American International Group (NYSE:AIG) Posts Quarterly Earnings Results

American International Group (NYSE:AIG) issued its earnings results on Wednesday. The insurance provider reported $1.77 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.66 by $0.11, Briefing.com reports. American International Group had a return on equity of 10.68% and a net margin of 7.78%. The firm had revenue of $12.58 billion for the quarter, compared to analyst estimates of $12.04 billion. During the same period in the previous year, the company posted $1.63 earnings per share.

American International Group Stock Up 2.2 %

Shares of AIG traded up $1.69 on Thursday, hitting $77.50. 1,883,784 shares of the stock traded hands, compared to its average volume of 3,913,255. American International Group has a one year low of $48.95 and a one year high of $79.70. The company has a market capitalization of $52.77 billion, a PE ratio of 15.63, a P/E/G ratio of 1.08 and a beta of 1.02. The business has a 50 day simple moving average of $75.10 and a 200 day simple moving average of $69.30. The company has a debt-to-equity ratio of 0.44, a quick ratio of 0.31 and a current ratio of 0.31.

American International Group Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, March 28th. Shareholders of record on Thursday, March 14th were paid a dividend of $0.36 per share. The ex-dividend date was Wednesday, March 13th. This represents a $1.44 dividend on an annualized basis and a yield of 1.86%. American International Group’s dividend payout ratio is currently 28.86%.

Insider Activity at American International Group

In other American International Group news, Director John C. Inglis purchased 659 shares of the firm’s stock in a transaction dated Thursday, March 14th. The stock was purchased at an average price of $75.39 per share, for a total transaction of $49,682.01. Following the completion of the purchase, the director now directly owns 659 shares of the company’s stock, valued at $49,682.01. The acquisition was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. In other American International Group news, Director John C. Inglis bought 659 shares of the firm’s stock in a transaction on Thursday, March 14th. The stock was acquired at an average price of $75.39 per share, with a total value of $49,682.01. Following the transaction, the director now owns 659 shares in the company, valued at $49,682.01. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Also, CEO Peter Zaffino sold 333,000 shares of the firm’s stock in a transaction dated Friday, March 15th. The shares were sold at an average price of $75.87, for a total transaction of $25,264,710.00. Following the sale, the chief executive officer now directly owns 505,420 shares in the company, valued at approximately $38,346,215.40. The disclosure for this sale can be found here. 0.61% of the stock is currently owned by insiders.

Analyst Ratings Changes

AIG has been the topic of several analyst reports. Wells Fargo & Company upped their price target on American International Group from $74.00 to $80.00 and gave the company an “equal weight” rating in a research report on Thursday, April 11th. Piper Sandler lifted their price objective on shares of American International Group from $87.00 to $89.00 and gave the stock an “overweight” rating in a report on Friday, April 19th. Royal Bank of Canada raised their price target on American International Group from $76.00 to $80.00 and gave the company an “outperform” rating in a research report on Thursday, February 15th. BMO Capital Markets reduced their price objective on American International Group from $83.00 to $81.00 and set an “outperform” rating on the stock in a research report on Thursday, February 15th. Finally, Evercore ISI upped their target price on American International Group from $74.00 to $80.00 and gave the stock an “in-line” rating in a research note on Thursday, April 11th. Eight analysts have rated the stock with a hold rating and nine have issued a buy rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $80.38.

American International Group announced that its board has approved a share buyback plan on Wednesday, May 1st that permits the company to buyback $10.00 billion in outstanding shares. This buyback authorization permits the insurance provider to reacquire up to 19.4% of its stock through open market purchases. Stock buyback plans are typically an indication that the company’s leadership believes its stock is undervalued.

American International Group Company Profile

American International Group, Inc offers insurance products for commercial, institutional, and individual customers in North America and internationally. It operates through three segments: General Insurance, Life and Retirement, and Other Operations. The General Insurance segment provides commercial and industrial property insurance, including business interruption and package insurance that cover exposure to made and natural disasters; general liability, environmental, commercial automobile liability, workers' compensation, excess casualty, and crisis management insurance products; and professional liability insurance.