Morgan Stanley Has Lowered Expectations for Arch Capital Group (NASDAQ:ACGL) Stock Price

Arch Capital Group (NASDAQ:ACGL) had its price target lowered by research analysts at Morgan Stanley from $111.00 to $105.00 in a research report issued to clients and investors on Tuesday, Benzinga reports. The brokerage presently has an “overweight” rating on the insurance provider’s stock. Morgan Stanley’s price target suggests a potential upside of 11.00% from the company’s current price.

Other analysts also recently issued reports about the company. Cantor Fitzgerald raised their target price on Arch Capital Group from $102.00 to $110.00 and gave the stock a “neutral” rating in a research report on Monday, August 3rd. Atlantic Securities set a $126.00 price objective on Arch Capital Group in a research note on Wednesday, July 15th. Keefe, Bruyette & Woods decreased their price target on shares of Arch Capital Group from $102.00 to $99.00 and set a “market perform” rating on the stock in a report on Wednesday, July 8th. Wells Fargo & Company increased their price objective on Arch Capital Group from $114.00 to $117.00 and gave the company an “overweight” rating in a research report on Thursday, July 30th. Finally, JPMorgan Chase & Co. boosted their price target on shares of Arch Capital Group from $116.00 to $118.00 and gave the stock a “neutral” rating in a research note on Tuesday, August 11th. Six research analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, Arch Capital Group currently has a consensus rating of “Hold” and a consensus target price of $110.46.

Arch Capital Group Stock Up 0.3%

Shares of ACGL traded up $0.24 during trading hours on Tuesday, reaching $94.60. 748,432 shares of the stock traded hands, compared to its average volume of 2,356,177. Arch Capital Group has a 52 week low of $82.44 and a 52 week high of $107.08. The stock has a fifty day simple moving average of $97.91 and a 200 day simple moving average of $96.49. The company has a current ratio of 0.57, a quick ratio of 0.57 and a debt-to-equity ratio of 0.23. The company has a market cap of $32.28 billion, a price-to-earnings ratio of 7.40, a PEG ratio of 2.87 and a beta of 0.28.

Arch Capital Group (NASDAQ:ACGL) last released its earnings results on Tuesday, July 28th. The insurance provider reported $2.56 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.47 by $0.09. The company had revenue of $4.67 billion during the quarter, compared to analyst estimates of $4.36 billion. Arch Capital Group had a return on equity of 17.06% and a net margin of 24.40%.During the same period in the prior year, the company posted $2.58 earnings per share. On average, equities analysts forecast that Arch Capital Group will post 9.51 EPS for the current year.

Insider Activity at Arch Capital Group

In other news, CFO Francois Morin sold 11,010 shares of the company’s stock in a transaction dated Tuesday, August 18th. The shares were sold at an average price of $99.32, for a total value of $1,093,513.20. Following the sale, the chief financial officer directly owned 184,826 shares of the company’s stock, valued at $18,356,918.32. This represents a 5.62% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Company insiders own 3.30% of the company’s stock.

Institutional Trading of Arch Capital Group

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. Horizons Wealth Management purchased a new position in shares of Arch Capital Group in the 3rd quarter worth about $25,000. CX Institutional raised its stake in Arch Capital Group by 6.9% during the 3rd quarter. CX Institutional now owns 4,905 shares of the insurance provider’s stock valued at $453,000 after purchasing an additional 317 shares during the period. QRG Capital Management Inc. increased its holdings in shares of Arch Capital Group by 11.0% in the second quarter. QRG Capital Management Inc. now owns 43,515 shares of the insurance provider’s stock worth $4,224,000 after purchasing an additional 4,296 shares during the last quarter. Sequoia Financial Advisors LLC raised its stake in Arch Capital Group by 29.7% during the second quarter. Sequoia Financial Advisors LLC now owns 46,100 shares of the insurance provider’s stock valued at $4,474,000 after purchasing an additional 10,562 shares in the last quarter. Finally, National Pension Service boosted its holdings in shares of Arch Capital Group by 3.5% in the 2nd quarter. National Pension Service now owns 719,128 shares of the insurance provider’s stock worth $69,799,000 after purchasing an additional 24,546 shares during the period. Hedge funds and other institutional investors own 89.07% of the company’s stock.

Arch Capital Group Company Profile

Arch Capital Group Ltd. is a Bermuda-based insurance, reinsurance and mortgage insurance company whose shares trade on the Nasdaq under the symbol ACGL. The company was established in 1995 and has developed into a global provider of specialty risk-management products and services.

Through its insurance operations, Arch offers property, casualty, specialty, and accident and health coverage to businesses and other policyholders. Its reinsurance operations provide coverage and risk-transfer solutions to insurance companies across a range of property and casualty lines.