10.5% compared to the same quarter last year.

Arch Capital Group Stock Performance

Shares of ACGL opened at $92.39 on Wednesday. The company’s fifty day moving average is $91.96 and its 200-day moving average is $94.80. Arch Capital Group has a 12 month low of $82.49 and a 12 month high of $116.47. The firm has a market cap of $34.71 billion, a price-to-earnings ratio of 8.25, a price-to-earnings-growth ratio of 2.31 and a beta of 0.36. The company has a quick ratio of 0.58, a current ratio of 0.54 and a debt-to-equity ratio of 0.15.

Analyst Upgrades and Downgrades

A number of analysts have recently weighed in on the stock. Royal Bank of Canada decreased their price target on shares of Arch Capital Group from $125.00 to $110.00 and set an “outperform” rating for the company in a research report on Wednesday, February 12th. UBS Group decreased their price target on shares of Arch Capital Group from $127.00 to $124.00 and set a “buy” rating for the company in a research report on Wednesday, April 9th. Morgan Stanley reduced their price objective on Arch Capital Group from $115.00 to $110.00 and set an “overweight” rating on the stock in a research note on Friday, February 14th. Keefe, Bruyette & Woods reduced their price objective on Arch Capital Group from $120.00 to $113.00 and set an “outperform” rating on the stock in a research note on Thursday, February 13th. Finally, Barclays reduced their price objective on Arch Capital Group from $100.00 to $93.00 and set an “equal weight” rating on the stock in a research note on Friday, April 11th. Six analysts have rated the stock with a hold rating and eleven have issued a buy rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $114.88.

Insider Transactions at Arch Capital Group

In related news, insider Louis T. Petrillo sold 11,600 shares of the firm’s stock in a transaction on Wednesday, March 5th. The shares were sold at an average price of $91.00, for a total value of $1,055,600.00. Following the transaction, the insider now directly owns 140,023 shares in the company, valued at approximately $12,742,093. This trade represents a 7.65 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through this link. 4.10% of the stock is currently owned by company 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.