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Why ARCH CAPITAL GROUP LTD - ACGL 5.45 PERP (NASDAQ:ACGLO) qualifies as a high growth stock.

By Mill Chart

Last update: Oct 3, 2023

Growth investors are looking for stocks showing high revenue and EPS growth. We will have a look here to see if ARCH CAPITAL GROUP LTD - ACGL 5.45 PERP (NASDAQ:ACGLO) is suited for growth investing. Investors should of course do their own research, but we spotted ARCH CAPITAL GROUP LTD - ACGL 5.45 PERP showing up in our Louis Navellier growth screen, so it may be worth spending some more time on it.

Looking into the growth metrics of ARCH CAPITAL GROUP LTD - ACGL 5.45 PERP

  • ARCH CAPITAL GROUP LTD - ACGL 5.45 PERP has a healthy Return on Equity(ROE) of 15.18%. This demonstrates the company's efficient utilization of capital and indicates its commitment to driving profitability.
  • ARCH CAPITAL GROUP LTD - ACGL 5.45 PERP has consistently surpassed EPS estimates in the last 4 quarters, reflecting its strong financial performance and effective management. This trend suggests the company's ability to generate positive earnings surprises and drive shareholder value.
  • The 1-year revenue growth of ARCH CAPITAL GROUP LTD - ACGL 5.45 PERP (39.53%) has been strong, reflecting the company's ability to generate consistent sales growth. This growth suggests the company's ability to meet customer needs and expand its market share.
  • With consistent quarter-to-quarter (Q2Q) revenue growth of 42.25%, ARCH CAPITAL GROUP LTD - ACGL 5.45 PERP exemplifies its ability to generate increased sales and revenue streams. This growth signifies the company's strong business performance and its potential for continued growth.
  • ARCH CAPITAL GROUP LTD - ACGL 5.45 PERP has experienced notable growth in its operating margin over the past year, reflecting improved operational performance. This growth suggests the company's ability to generate higher profits from its core business activities.
  • With a favorable trend in its free cash flow (FCF) over the past year, ARCH CAPITAL GROUP LTD - ACGL 5.45 PERP demonstrates its ability to generate robust cash flows and maintain financial stability. This growth reflects the company's focus on efficient capital allocation and cash management.
  • The earnings per share (EPS) of ARCH CAPITAL GROUP LTD - ACGL 5.45 PERP have shown positive growth on a quarter-to-quarter (Q2Q) basis, with a 43.28% increase. This reflects the company's ability to improve its profitability over time.
  • The average next Quarter EPS Estimate for ARCH CAPITAL GROUP LTD - ACGL 5.45 PERP has experienced a 8.08% change in the last 3 months, reflecting evolving expectations by analysts regarding the company's EPS performance.
  • In the most recent financial report, ARCH CAPITAL GROUP LTD - ACGL 5.45 PERP reported a 43.28% increase in quarterly earnings compared to the previous quarter. This notable growth indicates positive momentum in the company's financials, suggesting an upward trend
  • The earnings per share (EPS) growth of ARCH CAPITAL GROUP LTD - ACGL 5.45 PERP are accelerating: the current Q2Q growth of 43.28% is above the previous year Q2Q growth of 34.0%. Earnings momentum and acceleration are key for high growth systems.

Zooming in on the fundamentals.

ChartMill utilizes a proprietary algorithm to assign a Fundamental Rating to every stock. This rating, ranging from 0 to 10, is computed daily by analyzing a variety of fundamental indicators and properties.

We assign a fundamental rating of 7 out of 10 to ACGLO. ACGLO was compared to 142 industry peers in the Insurance industry. While ACGLO belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. ACGLO has both an excellent growth and valuation score. This means it is growing and it is still cheap. This is a rare combination! These ratings could make ACGLO a good candidate for value and growth investing.

For an up to date full fundamental analysis you can check the fundamental report of ACGLO

More ideas for growth investing can be found on ChartMill in our Lois Navellier screen.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.

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