Arch Capital Group Ltd (ACGL) Valuation
Historical valuation analysis based on 1280 data points (2021-09-13 to 2026-10-16)
Arch Capital Group Ltd is a Bermuda company that writes insurance and reinsurance with operations in the United States, Canada, Europe, Australia, and the United Kingdom. The business operates thro...
Arch Capital Group Ltd (ACGL) currently trades at a P/E ratio of 7.36 (historical range: 6.18–19.77, median: 9.02), placing it at the 21th percentile — below its historical average, P/S ratio of 1.80 (range: 1.59–3.04, 17th percentile — cheap relative to its history), EV/EBITDA of 6.98 (range: 5.82–7.27, 89th percentile).
Over the historical period (2021-09-13 to 2026-10-16), Arch Capital Group Ltd's P/E ratio has contracted by 38% over the observed period (from an average of 12.5 to 7.8).
Arch Capital Group Ltd trades below its historical valuation range, with most metrics below their median levels.
Historical Valuation Metrics
| Metric | Current | Median | %ile | Assessment |
|---|---|---|---|---|
| P/E Ratio | 7.36 | 9.02 | 21th | below its historical average |
| P/S Ratio | 1.80 | 2.12 | 17th | cheap relative to its history |
| EV/EBITDA | 6.98 | 6.74 | 89th | expensive relative to its history |
| FCF Yield | 17.52% | 16.85% | 62th | below its historical average |
Arch Capital Group Ltd (ACGL) Valuation & P/E History
Arch Capital Group Ltd (ACGL) is a US-listed stock operating in the Financial Services sector, specifically the Fire, Marine & Casualty Insurance industry currently trading at $100.28 with a market capitalization of $34.2 billion. This page provides historical valuation analysis for ACGL based on 1280 data points covering 2021-09-13 to 2026-10-16. The P/E ratio of 7.36 is below the historical median of 9.02, placing ACGL at the 21th percentile of its valuation range. The P/S ratio of 1.80 compares to a median of 2.12.
ACGL Valuation Metrics & Historical Range
The valuation table above shows Arch Capital Group Ltd's current and historical valuation multiples, including P/E ratio, P/S ratio, EV/EBITDA, FCF yield, and dividend yield. Each metric is compared to its own historical range to determine whether ACGL is currently trading above or below its typical valuation levels.
- P/E ratio: Price-to-earnings measures how much investors pay per dollar of earnings. A P/E above the historical median suggests ACGL is expensively valued; below the median suggests it is cheap.
- P/S ratio: Price-to-sales is useful for companies with volatile or negative earnings. Lower P/S relative to history may indicate value.
- EV/EBITDA: Enterprise value to EBITDA adjusts for debt and cash, providing a capital-structure-neutral valuation measure for Arch Capital Group Ltd.
- FCF yield: Free cash flow yield shows the cash return relative to market price. Higher yields may indicate undervaluation.
Is ACGL Overvalued or Undervalued?
Arch Capital Group Ltd trades below its historical valuation range, with most metrics below their median levels. The overall valuation percentile of 42 combines P/E, P/S, and EV/EBITDA percentiles into a single measure of how expensive ACGL is relative to its own history. A percentile below 25 suggests the stock may be undervalued, while a percentile above 75 suggests it may be overvalued.
However, valuation is only one factor in investment decisions. A stock can remain "overvalued" for years if growth accelerates, or "undervalued" if the business deteriorates. Always combine valuation analysis with financial statement analysis and the full ACGL analysis page for a complete picture.
Valuation data is computed from historical price and fundamental data via Polygon.io and Finnhub.ACGL trades on NYSE. This page is for informational purposes only and is not financial advice.