Elyse Greenspan, an analyst from Wells Fargo, maintained the Buy rating on Arch Capital Group (ACGL – Research Report). The associated price target is $106.00.
Elyse Greenspan’s rating is based on a combination of factors that highlight Arch Capital Group’s financial performance and strategic reserve management. The company has demonstrated a solid ability to release reserves, with significant net releases noted in both mortgage insurance and property reinsurance. This indicates a strong reserve position and effective risk management strategies.
Additionally, Arch Capital Group has shown prudent reserve additions in recent accident years, with a focus on third-party claims. The acceleration in paid-to-incurred trends for recent accident years suggests improving efficiency in claims settlement. These factors, combined with a conservative approach to casualty reinsurance for 2024, contribute to a positive outlook for Arch Capital Group, justifying the Buy rating.
Based on the recent corporate insider activity of 40 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of ACGL in relation to earlier this year.