Seek Returns logo

ACGL vs. OWL: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at ACGL and OWL, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolACGLOWL
Company NameArch Capital Group Ltd.Blue Owl Capital Inc.
CountryBermudaUnited States
GICS SectorFinancialsFinancials
GICS IndustryInsuranceCapital Markets
Market Capitalization33.88 billion USD25.21 billion USD
ExchangeNasdaqGSNYSE
Listing DateSeptember 14, 1995December 14, 2020
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of ACGL and OWL by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

ACGL vs. OWL: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolACGLOWL
5-Day Price Return1.07%-9.63%
13-Week Price Return1.79%-17.27%
26-Week Price Return-5.60%-20.35%
52-Week Price Return-20.18%-17.73%
Month-to-Date Return0.07%-5.20%
Year-to-Date Return-1.69%-31.00%
10-Day Avg. Volume1.94M11.56M
3-Month Avg. Volume2.15M7.89M
3-Month Volatility21.80%35.87%
Beta0.471.13

Profitability

Return on Equity (TTM)

ACGL

17.03%

Insurance Industry

Max
30.96%
Q3
18.76%
Median
14.22%
Q1
10.34%
Min
1.73%

ACGL’s Return on Equity of 17.03% is on par with the norm for the Insurance industry, indicating its profitability relative to shareholder equity is typical for the sector.

OWL

3.42%

Capital Markets Industry

Max
38.97%
Q3
22.24%
Median
13.52%
Q1
8.61%
Min
-4.25%

OWL’s Return on Equity of 3.42% is in the lower quartile for the Capital Markets industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.

ACGL vs. OWL: A comparison of their Return on Equity (TTM) against their respective Insurance and Capital Markets industry benchmarks.

Net Profit Margin (TTM)

ACGL

20.05%

Insurance Industry

Max
26.78%
Q3
14.69%
Median
9.87%
Q1
6.59%
Min
-3.51%

A Net Profit Margin of 20.05% places ACGL in the upper quartile for the Insurance industry, signifying strong profitability and more effective cost management than most of its peers.

OWL

2.88%

Capital Markets Industry

Max
69.91%
Q3
37.24%
Median
24.30%
Q1
13.06%
Min
-15.18%

Falling into the lower quartile for the Capital Markets industry, OWL’s Net Profit Margin of 2.88% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

ACGL vs. OWL: A comparison of their Net Profit Margin (TTM) against their respective Insurance and Capital Markets industry benchmarks.

Operating Profit Margin (TTM)

ACGL

20.17%

Insurance Industry

Max
34.52%
Q3
20.17%
Median
14.46%
Q1
9.62%
Min
-2.51%

In the Insurance industry, Operating Profit Margin is often not the primary measure of operational efficiency.

OWL

17.38%

Capital Markets Industry

Max
84.86%
Q3
47.16%
Median
32.23%
Q1
18.65%
Min
-21.87%

OWL’s Operating Profit Margin of 17.38% is in the lower quartile for the Capital Markets industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

ACGL vs. OWL: A comparison of their Operating Profit Margin (TTM) against their respective Insurance and Capital Markets industry benchmarks.

Profitability at a Glance

SymbolACGLOWL
Return on Equity (TTM)17.03%3.42%
Return on Assets (TTM)5.00%0.65%
Net Profit Margin (TTM)20.05%2.88%
Operating Profit Margin (TTM)20.17%17.38%
Gross Profit Margin (TTM)----

Financial Strength

Current Ratio (MRQ)

ACGL

0.72

Insurance Industry

Max
2.97
Q3
1.37
Median
0.54
Q1
0.15
Min
0.00

For the Insurance industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

OWL

0.88

Capital Markets Industry

Max
3.37
Q3
1.81
Median
1.01
Q1
0.56
Min
0.04

For the Capital Markets industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

ACGL vs. OWL: A comparison of their Current Ratio (MRQ) against their respective Insurance and Capital Markets industry benchmarks.

Debt-to-Equity Ratio (MRQ)

ACGL

0.12

Insurance Industry

Max
1.25
Q3
0.65
Median
0.34
Q1
0.23
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Insurance industry.

OWL

1.38

Capital Markets Industry

Max
6.52
Q3
2.79
Median
0.96
Q1
0.28
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Capital Markets industry.

ACGL vs. OWL: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Insurance and Capital Markets industry benchmarks.

Interest Coverage Ratio (TTM)

ACGL

6.33

Insurance Industry

Max
43.68
Q3
21.45
Median
9.67
Q1
3.55
Min
-5.73

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Insurance industry.

OWL

5.03

Capital Markets Industry

Max
107.59
Q3
48.41
Median
10.85
Q1
4.56
Min
-36.26

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Capital Markets industry.

ACGL vs. OWL: A comparison of their Interest Coverage Ratio (TTM) against their respective Insurance and Capital Markets industry benchmarks.

Financial Strength at a Glance

SymbolACGLOWL
Current Ratio (MRQ)0.720.88
Quick Ratio (MRQ)0.720.83
Debt-to-Equity Ratio (MRQ)0.121.38
Interest Coverage Ratio (TTM)6.335.03

Growth

Revenue Growth

ACGL vs. OWL: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

ACGL vs. OWL: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

ACGL

5.61%

Insurance Industry

Max
9.80%
Q3
5.18%
Median
3.58%
Q1
2.07%
Min
0.00%

With a Dividend Yield of 5.61%, ACGL offers a more attractive income stream than most of its peers in the Insurance industry, signaling a strong commitment to shareholder returns.

OWL

1.83%

Capital Markets Industry

Max
9.02%
Q3
4.54%
Median
2.55%
Q1
1.27%
Min
0.00%

OWL’s Dividend Yield of 1.83% is consistent with its peers in the Capital Markets industry, providing a dividend return that is standard for its sector.

ACGL vs. OWL: A comparison of their Dividend Yield (TTM) against their respective Insurance and Capital Markets industry benchmarks.

Dividend Payout Ratio (TTM)

ACGL

51.23%

Insurance Industry

Max
169.40%
Q3
85.57%
Median
53.26%
Q1
23.68%
Min
0.00%

ACGL’s Dividend Payout Ratio of 51.23% is within the typical range for the Insurance industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

OWL

610.34%

Capital Markets Industry

Max
199.38%
Q3
99.28%
Median
60.67%
Q1
32.00%
Min
0.00%

At 610.34%, OWL’s Dividend Payout Ratio is exceptionally high, exceeding the typical range for the Capital Markets industry. While this provides a significant return to shareholders, it may limit funds for reinvestment and could be difficult to sustain.

ACGL vs. OWL: A comparison of their Dividend Payout Ratio (TTM) against their respective Insurance and Capital Markets industry benchmarks.

Dividend at a Glance

SymbolACGLOWL
Dividend Yield (TTM)5.61%1.83%
Dividend Payout Ratio (TTM)51.23%610.34%

Valuation

Price-to-Earnings Ratio (TTM)

ACGL

9.13

Insurance Industry

Max
30.75
Q3
18.11
Median
12.67
Q1
9.66
Min
2.87

In the lower quartile for the Insurance industry, ACGL’s P/E Ratio of 9.13 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

OWL

334.34

Capital Markets Industry

Max
51.69
Q3
29.42
Median
17.58
Q1
12.55
Min
5.59

At 334.34, OWL’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Capital Markets industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

ACGL vs. OWL: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Insurance and Capital Markets industry benchmarks.

Price-to-Sales Ratio (TTM)

ACGL

1.83

Insurance Industry

Max
3.41
Q3
1.88
Median
1.22
Q1
0.80
Min
0.23

ACGL’s P/S Ratio of 1.83 aligns with the market consensus for the Insurance industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

OWL

9.63

Capital Markets Industry

Max
14.65
Q3
7.29
Median
4.53
Q1
2.26
Min
0.04

OWL’s P/S Ratio of 9.63 is in the upper echelon for the Capital Markets industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

ACGL vs. OWL: A comparison of their Price-to-Sales Ratio (TTM) against their respective Insurance and Capital Markets industry benchmarks.

Price-to-Book Ratio (MRQ)

ACGL

1.48

Insurance Industry

Max
4.57
Q3
2.56
Median
1.88
Q1
1.20
Min
0.17

ACGL’s P/B Ratio of 1.48 is within the conventional range for the Insurance industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

OWL

12.65

Capital Markets Industry

Max
10.83
Q3
5.12
Median
2.66
Q1
1.19
Min
0.37

At 12.65, OWL’s P/B Ratio is at an extreme premium to the Capital Markets industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

ACGL vs. OWL: A comparison of their Price-to-Book Ratio (MRQ) against their respective Insurance and Capital Markets industry benchmarks.

Valuation at a Glance

SymbolACGLOWL
Price-to-Earnings Ratio (TTM)9.13334.34
Price-to-Sales Ratio (TTM)1.839.63
Price-to-Book Ratio (MRQ)1.4812.65
Price-to-Free Cash Flow Ratio (TTM)5.5624.20