Arch Capital Group LtdNasdaq: ACGL
Financials · Property & Casualty Insurance
$92.27
-0.33%
Vol: 1.4M
Research Digest
Thursday, June 18, 2026
Arch Capital named Jerome Halgan CEO of Global Reinsurance and Michael Schmeiser CEO of Global Mortgage, completing a leadership reshuffle under President Maamoun Rajeh.
On June 17, 2026, Arch Capital Group promoted Jerome Halgan to CEO of Arch Global Reinsurance Group and Michael Schmeiser to CEO of Arch Global Mortgage Group, both reporting to President Maamoun Rajeh. Halgan, who joined in 2009, had been President and CUO of Arch Reinsurance Group since 2024 and CEO of Arch Re Bermuda since 2018; Schmeiser, with the firm since 2017, led Arch U.S. Mortgage as CEO since 2019. The moves follow the recent expansion of Rajeh's role to a single-President model and the early-June departure of former President David Gansberg. They come alongside aggressive capital actions, including a roughly $2 billion senior notes offering and a $3.0 billion increase to the share buyback authorization in April. The reshuffle signals continuity in Arch's segment leadership but concentrates more responsibility under Rajeh; the key risk is execution disruption during a period of significant management turnover. The stock trades around $91-$92 with a consensus Buy rating and ~$108 average target.
Previous Market Intelligence
13 daysJun 17Arch Capital priced cash tender offers to buy back up to a capped amount of its subsidiaries' debt securities, advancing its capital-structure management following a recent $2B senior notes raise.Neutral▶
On June 16, 2026, Arch Capital Group announced the pricing of cash tender offers by wholly-owned subsidiaries to purchase up to a capped amount of certain outstanding debt securities, with early results also released. This follows Arch's pricing of $2 billion in senior notes ($600M of 5.250% notes due 2036 and $1.4B of 5.950% notes due 2056) and a $3.0 billion increase to its share repurchase authorization. The moves refinance higher-cost debt and signal active balance-sheet management with roughly $26.9B in capital as of March 31, 2026. The company is also consolidating under a single-President model after David Gansberg's departure (announced June 3). The bear case is that the new long-dated notes lock in elevated 5.25%-5.95% coupons, and the leadership consolidation adds integration/execution risk across the insurance, reinsurance and mortgage segments.
Jun 16No significant overnight updatesNeutral▶
No material news in the last 48 hours.
Jun 15No significant overnight updatesNeutral▶
No material news in the last 48 hours.
Jun 14No significant overnight updatesNeutral▶
No material news in the last 48 hours.
May 21Arch Capital expands buyback by $3B; insider buying and analyst PT cutsNeutral▶
Board increased share repurchase authorization by $3.0B (total $6.0B) on April 19; ~3.6M shares repurchased for $346M from April 1-May 1. Director Daniel Houston bought 5,300 shares (~$498K) on May 4; Director Brian Posner sold 2,000 shares May 11. Mizuho cut PT to $101 from $102; Keefe Bruyette cut to $102 from $105. Zacks trimmed estimates May 12. Consensus PT $106.32 (Hold).
May 20Zacks trimmed Arch Capital earnings estimates on May 12, with shares at $93.83 and Wall Street targeting 13% upside to $106 consensus PT.Mixed▶
Zacks Research released downward earnings estimate revisions on Arch Capital in a May 12, 2026 note, contributing to a cautious tone. Director Brian Posner sold 2,000 shares on May 11, while Director Daniel Houston purchased 5,300 shares for $498,624 on May 4, sending mixed insider signals. Shares closed at $93.83 with consensus PT of $106.32 implying 13.3% upside. The company increased its share repurchase authorization by $3.0B on April 19 to a total of $6.0B and repurchased ~3.6M shares for $346M between April 1 and May 1. Q1 results showed revenue of $4.521B, net income of $1.05B, and diluted EPS of $2.88, but Mizuho cut PT to $101 from $102 and Morgan Stanley to $105 from $110 earlier in May. Risk: softening P&C insurance pricing cycle and margin pressure in premium growth.
May 19No significant overnight updatesNeutral▶
No material news in the last 48 hours.
May 18Arch Capital Group faces analyst price target cuts and insider selling despite expanded $6 billion buyback program.Negative▶
Zacks Research issued a series of small downward revisions to Arch Capital Group's earnings forecasts on May 12, 2026, trimming expectations for several quarters through 2028 while keeping full-year 2026 nearly in line with consensus. Multiple firms cut price targets: Mizuho to $101 from $102, Keefe Bruyette to $102 from $105, and Morgan Stanley to $105 from $110, citing softer property-cat reinsurance pricing, slowing primary premium growth, and weaker mortgage profitability. Director Brian Posner sold 2,000 shares on May 11, 2026. The company has expanded its share repurchase authorization to $6 billion total following Q1 2026 results showing revenue of $4.52 billion and net income of $1.05 billion. Shares traded around $93-94, with consensus average target of $106.32 implying 13% upside.
May 15Arch Capital reported Q1 2026 net income of $1.0B ($2.88/share) with 17.8% annualized ROE, expanded share buyback authorization by $3B to $6B total, and saw mixed analyst PT moves from Citi (+), BofA (+) and Mizuho (-).Mixed▶
Arch Capital posted Q1 2026 net income of $1.0B ($2.88/share) and after-tax operating income of $901M ($2.50/share), beating EPS consensus of $2.49 but missing revenue ($4.35B vs $4.56B est, down 3.8%). The Reinsurance segment delivered $441M underwriting income with a 76% combined ratio, the fourth straight quarter sub-80%. The company repurchased $783M of shares (2.32% of float) in Q1 and on April 19 boosted total buyback authorization by $3B to $6B. Analyst PT actions in early May: Citi raised to $122.50 from $120, BofA raised to $121 from $114, while Mizuho cut to $101 from $102. Stock traded $93.28-$94.53 on May 14. Risk: revenue miss signals softening reinsurance pricing; consensus is now Hold among 15 analysts despite Buy from a broader 20-analyst panel.
May 14Arch Capital posts Q1 EPS of $2.50 with $783M buyback and KBW cuts target to $102 as reinsurance pricing concerns weigh on shares.Mixed▶
Arch Capital Group reported Q1 2026 adjusted EPS of $2.50, beating estimates despite a 3.8% YoY revenue decline to $4.52B. Net income was $1.05B (GAAP diluted EPS $2.88) with 17.8% annualized ROE. The Reinsurance segment delivered $441M of underwriting income (76% combined ratio, fourth consecutive sub-80% quarter); Mortgage segment posted $221M underwriting income with delinquencies normalizing. The company repurchased $783M of stock (2.32% of shares) and book value rose 1.7%. On April 19, the board increased share repurchase authorization by $3B to $6B total. Keefe, Bruyette & Woods cut its target from $105 to $102 (Market Perform) on May 5. Director Daniel Houston purchased 5,300 shares ($498,624) on May 4. Shares closed $93.83 on May 11.
May 13Arch Capital insider Brian Posner sold 2,000 shares on May 11, with the stock around $94 as analysts trim targets despite a strong Q1 and aggressive buybacks.Mixed▶
Arch Capital Group Director Brian Posner sold 2,000 shares on May 11, 2026, per an SEC filing. ACGL traded between $93.43 and $94.95 on May 13, with a recent close of $93.83 on May 11, against a 52-week range of $82.45-$103.39. The company's Q1 2026 results showed adjusted EPS of $2.50 (beat) and revenue of $4.52B (down 3.8% YoY), with reinsurance underwriting income of $441 million and a 76% combined ratio. Arch repurchased $783 million of stock in Q1, and on April 19 the board added $3 billion to its repurchase authorization, lifting total capacity to $6 billion. Analysts have been trimming price targets amid concerns about reinsurance pricing and premium growth, though the average target of $106.32 still implies ~13% upside from current levels.
May 12Arch Capital posts strong Q1 2026 with $1B net income and expands buyback by $3B, but analysts trim price targetsMixed▶
Arch Capital reported strong Q1 2026 with $1.0B net income ($2.88/share), revenue of $4.52B, and a 17.8% annualized ROE. The board increased share repurchase authorization by $3B to $6B total. Despite robust margins and $783M of share repurchases in the quarter, shares have underperformed the S&P 500 and P&C insurance peers. Morgan Stanley lowered its target to $105 from $110 on May 1; Keefe Bruyette cut to $102 from $105 with Market Perform. Stock trading ~$94. Board member John Vollaro will not stand for reelection. Oxbow Advisors raised its stake 83.7% in Q4.
May 11KBW cut Arch Capital PT to $102 on May 5 keeping Market Perform after Q1 EPS of $2.88 and $3B buyback authorization increase to $6B totalMixed▶
Arch Capital Group reported Q1 2026 revenue of $4.52 billion and net income of $1.05 billion with diluted EPS of $2.88, alongside $783 million of share repurchases (2.32% of shares outstanding). On April 19, the Board increased the share repurchase authorization by $3 billion to a total of $6 billion. Keefe Bruyette & Woods lowered its PT to $102 from $105 with Market Perform on May 5, while Citigroup raised its PT to $122.50 (Buy) and Wells Fargo lifted PT to $110 (Overweight) on April 30. ACGL closed at $94.70 on May 6 with a Hold consensus and average PT of $106.32. Oxbow Advisors raised its stake 83.7% to 84,290 shares.
Sector Peers
| Company | Price | Day | 1M | Fwd P/E | Beta | Mkt Cap |
|---|---|---|---|---|---|---|
| CBCHUBB | $327.73 | -0.35% | -0.7% | 11.2x | 0.42 | $127.2B |
| PGRPROGRESSIVE | $204.71 | +0.02% | +0.8% | 12.6x | 0.27 | $119.3B |
| TRVTRAVELERS | $305.52 | -0.65% | +0.2% | 10.7x | 0.49 | $65.1B |
| ALLALLSTATE | $222.06 | -0.46% | -1.3% | 8.4x | 0.19 | $57.1B |
| HIGHARTFORD | $129.63 | -1.06% | -4.0% | 9.2x | 0.47 | $35.5B |
| ACGLARCH | $92.27 | -0.33% | -4.2% | 9.3x | 0.31 | $32.3B |
Key Fundamentals
RSI (14-Day)
52-Week Range
Moving Averages
Price below 200d MA — bearish structure.