Zacks Research Has Pessimistic Outlook of ACGL Q1 Earnings

Arch Capital Group Ltd. (NASDAQ:ACGL) – Research analysts at Zacks Research reduced their Q1 2026 earnings per share estimates for shares of Arch Capital Group in a report released on Wednesday, December 10th. Zacks Research analyst Team now expects that the insurance provider will earn $2.49 per share for the quarter, down from their previous forecast of $2.51. The consensus estimate for Arch Capital Group’s current full-year earnings is $8.42 per share. Zacks Research also issued estimates for Arch Capital Group’s FY2026 earnings at $9.39 EPS, Q1 2027 earnings at $2.60 EPS and Q3 2027 earnings at $2.44 EPS.

Arch Capital Group (NASDAQ:ACGL) last issued its earnings results on Monday, October 27th. The insurance provider reported $2.77 earnings per share for the quarter, topping analysts’ consensus estimates of $1.76 by $1.01. The business had revenue of $5.11 billion during the quarter, compared to the consensus estimate of $4.39 billion. Arch Capital Group had a return on equity of 16.38% and a net margin of 20.96%.During the same period in the previous year, the company posted $1.99 earnings per share.

ACGL has been the topic of several other reports. Barclays set a $99.00 target price on shares of Arch Capital Group and gave the stock an “equal weight” rating in a research note on Wednesday, October 8th. Weiss Ratings reissued a “hold (c+)” rating on shares of Arch Capital Group in a research report on Wednesday, October 8th. Citigroup reaffirmed a “market outperform” rating on shares of Arch Capital Group in a research report on Tuesday, October 28th. Wells Fargo & Company dropped their price target on Arch Capital Group from $111.00 to $106.00 and set an “overweight” rating on the stock in a research note on Wednesday, October 29th. Finally, Cantor Fitzgerald reissued a “neutral” rating and issued a $98.00 price objective on shares of Arch Capital Group in a research note on Tuesday, October 28th. Eight analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Hold” and a consensus price target of $106.85.

Arch Capital Group Stock Performance

Shares of ACGL stock opened at $93.92 on Friday. The firm has a 50 day moving average of $90.44 and a 200-day moving average of $90.35. The company has a market cap of $34.06 billion, a price-to-earnings ratio of 8.79, a price-to-earnings-growth ratio of 2.19 and a beta of 0.47. The company has a quick ratio of 0.55, a current ratio of 0.55 and a debt-to-equity ratio of 0.13. Arch Capital Group has a 52 week low of $82.44 and a 52 week high of $97.40.

Insider Activity

In related news, CFO Francois Morin sold 8,000 shares of the company’s stock in a transaction on Friday, November 28th. The stock was sold at an average price of $94.62, for a total transaction of $756,960.00. Following the completion of the sale, the chief financial officer owned 266,681 shares in the company, valued at approximately $25,233,356.22. This represents a 2.91% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. 4.20% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Arch Capital Group

Several large investors have recently bought and sold shares of the stock. Vanguard Group Inc. raised its holdings in shares of 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 valued at $3,861,845,000 after purchasing an additional 493,583 shares during the last quarter. Artisan Partners Limited Partnership grew its position in Arch Capital Group by 1.7% in 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 purchasing an additional 408,950 shares in the last quarter. WCM Investment Management LLC grew its position in 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 purchasing an additional 171,693 shares in the last quarter. Geode Capital Management LLC increased its stake in 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 valued at $952,523,000 after buying an additional 115,465 shares during the last quarter. Finally, JPMorgan Chase & Co. lifted its position in shares of Arch Capital Group by 4.6% during the 3rd quarter. JPMorgan Chase & Co. now owns 8,190,927 shares of the insurance provider’s stock worth $743,168,000 after buying an additional 360,626 shares in the last quarter. 89.07% of the stock is currently owned by institutional investors.

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.