ACGLNEUTRAL

ACGL Debt-to-Equity Ratio Analysis

0.11x

Higher than 4% of Financial Services sector peers

Updated 3030h ago·SEC filings & market data

Key Takeaway

Arch Capital Group Ltd.’s Debt-to-Equity ratio is 0.11x, meaning the company uses only 11 cents of debt for every dollar of shareholders’ equity — a measure of financial leverage that indicates a very conservative capital structure.

Sector Performance

4th percentile

ACGL

0.11x

Sector Median

0.46x

Sector Avg

0.94x

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Deep Analysis

This ratio places ACGL at the 5th percentile among Financial Services sector peers, well below the sector median of 0.43x. The metric has been perfectly stable over the past eight quarters, with a year-over-year change of +0.0% and a quarter-over-quarter change of +0.0%. A Debt-to-Equity ratio this low, combined with zero movement in either direction, implies minimal financial risk from debt but also suggests the company is not actively using leverage to amplify returns. For an investor, this combination points to a low-risk profile with limited upside from financial engineering, which aligns with a neutral risk-reward assessment. The stable, ultra-low leverage supports the overall NEUTRAL verdict because it removes downside risk from debt without providing a catalyst for growth.

Frequently Asked Questions

What does the Debt-to-Equity Ratio tell investors about ACGL?

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.

How is the Debt-to-Equity Ratio calculated?

Debt-to-Equity Ratio is calculated as: Total Debt / Shareholders' Equity.

How does ACGL's Debt-to-Equity Ratio compare to its sector?

ACGL's Debt-to-Equity Ratio of 0.11x compares to a Financial Services sector median of 0.46x, placing it in the 4th percentile.

Who are ACGL's closest peers by Debt-to-Equity Ratio?

The closest Financial Services peers by Debt-to-Equity Ratio include: HSBC (0.52x), AIZ (0.38x), AMP (0.53x), RJF (0.35x), AFL (0.35x).

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Learn More About Debt-to-Equity Ratio

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Debt/Equity Ratio: How Much Debt Is Too Much?

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The Formula

Total Debt / Shareholders' Equity

Why It Matters

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.