Arch Cap Group Ltd Stock Price, News & Analysis

Arch Capital Group Ltd. (NASDAQ: ACGL) reported strong second-quarter results for 2021, achieving a net income of $663.8 million ($1.63 per share), a significant increase from $288.4 million ($0.71 per share) in 2020. The after-tax operating income was $407.2 million ($1.00 per share), up from $16.6 million ($0.04 per share) year-on-year. Gross premiums written rose by 41.8% to $3.3 billion, with combined ratios improving to 82.0%. The percentage of loans in default on U.S. primary mortgage business decreased to 3.11%. Share buybacks totaled 7.8 million shares for $306 million.

Arch Capital Group Ltd. (ACGL) has completed the acquisition of Watford Holdings Ltd., announced on Nov. 2, 2020. The partnership includes Kelso & Company and Warburg Pincus, owning approximately 30% each, while Arch holds around 40%. The completion of this transaction is viewed as a key step toward leveraging favorable market conditions to enhance Watford’s growth and success.

As of March 31, 2021, Arch reports $15.8 billion in capital, indicating a strong financial position to support this acquisition.

Arch Capital Group Ltd. (NASDAQ: ACGL) will release its 2021 second quarter results on July 28, 2021, after market close. The company has scheduled a conference call for investors and analysts at 11:00 a.m. ET on July 29, 2021, with a live webcast available on its website. A replay of the call will be accessible from July 29 at 2:00 p.m. ET until August 5, 2021. Arch Capital Group, which has approximately $15.8 billion in capital, provides global insurance and reinsurance services through its subsidiaries.

Arch Capital Group Ltd. (NASDAQ: ACGL) has priced a public offering of 20,000,000 Depositary Shares, each representing a 1/1,000^th interest in a 4.550% Non-Cumulative Preferred Share, Series G, totaling $500 million. The proceeds will be used to redeem Series E Preferred Shares and for general corporate purposes. The offering closes on June 11, 2021. The Series G shares may be redeemed starting June 11, 2026, at $25,000 each, plus unpaid dividends. The underwriters include BofA Securities, J.P. Morgan, and others.

Arch Capital Group Ltd. (ACGL) announced the appointment of Christine Todd as Chief Investment Officer, effective June 7, 2021, pending regulatory approval. Todd, who brings over 30 years of experience, succeeds W. Preston Hutchings, who is retiring but will remain as a Senior Adviser. Hutchings significantly contributed to the firm, growing the investment portfolio from $6 billion to over $26 billion. Todd previously served as Head of Fixed Income, U.S. for Amundi US and is expected to lead the investment strategy and operations.

Arch Capital Group Ltd. (NASDAQ: ACGL) reported its Q1 2021 results, showing significant growth. Net income to common shareholders reached $427.8 million, or $1.05 per share, up from $133.7 million a year prior. The after-tax operating income was $239.8 million, or $0.59 per share, with a 7.8% annualized return on equity. Gross premiums written increased by 19.9% to $3.4 billion. The company experienced a combined ratio of 90.7%, improving from 91.5% in Q1 2020. Arch also repurchased 5.3 million shares for $179.3 million, reflecting strong shareholder returns.

Arch Capital Group Ltd. (NASDAQ: ACGL) projects Q1 2021 pretax catastrophe losses ranging from $180 million to $190 million, primarily due to winter storms Uri and Viola. These storms are expected to result in industry-wide losses of $14 billion to $16 billion, with ACGL's losses predominantly from its reinsurance segment. Although estimates are based on preliminary claims, actual losses may vary significantly. The report also notes ongoing exposure to COVID-19 claims.

Arch Capital Group Ltd. [NASDAQ: ACGL] will release its 2021 Q1 financial results after market hours on April 27, 2021. A conference call for investors is scheduled for April 28, 2021, at 11:00 a.m. ET, available via live webcast on the Company’s website. A replay of the call can be accessed from April 28, 2:00 p.m. ET to May 5, 2021. The Company, with approximately $15.8 billion in capital, provides global insurance, reinsurance, and mortgage insurance through its subsidiaries. Forward-looking statements involve risks and uncertainties, and actual results may vary.

Arch Capital Group Ltd. (NASDAQ: ACGL) announced its acquisition of Westpac Lenders Mortgage Insurance Limited (WLMI), a major Australian mortgage insurance provider, with shareholders’ equity of AUD 285.7 million as of September 30, 2020. This agreement allows WLMI to continue as Westpac’s exclusive LMI provider for 10 years. The acquisition aims to strengthen Arch's position in the Australian market and enhance its global mortgage insurance operations. The deal is subject to regulatory approvals and is anticipated to close later this year.