Zacks Research Issues Pessimistic Outlook for ACGL Earnings

Arch Capital Group Ltd. (NASDAQ:ACGL) – Investment analysts at Zacks Research reduced their Q4 2027 EPS estimates for shares of Arch Capital Group in a research report issued to clients and investors on Monday, March 2nd. Zacks Research analyst Team now anticipates that the insurance provider will post earnings per share of $2.91 for the quarter, down from their previous estimate of $2.93. The consensus estimate for Arch Capital Group’s current full-year earnings is $8.42 per share.

Several other brokerages have also recently weighed in on ACGL. Royal Bank Of Canada increased their target price on Arch Capital Group from $108.00 to $115.00 and gave the company an “outperform” rating in a report on Wednesday, February 11th. Mizuho increased their price objective on Arch Capital Group from $95.00 to $102.00 and gave the company a “neutral” rating in a research note on Thursday, February 12th. Wells Fargo & Company raised their target price on shares of Arch Capital Group from $106.00 to $109.00 and gave the stock an “overweight” rating in a report on Wednesday, February 11th. The Goldman Sachs Group reiterated a “sell” rating and set a $93.00 price target (up from $84.00) on shares of Arch Capital Group in a report on Wednesday, January 7th. Finally, Roth Mkm set a $110.00 price target on shares of Arch Capital Group and gave the company a “buy” rating in a research report on Tuesday, December 2nd. Nine research analysts have rated the stock with a Buy rating, eight have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Hold” and an average price target of $109.20.

Arch Capital Group Stock Down 2.1%

Shares of NASDAQ:ACGL opened at $98.42 on Wednesday. The stock has a market capitalization of $35.02 billion, a P/E ratio of 8.47, a price-to-earnings-growth ratio of 4.04 and a beta of 0.40. The stock’s 50-day moving average price is $96.26 and its 200-day moving average price is $92.86. The company has a current ratio of 0.53, a quick ratio of 0.53 and a debt-to-equity ratio of 0.13. Arch Capital Group has a 12-month low of $82.44 and a 12-month high of $103.39.

Arch Capital Group (NASDAQ:ACGL) last posted its quarterly earnings results on Monday, February 9th. The insurance provider reported $2.98 earnings per share for the quarter, topping the consensus estimate of $2.34 by $0.64. Arch Capital Group had a net margin of 22.07% and a return on equity of 16.73%. The business had revenue of $4.93 billion during the quarter, compared to the consensus estimate of $3.94 billion. During the same period in the previous year, the firm posted $2.26 earnings per share.

Insider Buying and Selling

In other Arch Capital Group news, insider John M. Pasquesi sold 203,866 shares of the business’s stock in a transaction on Friday, December 12th. The shares were sold at an average price of $93.90, for a total transaction of $19,143,017.40. Following the transaction, the insider directly owned 351,356 shares of the company’s stock, valued at approximately $32,992,328.40. The trade was a 36.72% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Maamoun Rajeh sold 47,430 shares of the company’s stock in a transaction on Wednesday, February 11th. The stock was sold at an average price of $96.12, for a total transaction of $4,558,971.60. Following the completion of the transaction, the insider owned 433,589 shares of the company’s stock, valued at $41,676,574.68. This trade represents a 9.86% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 260,096 shares of company stock valued at $24,530,685. 4.20% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Arch Capital Group

Hedge funds and other institutional investors have recently modified their holdings of the stock. Vanguard Group Inc. lifted its holdings in Arch Capital Group by 1.2% in the second quarter. Vanguard Group Inc. now owns 42,414,557 shares of the insurance provider’s stock worth $3,861,845,000 after buying an additional 493,583 shares during the period. Artisan Partners Limited Partnership grew its holdings in shares of Arch Capital Group by 1.7% during the 2nd quarter. Artisan Partners Limited Partnership now owns 23,833,290 shares of the insurance provider’s stock worth $2,170,021,000 after acquiring an additional 408,950 shares during the period. WCM Investment Management LLC raised its position in shares of Arch Capital Group by 1.3% in the 3rd quarter. WCM Investment Management LLC now owns 13,525,402 shares of the insurance provider’s stock worth $1,214,987,000 after acquiring an additional 171,693 shares in the last quarter. Geode Capital Management LLC raised its position in shares of Arch Capital Group by 1.1% in the 2nd quarter. Geode Capital Management LLC now owns 10,502,003 shares of the insurance provider’s stock worth $952,523,000 after acquiring an additional 115,465 shares in the last quarter. Finally, JPMorgan Chase & Co. lifted its stake in shares of Arch Capital Group by 4.6% in the 3rd quarter. JPMorgan Chase & Co. now owns 8,190,927 shares of the insurance provider’s stock valued at $743,168,000 after purchasing an additional 360,626 shares during the period. Hedge funds and other institutional investors own 89.07% of the company’s stock.

Key Headlines Impacting Arch Capital Group

Here are the key news stories impacting Arch Capital Group this week:

• Positive Sentiment: Company reported record 2025 operating income and strong return on equity, reinforcing the quality of earnings and capital generation — this supports the stock’s longer‑term fundamentals. Article Title
• Positive Sentiment: Fund commentary (Baron Growth Fund) cited ACGL’s strong earnings and active capital management as contributors, which helps explain recent upward pressure into earnings and buyback/capital return themes. Article Title
• Neutral Sentiment: Short‑interest reports flagged a “large increase” in short interest but the published figures show 0 shares / NaN changes and a 0.0 days‑to‑cover — this appears to be a data anomaly and is unlikely to be a meaningful driver by itself.
• Negative Sentiment: Zacks Research trimmed several near‑term and medium‑term EPS estimates (small reductions to Q4/Q1 and FY2026–FY2027 forecasts). Even modest cuts can pressure the stock after a prior strong earnings print because they reduce forward growth expectations.

Arch Capital Group Company Profile

Arch Capital Group Ltd. (NASDAQ: ACGL) is a Bermuda-based insurance and reinsurance holding company that underwrites a broad range of property and casualty, mortgage, and specialty risk products. The company operates through a group of underwriting subsidiaries and platforms to provide insurance, reinsurance and related risk solutions tailored to commercial, institutional and individual clients.

Arch’s product mix includes treaty and facultative reinsurance, primary casualty and property insurance, mortgage insurance and other specialty lines.