Arch Capital GroupMIL:1ACGL +1.41%68 EV-to-FCF is 6.46 as of Jun. 29, 2026, which is 4% below its 10-year median of 6.75. GuruFocus rates MIL:1ACGL with a GF Score™ of 68/100 and a GF Value™ of €100.60 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 395 Insurance companies, Arch Capital Group ranks better than 65.82% on this metric.
EV-to-FCF is calculated as enterprise value divided by its free cash flow. As of today, Arch Capital Group's Enterprise Value is €32,461 Mil.
Arch Capital Group's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 was €5,027 Mil. Therefore, Arch Capital Group's EV-to-FCF for today is 6.46.
The historical rank and industry rank for Arch Capital Group's EV-to-FCF or its related term are showing as below:
MIL:1ACGL'
s EV-to-FCF Range Over the Past 10 Years
Min: 5.17 Med: 6.75 Max: 16.04
Current: 6.29
During the past 13 years, the highest EV-to-FCF of Arch Capital Group was 16.04. The lowest was 5.17. And the median was 6.75.
MIL:1ACGL's EV-to-FCF is ranked better than 65.82% of 395
companies
in the Insurance industry
Industry Median: 9.32
vs MIL:1ACGL: 6.29
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Arch Capital Group (MIL:1ACGL) EV-to-FCF Explanation
EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Arch Capital Group's PE Ratio (TTM) for today is calculated as:
Arch Capital Group's share price for today is €84.88.
Arch Capital Group's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €11.185.
* 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.
Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Free Cash Flow is an important financial metric because it represents the actual amount of cash at a company's disposal. Companies with a low EV-to-FCF ratio, combined with a strong balance sheet are generally considered as undervalued.
Arch Capital Group EV-to-FCF Related Terms
Arch Capital Group EV-to-FCF Historical Data
* Premium members only.
The historical data trend for Arch Capital Group's EV-to-FCF 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.
For the Insurance - Diversified subindustry, Arch Capital Group's EV-to-FCF, along with its competitors' market caps and EV-to-FCF 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 EV-to-FCF vs Insurance Industry
For the Insurance industry and Financial Services sector, Arch Capital Group's EV-to-FCF distribution charts can be found below:
* The bar in red indicates where Arch Capital Group's EV-to-FCF falls into.
Arch Capital Group's current Enterprise Value is €32,461 Mil.
Arch Capital Group's Free Cash Flow for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €5,027 Mil.
* 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 (MIL:1ACGL) has a EV-to-FCF of 6.46 as of Jun. 29, 2026. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Arch Capital Group and its competitors. This is near median its historical median of 6.75. Over the past decade, Arch Capital Group's EV-to-FCF has ranged from 5.17 to 16.04. According to the industry distribution chart, Arch Capital Group ranks #135 out of 395 companies in the Insurance industry, placing it in the top 34.2%.
Is Arch Capital Group's EV-to-FCF too high?
Arch Capital Group's current EV-to-FCF of 6.46 is near median its 10-year median of 6.75. Over the past 10 years, this metric has ranged from a low of 5.17 to a high of 16.04. The Insurance industry median EV-to-FCF is 9.32. Arch Capital Group's value of 6.46 is 30.7% below this industry median. Based on the distribution chart, Arch Capital Group ranks #135 out of 395 companies in the Insurance industry, which is above the industry midpoint. Overall, Arch Capital Group has a GF Score™ of 68/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Arch Capital Group's EV-to-FCF compare to HIG and AIG?
According to the Insurance industry distribution chart, Arch Capital Group ranks #135 out of 395 companies for EV-to-FCF. This puts Arch Capital Group in the upper half of its industry. The industry median EV-to-FCF is 9.32. Arch Capital Group's value of 6.46 is 30.7% below this benchmark. Historically, Arch Capital Group's own EV-to-FCF has ranged from 5.17 to 16.04 over the past decade. While the company's 10-year median is 6.75 vs. the industry median of 9.32, Arch Capital Group has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-FCF for an Insurance company?
The median EV-to-FCF among Insurance companies is 9.32, based on 395 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-FCF significantly above this median, while those in the bottom quartile fall well below. However, EV-to-FCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Arch Capital Group's current EV-to-FCF of 6.46 is 30.7% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-FCF mean?
A high EV-to-FCF can signal that a stock is expensive relative to its fundamentals. EV to FCF ratio is the company's enterprise value divided by free cash flow. View historical data on Arch Capital Group and its competitors. For the Insurance industry, the median EV-to-FCF is 9.32 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arch Capital Group's current EV-to-FCF is 6.46, which is near median its own 10-year median of 6.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arch Capital Group stock overvalued right now?
Based on GuruFocus' analysis, Arch Capital Group (MIL:1ACGL) is currently considered Modestly Undervalued. The stock's GF Value™ is €100.60, compared to a current price of €84.88 — trading 15.6% below its estimated fair value. The current EV-to-FCF is 6.46, which is near median its 10-year median of 6.75 and 30.7% below the Insurance industry median of 9.32. Arch Capital Group's overall GF Score™ is 68/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-FCF calculated?
EV-to-FCF is calculated from a company's financial statements. For Arch Capital Group (MIL:1ACGL), the current EV-to-FCF is 6.46 as of Jun. 29, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Arch Capital Group (MIL:1ACGL) Overvalued in 2026?
Based on GuruFocus' analysis, Arch Capital Group stock appears to be undervalued.
The current stock price of €84.88 is trading 15.6% below its estimated GF Value™ of €100.60.
GuruFocus considers Arch Capital Group to be Modestly Undervalued.
Key valuation signals for MIL:1ACGL:
EV-to-FCF: 6.46 (near median its 10-year median of 6.75)
GF Value™: €100.60 vs. price of €84.88 (15.6% below fair value)
Industry Position: 30.7% below the Insurance median (#135 of 395)
No single metric tells the full story. See the MIL:1ACGL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Arch Capital Group Ltd is a Bermuda company that writes insurance and reinsurance with operations in the United States, Canada, Europe, Australia, and the United Kingdom. The business operates through three underwriting segments: insurance, reinsurance, and mortgage. The insurance segment provides specialty risk solutions to clients across various 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.
68GF Score
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