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Arch Capital Group (FRA:RSK) Cyclically Adjusted PB Ratio : 3.41 (As of May. 15, 2024)


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What is Arch Capital Group Cyclically Adjusted PB Ratio?

As of today (2024-05-15), Arch Capital Group's current share price is €90.11. Arch Capital Group's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2024 was €26.42. Arch Capital Group's Cyclically Adjusted PB Ratio for today is 3.41.

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

FRA:RSK' s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 1.33   Med: 2.14   Max: 3.44
Current: 3.37

During the past years, Arch Capital Group's highest Cyclically Adjusted PB Ratio was 3.44. The lowest was 1.33. And the median was 2.14.

FRA:RSK's Cyclically Adjusted PB Ratio is ranked worse than
87.14% of 412 companies
in the Insurance industry
Industry Median: 1.185 vs FRA:RSK: 3.37

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 Mar. 2024 was €45.412. 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 €26.42 for the trailing ten years ended in Mar. 2024.

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
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 2.60 2.79 2.88 2.62 3.18

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
=90.11/26.42
=3.41

* 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 Mar. 2024 is calculated as:

For example, Arch Capital Group's adjusted Book Value per Share data for the three months ended in Mar. 2024 was:

Adj_Book=Book Value per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=45.412/129.4194*129.4194
=45.412

Current CPI (Mar. 2024) = 129.4194.

Arch Capital Group Quarterly Data

Book Value per Share CPI Adj_Book
201406 10.728 100.560 13.807
201409 11.392 100.428 14.681
201412 12.321 99.070 16.096
201503 14.723 99.621 19.127
201506 14.103 100.684 18.128
201509 14.161 100.392 18.256
201512 14.577 99.792 18.905
201603 14.927 100.470 19.228
201606 15.439 101.688 19.649
201609 15.924 101.861 20.232
201612 16.419 101.863 20.861
201703 17.054 102.862 21.457
201706 17.337 103.349 21.710
201709 16.346 104.136 20.315
201712 16.848 104.011 20.964
201803 16.555 105.290 20.349
201806 17.701 106.317 21.547
201809 18.122 106.507 22.021
201812 18.914 105.998 23.093
201903 20.462 107.251 24.692
201906 21.808 108.070 26.116
201909 23.254 108.329 27.781
201912 23.780 108.420 28.386
202003 23.622 108.902 28.073
202006 24.524 108.767 29.180
202009 24.407 109.815 28.764
202012 24.911 109.897 29.336
202103 25.652 111.754 29.707
202106 26.580 114.631 30.009
202109 27.563 115.734 30.822
202112 29.699 117.630 32.676
202203 29.216 121.301 31.171
202206 29.679 125.017 30.724
202209 29.987 125.227 30.991
202212 30.792 125.222 31.824
202303 33.019 127.348 33.556
202306 34.185 128.729 34.368
202309 36.187 129.860 36.064
202312 43.033 129.419 43.033
202403 45.412 129.419 45.412

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  (FRA:RSK) 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 (FRA:RSK) Business Description

Traded in Other Exchanges
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.

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