Arch Capital Group Ltd

Arch Capital Group is a Bermuda-based insurance company and a member of the S&P 500 index. It provides insurance, reinsurance and mortgage insurance worldwide. Reinsurance is insurance for insurance companies: Arch takes on part of the risk other insurers carry in return for a share of their premiums. Arch focuses on specialty lines. These are less standard risks that call for expert underwriting, which is the work of pricing a risk and deciding whether to accept it.

Like other insurers, Arch makes money in two ways. It aims to collect more in premiums than it pays in claims and expenses. It also invests the premiums while it waits for claims to come due. In 2025 it wrote $16.5 billion of net premiums, had $19.9 billion of revenue and earned $4.4 billion for common shareholders.

Arch reports three segments. Insurance writes specialty coverage in the U.S., the U.K., Europe, Canada, Bermuda and Australia. In August 2024, Arch bought Allianz's U.S. middle-market and entertainment insurance business, which widened its U.S. reach. Reinsurance operates from Bermuda, the U.S., Ireland and the London market. Mortgage insurance protects lenders if borrowers default. Arch offers it in the U.S. through units approved by Fannie Mae and Freddie Mac, and also in Europe, the U.K. and Australia. Arch also owns 29.5% of Coface, a French trade credit insurer.

• In Q2 FY2026 (ended Jun 30, 2026), revenue was $4.67B, down 10.5% from a year earlier, and net income was $1.06B (-14.6%).
• For fiscal 2025, revenue was $19.93B (+14.3% year over year; +18.6% a year from FY2020 to FY2025) with a 22.1% net margin.

• Over FY2021–FY2025: $3.73B in buybacks and $3.80B in dividends.
• Dividends took 43.2% of earnings and 31% of free cash flow in the latest fiscal year.
• Shares outstanding changed -11.6% from Nov 1, 2021 to Jul 30, 2026.

Rank among 1514 US companies

Market value at each year end

Arch Capital Group Ltd’s market value went from $10.59B at the end of 2016 to $37.30B on Nov 2, 2026, about 3.5 times as much; since the end of 2025 it is up 7%.

Form 4 filings from 2025-10-31 to 2026-10-31 (25 read): 1 open-market purchases ($499K) and 6 sales ($3.9M).

Large shareholders (13G filings)

ETFs with the most weight in ACGL

1. Mortgage insurance depends on housing policy. Fewer low-down-payment mortgages in the U.S. or Australia could shrink this business. So could changes to the role of Fannie Mae and Freddie Mac or their rules for mortgage insurers. How existing policies finally perform is also uncertain.
2. Big disasters can cause large losses. Natural catastrophes such as major storms can bring large claims and big swings in results. Climate change could also weaken the catastrophe models and reinsurance Arch relies on to limit losses.
3. Claim reserves could prove too low. Insurers set money aside for future claims using probabilities and models. If claims run higher than expected, including new types of claims or coverage questions, Arch would have to add reserves, which cuts profits.
4. Its own reinsurance protection could fall short. Arch purchases reinsurance and uses capital-market deals to cap its exposure. That protection may become scarce. Reinsurers or other key partners could also fail to pay, mismanage their risks or commit fraud.
5. Higher taxes in Bermuda and abroad. A Bermuda corporate income tax law that took effect January 1, 2025 raises Arch's taxes at home. The OECD's plan on Base Erosion and Profit Shifting could also raise its taxes in other countries.
6. Insurance prices rise and fall in cycles. The industry swings between strong pricing and soft periods, when too much capital chases business and premium rates fall. In soft markets, Arch may have to write less business or accept thinner margins.

• Oct 30, 2026 Investor presentation or announcement
• Oct 30, 2026 Major agreement signed; New debt or financial obligation
• Oct 29, 2026 Executive or board change
• Oct 27, 2026 Quarterly results released
• Jul 28, 2026 Quarterly results released
• Jun 16, 2026 Other company announcement
• Jun 9, 2026 Major agreement signed; New debt or financial obligation; Other company announcement
• Jun 3, 2026 Executive or board change; Investor presentation or announcement
• Jun 3, 2026 Major agreement signed; Other company announcement
• Jun 2, 2026 Other company announcement

Arch Capital is not a traditional dividend stock, and it has no streak of dividend increases. It paid dividends of $5 per share in both 2024 and 2025, about $1.9 billion each year, and none are recorded for 2020 through 2023. The 2025 payout equaled about 43% of earnings and 31% of free cash flow. The dividend yield was 0% as of October 28, 2026, so income investors may not get regular checks. Arch has relied more on buybacks, about $3.7 billion from 2021 through 2025. Its share count fell 11.6% between November 2021 and July 2026.

The shares have fallen hard in crashes. They dropped 43.9% in the 2008 financial crisis and took about 18 months to recover. They fell 51.7% in the 2020 COVID crash and needed nearly 23 months. In the 2022 bear market they dipped at most 16.6% and ended 2.3% higher while the market fell. Single stocks carry more risk than diversified funds.