Arch Capital Valuation
| ACGLO Preferred Stock | USD 22.87 0.03 0.13% |
At this time, the firm appears to be fairly valued. Arch Capital Group shows a prevailing Real Value of $23.06 per share. The current price of the firm is $22.87. Our model approximates the value of Arch Capital Group from analyzing the firm fundamentals such as return on equity of 0.0987, and Profit Margin of 0.14 % as well as examining its technical indicators and probability of bankruptcy.
Fairly Valued
Today
Please note that Arch Capital's price fluctuation is very steady at this time. Calculation of the real value of Arch Capital Group is based on 3 months time horizon. Increasing Arch Capital's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Arch Capital is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Arch Preferred Stock. However, Arch Capital's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 22.87 | Real 23.06 | Hype 22.9 | Naive 22.65 |
The intrinsic value of Arch Capital's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Arch Capital's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Arch Capital Group helps investors to forecast how Arch preferred stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Arch Capital more accurately as focusing exclusively on Arch Capital's fundamentals will not take into account other important factors: Arch Capital Total Value Analysis
Arch Capital Group is presently expected to have takeover price of 11.14 B with market capitalization of 13.79 B, debt of 2.72 B, and cash on hands of 2.75 B. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Arch Capital fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
11.14 B | 13.79 B | 2.72 B | 2.75 B |
Arch Capital Investor Information
About 28.0% of the company shares are held by institutions such as insurance companies. The company last dividend was issued on the 14th of December 2022. Based on the analysis of Arch Capital's profitability, liquidity, and operating efficiency, Arch Capital Group is not in a good financial situation at the present time. It has a very high chance of going through financial crunch in December.Arch Capital Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Arch Capital has an asset utilization ratio of 19.79 percent. This suggests that the Company is making $0.2 for each dollar of assets. An increasing asset utilization means that Arch Capital Group is more efficient with each dollar of assets it utilizes for everyday operations.Arch Capital Ownership Allocation
Arch Capital holds a total of 402.94 Million outstanding shares. Almost 71.64 percent of Arch Capital outstanding shares are held by general public with 28.36 % by other corporate entities. Please note that no matter how many assets the company secures, if the real value of the firm is less than the current market value, you may not be able to make money on it.Arch Capital Profitability Analysis
The company reported the revenue of 8.93 B. Net Income was 2.24 B with profit before overhead, payroll, taxes, and interest of 3.36 B.About Arch Capital Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Arch Capital Group. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Arch Capital Group based exclusively on its fundamental and basic technical indicators. By analyzing Arch Capital's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Arch Capital's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Arch Capital. We calculate exposure to Arch Capital's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Arch Capital's related companies.Arch Capital Group Ltd., together with its subsidiaries, provides insurance, reinsurance, and mortgage insurance products worldwide. The company was incorporated in 1995 and is based in Pembroke, Bermuda. Arch Capital operates under InsuranceDiversified classification in the United States and is traded on NASDAQ Exchange. It employs 5200 people.
8 Steps to conduct Arch Capital's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Arch Capital's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Arch Capital's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Arch Capital's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Arch Capital's revenue streams: Identify Arch Capital's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Arch Capital's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Arch Capital's growth potential: Evaluate Arch Capital's management, business model, and growth potential.
- Determine Arch Capital's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Arch Capital's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Arch Capital Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 583.1 M | |
| Quarterly Earnings Growth Y O Y | -0.981 | |
| Retained Earnings | 14.5 B | |
| Retained Earnings Total Equity | 14.5 B |
Other Information on Investing in Arch Preferred Stock
Arch Capital financial ratios help investors to determine whether Arch Preferred Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Arch with respect to the benefits of owning Arch Capital security.