Royal Bank of Canada Issues Pessimistic Forecast for Arch Capital Group (NASDAQ:ACGL) Stock Price

Arch Capital Group (NASDAQ:ACGL) had its target price decreased by equities researchers at Royal Bank of Canada from $128.00 to $125.00 in a research note issued to investors on Friday, Benzinga reports. The firm currently has an “outperform” rating on the insurance provider’s stock. Royal Bank of Canada’s price target suggests a potential upside of 30.18% from the stock’s previous close.

Several other research analysts have also issued reports on the stock. Wells Fargo & Company raised their price target on shares of Arch Capital Group from $110.00 to $126.00 and gave the stock an “overweight” rating in a report on Thursday, October 10th. JPMorgan Chase & Co. lifted their target price on shares of Arch Capital Group from $108.00 to $110.00 and gave the stock a “neutral” rating in a research note on Thursday, October 10th. Jefferies Financial Group upped their price target on shares of Arch Capital Group from $114.00 to $134.00 and gave the company a “buy” rating in a research report on Wednesday, October 9th. StockNews.com downgraded Arch Capital Group from a “buy” rating to a “hold” rating in a research note on Thursday, October 24th. Finally, TD Cowen lifted their target price on Arch Capital Group from $116.00 to $138.00 and gave the stock a “buy” rating in a report on Friday, September 20th. Five analysts have rated the stock with a hold rating and eleven have given a buy rating to the company’s stock. Based on data from MarketBeat.com, Arch Capital Group has a consensus rating of “Moderate Buy” and a consensus target price of $120.40.

Arch Capital Group Stock Down 2.6 %

Shares of NASDAQ ACGL opened at $96.02 on Friday. The company has a 50 day simple moving average of $110.43 and a 200 day simple moving average of $102.70. The company has a debt-to-equity ratio of 0.17, a current ratio of 0.58 and a quick ratio of 0.60. Arch Capital Group has a 1 year low of $72.85 and a 1 year high of $116.47. The firm has a market cap of $36.11 billion, a PE ratio of 6.44, a price-to-earnings-growth ratio of 1.83 and a beta of 0.61.

Arch Capital Group (NASDAQ:ACGL) last announced its earnings results on Wednesday, October 30th. The insurance provider reported $1.99 EPS for the quarter, topping the consensus estimate of $1.94 by $0.05. The firm had revenue of $4.72 billion for the quarter, compared to the consensus estimate of $4.05 billion. Arch Capital Group had a return on equity of 18.94% and a net margin of 33.86%. During the same period in the previous year, the business earned $2.31 EPS. On average, research analysts forecast that Arch Capital Group will post 9.05 EPS for the current year.

Insider Buying and Selling

In related news, CFO Francois Morin sold 11,460 shares of the stock in a transaction on Friday, August 16th. The stock was sold at an average price of $102.46, for a total value of $1,174,191.60. Following the completion of the sale, the chief financial officer now directly owns 221,779 shares of the company’s stock, valued at approximately $22,723,476.34. This represents a 0.00 % decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. 4.20% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Arch Capital Group

A number of hedge funds and other institutional investors have recently modified their holdings of ACGL. Capital International Investors lifted its holdings in Arch Capital Group by 61.1% during the first quarter. Capital International Investors now owns 4,112,577 shares of the insurance provider’s stock worth $380,167,000 after acquiring an additional 1,560,173 shares during the period. National Pension Service purchased a new position in shares of Arch Capital Group in the 3rd quarter worth about $64,271,000. International Assets Investment Management LLC grew its position in Arch Capital Group by 18,634.1% during the third quarter. International Assets Investment Management LLC now owns 551,345 shares of the insurance provider’s stock valued at $616,840,000 after buying an additional 548,402 shares during the period. Brandes Investment Partners LP purchased a new stake in shares of Arch Capital Group during the 2nd quarter worth approximately $48,119,000. Finally, Natixis Advisors LLC raised its holdings in shares of Arch Capital Group by 59.1% in the 2nd quarter. Natixis Advisors LLC now owns 1,139,480 shares of the insurance provider’s stock worth $114,962,000 after purchasing an additional 423,406 shares during the period. Hedge funds and other institutional investors own 89.07% of the company’s stock.

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.