Arch Capital Group Ltd (NASDAQ: ACGL) has experienced a rise in its stock price by 1.09 compared to its previous closing price of 109.49. However, the company has seen a gain of 7.67% in its stock price over the last five trading days. zacks.com reported 2024-08-27 that Does Arch Capital Group (ACGL) have what it takes to be a top stock pick for momentum investors? Let’s find out.
Is It Worth Investing in Arch Capital Group Ltd (NASDAQ: ACGL) Right Now?
Arch Capital Group Ltd (NASDAQ: ACGL) has a higher price-to-earnings ratio of 7.79x compared to its average ratio, The 36-month beta value for ACGL is at 0.59. Analysts have varying views on the stock, with 5 analysts rating it as a “buy,” 1 rating it as “overweight,” 8 as “hold,” and 1 as “sell.”
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The public float for ACGL is 363.30M, and currently, shorts hold a 1.41% of that float. The average trading volume for ACGL on August 28, 2024 was 1.55M shares.
ACGL’s Market Performance
ACGL stock saw an increase of 7.67% in the past week, with a monthly gain of 14.09% and a quarterly increase of 8.24%. The volatility ratio for the week is 1.66%, and the volatility levels for the last 30 days are 2.24% for Arch Capital Group Ltd (ACGL).. The simple moving average for the past 20 days is 9.98% for ACGL’s stock, with a 22.04% simple moving average for the past 200 days.
Analysts’ Opinion of ACGL
Many brokerage firms have already submitted their reports for ACGL stocks, with ROTH MKM repeating the rating for ACGL by listing it as a “Buy.” The predicted price for ACGL in the upcoming period, according to ROTH MKM is $125 based on the research report published on August 23, 2024 of the current year 2024.
TD Cowen, on the other hand, stated in their research note that they expect to see ACGL reach a price target of $96. The rating they have provided for ACGL stocks is “Outperform” according to the report published on January 10th, 2024.
Evercore ISI gave a rating of “In-line” to ACGL, setting the target price at $88 in the report published on December 14th of the previous year.
ACGL Trading at 11.39% from the 50-Day Moving Average
After a stumble in the market that brought ACGL to its low price for the period of the last 52 weeks, the company was able to rebound, for now settling with 0.51% of gains for the given period.
Volatility was left at 2.24%, however, over the last 30 days, the volatility rate increased by 1.66%, as shares surge +12.71% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +13.80% upper at present.
During the last 5 trading sessions, ACGL rose by +7.67%, which changed the moving average for the period of 200-days by +31.57% in comparison to the 20-day moving average, which settled at $101.26. In addition, Arch Capital Group Ltd saw 49.02% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at ACGL starting from Morin Francois, who sale 11,460 shares at the price of $102.46 back on Aug 16 ’24. After this action, Morin Francois now owns 221,779 shares of Arch Capital Group Ltd, valued at $1,174,170 using the latest closing price.
Morin Francois, the Officer of Arch Capital Group Ltd, proposed sale 11,460 shares at $102.46 during a trade that took place back on Aug 16 ’24, which means that Morin Francois is holding shares at $1,174,170 based on the most recent closing price.
Stock Fundamentals for ACGL
Current profitability levels for the company are sitting at:
- 0.23 for the present operating margin
- 0.9 for the gross margin
The net margin for Arch Capital Group Ltd stands at 0.36. The total capital return value is set at 0.11. Equity return is now at value 30.85, with 10.93 for asset returns.
Based on Arch Capital Group Ltd (ACGL), the company’s capital structure generated 0.12 points at debt to capital in total, while cash flow to debt ratio is standing at 2.46. The debt to equity ratio resting at 0.13. The interest coverage ratio of the stock is 25.66.
Currently, EBITDA for the company is 184.0 million with net debt to EBITDA at 1.09. When we switch over and look at the enterprise to sales, we see a ratio of 2.84. The receivables turnover for the company is 2.4for trailing twelve months and the total asset turnover is 0.27. The liquidity ratio also appears to be rather interesting for investors as it stands at 0.59.
Conclusion
In conclusion, Arch Capital Group Ltd (ACGL) has had a better performance lately. Opinion on the stock among analysts is mixed, with some giving it a “buy” rating and others a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
