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Arch Capital Group (Arch Capital Group) Cyclically Adjusted PB Ratio : 3.21 (As of Apr. 27, 2024)


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What is Arch Capital Group Cyclically Adjusted PB Ratio?

As of today (2024-04-27), Arch Capital Group's current share price is $90.90. Arch Capital Group's Cyclically Adjusted Book per Share for the quarter that ended in Dec. 2023 was $28.30. Arch Capital Group's Cyclically Adjusted PB Ratio for today is 3.21.

The historical rank and industry rank for Arch Capital Group's Cyclically Adjusted PB Ratio or its related term are showing as below:

ACGL' s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 1.33   Med: 2.14   Max: 3.35
Current: 3.21

During the past years, Arch Capital Group's highest Cyclically Adjusted PB Ratio was 3.35. The lowest was 1.33. And the median was 2.14.

ACGL's Cyclically Adjusted PB Ratio is ranked worse than
87.17% of 413 companies
in the Insurance industry
Industry Median: 1.15 vs ACGL: 3.21

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

Arch Capital Group's adjusted book value per share data for the three months ended in Dec. 2023 was $46.928. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is $28.30 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


Arch Capital Group Cyclically Adjusted PB Ratio Historical Data

The historical data trend for Arch Capital Group's Cyclically Adjusted PB Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Arch Capital Group Cyclically Adjusted PB Ratio Chart

Arch Capital Group Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.55 1.92 2.01 2.50 2.62

Arch Capital Group Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Cyclically Adjusted PB Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.50 2.60 2.79 2.88 2.62

Competitive Comparison of Arch Capital Group's Cyclically Adjusted PB Ratio

For the Insurance - Diversified subindustry, Arch Capital Group's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Arch Capital Group's Cyclically Adjusted PB Ratio Distribution in the Insurance Industry

For the Insurance industry and Financial Services sector, Arch Capital Group's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Arch Capital Group's Cyclically Adjusted PB Ratio falls into.



Arch Capital Group Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

Arch Capital Group's Cyclically Adjusted PB Ratio for today is calculated as

Cyclically Adjusted PB Ratio=Share Price/ Cyclically Adjusted Book per Share
=90.90/28.3
=3.21

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Arch Capital Group's Cyclically Adjusted Book per Share for the quarter that ended in Dec. 2023 is calculated as:

For example, Arch Capital Group's adjusted Book Value per Share data for the three months ended in Dec. 2023 was:

Adj_Book=Book Value per Share/CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=46.928/129.4194*129.4194
=46.928

Current CPI (Dec. 2023) = 129.4194.

Arch Capital Group Quarterly Data

Book Value per Share CPI Adj_Book
201403 13.840 99.695 17.967
201406 14.575 100.560 18.758
201409 14.680 100.428 18.918
201412 15.192 99.070 19.846
201503 15.934 99.621 20.700
201506 15.829 100.684 20.347
201509 15.893 100.392 20.488
201512 15.879 99.792 20.593
201603 16.623 100.470 21.413
201606 17.347 101.688 22.078
201609 17.872 101.861 22.707
201612 17.319 101.863 22.004
201703 18.240 102.862 22.949
201706 19.479 103.349 24.393
201709 19.483 104.136 24.213
201712 19.938 104.011 24.809
201803 20.413 105.290 25.091
201806 20.678 106.317 25.171
201809 21.146 106.507 25.695
201812 21.518 105.998 26.273
201903 23.120 107.251 27.899
201906 24.642 108.070 29.510
201909 25.610 108.329 30.596
201912 26.422 108.420 31.540
202003 26.102 108.902 31.020
202006 27.617 108.767 32.861
202009 28.747 109.815 33.879
202012 30.306 109.897 35.690
202103 30.538 111.754 35.365
202106 32.024 114.631 36.155
202109 32.427 115.734 36.261
202112 33.558 117.630 36.921
202203 32.176 121.301 34.329
202206 31.373 125.017 32.478
202209 29.690 125.227 30.684
202212 32.618 125.222 33.711
202303 35.352 127.348 35.927
202306 37.037 128.729 37.236
202309 38.620 129.860 38.489
202312 46.928 129.419 46.928

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Arch Capital Group  (NAS:ACGL) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


Arch Capital Group Cyclically Adjusted PB Ratio Related Terms

Thank you for viewing the detailed overview of Arch Capital Group's Cyclically Adjusted PB Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Arch Capital Group (Arch Capital Group) Business Description

Address
100 Pitts Bay Road, Waterloo House, Ground Floor, Pembroke, BMU, HM 08
Arch Capital Group Ltd is a Bermuda company which writes insurance and reinsurance with operations in Bermuda, the United States, Canada, Europe, Australia and South Africa. The business operates through three segments: insurance, reinsurance, and mortgage. The insurance segment provides specialty risk solutions to clients worldwide across a variety of industries. The reinsurance segment provides reinsurance services which cover property catastrophe, property, liability, marine, aviation and space, trade credit and surety, agriculture, accident, life and health, and political risk. The mortgage business provides risk management and risk financing products to the mortgage insurance sectors through platforms in the U.S., Europe and Bermuda.
Executives
Nicolas Papadopoulo other: Officer of Subsidiary WESSEX HOUSE, 3RD FLOOR, 45 REID STREET, HAMILTON D0 HM 12
Marc Grandisson officer: Officer of Subsidiary C/O ARCH REINSURANCE LTD, WESSEX HOUSE 45 REID ST, HAMILTON BERMUDA D0 999999999
David Gansberg officer: CEO, Global Mortgage Group 230 NORTH ELM STREET, GREENSBORO NC 27401
Louis T Petrillo officer: President, Gen Counsel & Secr. C/O ARCH CAPITAL SERVICES INC, 20 HORSENECK LANE, GREENWICH CT 06830
Maamoun Rajeh officer: Chairman & CEO Arch Re Group WATERLOO HOUSE, GROUND FLOOR, 100 PITTS BAY ROAD, PEMBROKE D0 HM08
Francois Morin officer: EVP and CFO WATERLOO HOUSE, GROUND FLOOR, 100 PITTS BAY ROAD, PEMBROKE D0 HM08
Bunce John L Jr director C/O WESTERN WIRELESS CORP, 3650 131ST AVE. S.E . #400, BELLEVUE WA 98006
Brian S Posner director 14 CAMBRIDGE CENTER, CAMBRIDGE MA 02142
John M Pasquesi director C/O OTTER CAPITAL, ONE MARITIME PLAZA SUITE 1400, SAN FRANCISCO CA 94111
Francis Ebong director WATERLOO HOUSE, GROUND FLOOR, 100 PITTS BAY ROAD, PEMBROKE D0 HM08
Eileen A Mallesch director 3776 SOUTH HIGH ST, COLUMBUS OH 43207
Christine Todd officer: SVP & Chief Investment Officer C/O ARCH CAPITAL GROUP LTD, WATERLOO HOUSE, 100 PITTS BAY ROAD, PEMBROKE D0 HM08
W Preston Hutchings officer: SVP & Chief Investment Officer WESSEX HOUSE 45 REID STREET, 4TH FLOOR, HAMILTON D0 HM12
Moira A. Kilcoyne director 632 HUDSON STREET, HOBOKEN NJ 07030
Thomas R Watjen director UNUM GROUP, 1 FOUNTAIN SQUARE, CHATTANOOGA TN 37402