ARCC vs. WRB: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ARCC and WRB, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
WRB’s market capitalization of 27.12 billion USD is significantly greater than ARCC’s 15.56 billion USD, highlighting its more substantial market valuation.
ARCC’s beta of 0.73 points to significantly higher volatility compared to WRB (beta: 0.43), suggesting ARCC has greater potential for both gains and losses relative to market movements.
| Symbol | ARCC | WRB |
|---|---|---|
| Company Name | Ares Capital Corporation | W. R. Berkley Corporation |
| Country | US | US |
| Sector | Financial Services | Financial Services |
| Industry | Asset Management | Insurance - Property & Casualty |
| CEO | Kort Schnabel | William Robert Berkley Jr. |
| Price | 22.41 USD | 71.49 USD |
| Market Cap | 15.56 billion USD | 27.12 billion USD |
| Beta | 0.73 | 0.43 |
| Exchange | NASDAQ | NYSE |
| IPO Date | October 5, 2004 | October 23, 1973 |
| ADR | No | No |
Historical Performance
This chart compares the performance of ARCC and WRB 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.
Profitability
Return on Equity
ARCC
11.03%
Asset Management Industry
- Max
- 34.25%
- Q3
- 18.22%
- Median
- 11.24%
- Q1
- 5.81%
- Min
- -5.72%
ARCC’s Return on Equity of 11.03% is on par with the norm for the Asset Management industry, indicating its profitability relative to shareholder equity is typical for the sector.
WRB
20.67%
Insurance - Property & Casualty Industry
- Max
- 28.14%
- Q3
- 17.51%
- Median
- 12.75%
- Q1
- 8.26%
- Min
- 0.61%
In the upper quartile for the Insurance - Property & Casualty industry, WRB’s Return on Equity of 20.67% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Return on Invested Capital
ARCC
208.60%
Asset Management Industry
- Max
- 42.18%
- Q3
- 20.06%
- Median
- 8.68%
- Q1
- 3.13%
- Min
- -16.42%
ARCC’s Return on Invested Capital of 208.60% is exceptionally high, placing it well beyond the typical range for the Asset Management industry. This demonstrates an outstanding ability to deploy capital efficiently and create significant value.
WRB
4.45%
Insurance - Property & Casualty Industry
- Max
- 21.89%
- Q3
- 10.09%
- Median
- 3.90%
- Q1
- 0.89%
- Min
- -7.26%
Return on Invested Capital is often not a primary measure of capital efficiency in the Insurance - Property & Casualty industry.
Net Profit Margin
ARCC
67.48%
Asset Management Industry
- Max
- 91.66%
- Q3
- 57.81%
- Median
- 29.48%
- Q1
- 15.70%
- Min
- -27.65%
A Net Profit Margin of 67.48% places ARCC in the upper quartile for the Asset Management industry, signifying strong profitability and more effective cost management than most of its peers.
WRB
12.43%
Insurance - Property & Casualty Industry
- Max
- 21.98%
- Q3
- 13.09%
- Median
- 9.18%
- Q1
- 6.10%
- Min
- 2.13%
WRB’s Net Profit Margin of 12.43% is aligned with the median group of its peers in the Insurance - Property & Casualty industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin
ARCC
91.13%
Asset Management Industry
- Max
- 99.76%
- Q3
- 78.28%
- Median
- 34.76%
- Q1
- 21.75%
- Min
- -48.25%
An Operating Profit Margin of 91.13% places ARCC in the upper quartile for the Asset Management industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
WRB
16.77%
Insurance - Property & Casualty Industry
- Max
- 31.70%
- Q3
- 17.32%
- Median
- 12.57%
- Q1
- 7.38%
- Min
- 4.31%
WRB’s Operating Profit Margin of 16.77% is around the midpoint for the Insurance - Property & Casualty industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | ARCC | WRB |
|---|---|---|
| Return on Equity (TTM) | 11.03% | 20.67% |
| Return on Assets (TTM) | 5.08% | 4.19% |
| Return on Invested Capital (TTM) | 208.60% | 4.45% |
| Net Profit Margin (TTM) | 67.48% | 12.43% |
| Operating Profit Margin (TTM) | 91.13% | 16.77% |
| Gross Profit Margin (TTM) | 95.92% | 100.01% |
Financial Strength
Current Ratio
ARCC
--
Asset Management Industry
- Max
- 12.44
- Q3
- 5.76
- Median
- 3.04
- Q1
- 1.03
- Min
- 0.01
Current Ratio data for ARCC is currently unavailable.
WRB
51.52
Insurance - Property & Casualty Industry
- Max
- 51.52
- Q3
- 30.84
- Median
- 20.50
- Q1
- 6.61
- Min
- 0.41
WRB’s Current Ratio of 51.52 is in the upper quartile for the Insurance - Property & Casualty industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
Debt-to-Equity Ratio
ARCC
--
Asset Management Industry
- Max
- 2.62
- Q3
- 1.42
- Median
- 0.76
- Q1
- 0.34
- Min
- 0.01
Debt-to-Equity Ratio data for ARCC is currently unavailable.
WRB
0.32
Insurance - Property & Casualty Industry
- Max
- 0.58
- Q3
- 0.36
- Median
- 0.27
- Q1
- 0.14
- Min
- 0.01
WRB’s Debt-to-Equity Ratio of 0.32 is typical for the Insurance - Property & Casualty industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio
ARCC
3.77
Asset Management Industry
- Max
- 13.30
- Q3
- 6.30
- Median
- 2.71
- Q1
- 1.00
- Min
- -6.91
ARCC’s Interest Coverage Ratio of 3.77 is positioned comfortably within the norm for the Asset Management industry, indicating a standard and healthy capacity to cover its interest payments.
WRB
18.40
Insurance - Property & Casualty Industry
- Max
- 39.40
- Q3
- 22.24
- Median
- 12.38
- Q1
- 6.68
- Min
- -12.40
WRB’s Interest Coverage Ratio of 18.40 is positioned comfortably within the norm for the Insurance - Property & Casualty industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | ARCC | WRB |
|---|---|---|
| Current Ratio (TTM) | -- | 51.52 |
| Quick Ratio (TTM) | -- | 51.52 |
| Debt-to-Equity Ratio (TTM) | -- | 0.32 |
| Debt-to-Asset Ratio (TTM) | -- | 0.07 |
| Net Debt-to-EBITDA Ratio (TTM) | -0.35 | 0.53 |
| Interest Coverage Ratio (TTM) | 3.77 | 18.40 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ARCC and WRB. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
ARCC
8.57%
Asset Management Industry
- Max
- 26.09%
- Q3
- 11.60%
- Median
- 6.37%
- Q1
- 2.75%
- Min
- 0.00%
ARCC’s Dividend Yield of 8.57% is consistent with its peers in the Asset Management industry, providing a dividend return that is standard for its sector.
WRB
2.21%
Insurance - Property & Casualty Industry
- Max
- 8.17%
- Q3
- 3.10%
- Median
- 1.79%
- Q1
- 0.00%
- Min
- 0.00%
WRB’s Dividend Yield of 2.21% is consistent with its peers in the Insurance - Property & Casualty industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio
ARCC
81.85%
Asset Management Industry
- Max
- 1,034.88%
- Q3
- 127.70%
- Median
- 75.15%
- Q1
- 34.21%
- Min
- 0.00%
ARCC’s Dividend Payout Ratio of 81.85% is within the typical range for the Asset Management industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
WRB
30.85%
Insurance - Property & Casualty Industry
- Max
- 115.20%
- Q3
- 35.27%
- Median
- 22.19%
- Q1
- 3.16%
- Min
- 0.00%
WRB’s Dividend Payout Ratio of 30.85% is within the typical range for the Insurance - Property & Casualty industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | ARCC | WRB |
|---|---|---|
| Dividend Yield (TTM) | 8.57% | 2.21% |
| Dividend Payout Ratio (TTM) | 81.85% | 30.85% |
Valuation
Price-to-Earnings Ratio
ARCC
10.53
Asset Management Industry
- Max
- 38.72
- Q3
- 23.40
- Median
- 11.45
- Q1
- 8.80
- Min
- 1.54
ARCC’s P/E Ratio of 10.53 is within the middle range for the Asset Management industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
WRB
16.39
Insurance - Property & Casualty Industry
- Max
- 35.83
- Q3
- 23.28
- Median
- 14.49
- Q1
- 11.91
- Min
- 4.47
WRB’s P/E Ratio of 16.39 is within the middle range for the Insurance - Property & Casualty industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Forward P/E to Growth Ratio
ARCC
-7.92
Asset Management Industry
- Max
- 6.38
- Q3
- 3.23
- Median
- 1.55
- Q1
- 0.89
- Min
- 0.02
ARCC has a negative Forward PEG Ratio of -7.92. This typically results from negative earnings or forecasts of declining future earnings, making the ratio not meaningful for valuation.
WRB
1.61
Insurance - Property & Casualty Industry
- Max
- 2.53
- Q3
- 1.90
- Median
- 1.33
- Q1
- 0.86
- Min
- 0.01
WRB’s Forward PEG Ratio of 1.61 is within the middle range of its peers in the Insurance - Property & Casualty industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
Price-to-Sales Ratio
ARCC
7.30
Asset Management Industry
- Max
- 13.75
- Q3
- 7.92
- Median
- 4.87
- Q1
- 3.51
- Min
- 0.02
ARCC’s P/S Ratio of 7.30 aligns with the market consensus for the Asset Management industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
WRB
1.95
Insurance - Property & Casualty Industry
- Max
- 3.76
- Q3
- 2.39
- Median
- 1.80
- Q1
- 1.01
- Min
- 0.50
The P/S Ratio is often not a primary valuation tool in the Insurance - Property & Casualty industry.
Price-to-Book Ratio
ARCC
1.11
Asset Management Industry
- Max
- 5.33
- Q3
- 2.75
- Median
- 1.06
- Q1
- 0.87
- Min
- 0.00
The P/B Ratio is often not a primary valuation metric for the Asset Management industry.
WRB
3.18
Insurance - Property & Casualty Industry
- Max
- 5.34
- Q3
- 2.95
- Median
- 1.92
- Q1
- 1.31
- Min
- 0.52
WRB’s P/B Ratio of 3.18 is in the upper tier for the Insurance - Property & Casualty industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
Valuation at a Glance
| Symbol | ARCC | WRB |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 10.53 | 16.39 |
| Forward PEG Ratio (TTM) | -7.92 | 1.61 |
| Price-to-Sales Ratio (P/S, TTM) | 7.30 | 1.95 |
| Price-to-Book Ratio (P/B, TTM) | 1.11 | 3.18 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | -6.47 | 7.52 |
| EV-to-EBITDA (TTM) | 8.15 | 13.26 |
| EV-to-Sales (TTM) | 7.00 | 2.03 |