Arch Capital Group (NASDAQ:ACGL) Announces Earnings Results, Beats Expectations By $0.39 EPS

Arch Capital Group (NASDAQ:ACGL) released its quarterly earnings results on Monday. The insurance provider reported $2.45 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.06 by $0.39, Yahoo Finance reports. The company had revenue of $4.09 billion for the quarter, compared to the consensus estimate of $3.77 billion. Arch Capital Group had a net margin of 33.65% and a return on equity of 21.85%. Arch Capital Group’s revenue was up 19.3% on a year-over-year basis. During the same quarter in the prior year, the firm earned $1.73 earnings per share.

Arch Capital Group Stock Performance

ACGL opened at $95.80 on Thursday. Arch Capital Group has a 12-month low of $69.05 and a 12-month high of $96.58. The company has a current ratio of 0.59, a quick ratio of 0.57 and a debt-to-equity ratio of 0.17. The firm has a market capitalization of $35.94 billion, a PE ratio of 7.56, a P/E/G ratio of 1.16 and a beta of 0.56. The firm has a 50 day moving average of $90.60 and a two-hundred day moving average of $84.56.

Wall Street Analyst Weigh In

ACGL has been the topic of several recent analyst reports. Bank of America increased their target price on shares of Arch Capital Group from $105.00 to $109.00 and gave the company a “buy” rating in a research note on Tuesday. Royal Bank of Canada restated an “outperform” rating and issued a $98.00 price target on shares of Arch Capital Group in a report on Friday, February 16th. Roth Mkm reiterated a “buy” rating and set a $110.00 target price on shares of Arch Capital Group in a report on Tuesday. JPMorgan Chase & Co. increased their target price on shares of Arch Capital Group from $88.00 to $92.00 and gave the stock a “neutral” rating in a report on Monday, April 8th. Finally, TD Cowen initiated coverage on shares of Arch Capital Group in a report on Wednesday, January 10th. They set an “outperform” rating and a $96.00 target price on the stock. Four equities research analysts have rated the stock with a hold rating and eleven have issued a buy rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $100.67.

Insiders Place Their Bets

In other Arch Capital Group news, CFO Francois Morin sold 25,689 shares of the firm’s stock in a transaction that occurred on 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 completion of the transaction, the chief financial officer now directly owns 221,779 shares of the company’s stock, valued at approximately $19,399,009.13. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. In other news, CFO Francois Morin sold 25,689 shares of the firm’s stock in a transaction that occurred on 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 sale, the chief financial officer now owns 221,779 shares of the company’s stock, valued at approximately $19,399,009.13. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Nicolas Papadopoulo sold 60,000 shares of the firm’s stock in a transaction that occurred on Thursday, March 7th. The stock was sold at an average price of $87.52, for a total transaction of $5,251,200.00. Following the sale, the insider now directly owns 651,931 shares in the company, valued at approximately $57,057,001.12. The disclosure for this sale can be found here. In the last ninety days, insiders 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.