American International Group’s (AIG) Outperform Rating Reiterated at Royal Bank of Canada

Royal Bank of Canada reiterated their outperform rating on shares of American International Group (NYSE:AIG) in a report issued on Tuesday, Benzinga reports. They currently have a $87.00 price target on the insurance provider’s stock.

A number of other analysts also recently issued reports on AIG. Citigroup increased their target price on shares of American International Group from $79.00 to $87.00 and gave the stock a buy rating in a research report on Tuesday, April 16th. Morgan Stanley increased their target price on shares of American International Group from $72.00 to $79.00 and gave the stock an equal weight rating in a research report on Monday, April 15th. Piper Sandler increased their target price on shares of American International Group from $87.00 to $89.00 and gave the stock an overweight rating in a research report on Friday, April 19th. Wells Fargo & Company increased their target price on shares of American International Group from $80.00 to $82.00 and gave the stock an equal weight rating in a research report on Friday, May 10th. Finally, JPMorgan Chase & Co. increased their target price on shares of American International Group from $73.00 to $80.00 and gave the stock a neutral rating in a research report on Monday, April 8th. Nine investment analysts have rated the stock with a hold rating and eight have given a buy rating to the stock. According to MarketBeat, the company has a consensus rating of Hold and an average target price of $82.50.

American International Group Stock Up 0.3 %

AIG opened at $77.21 on Tuesday. The company has a debt-to-equity ratio of 0.05, a current ratio of 0.29 and a quick ratio of 0.29. The stock has a market capitalization of $51.24 billion, a price-to-earnings ratio of 11.52, a price-to-earnings-growth ratio of 2.07 and a beta of 1.08. The business has a 50-day moving average of $76.69 and a two-hundred day moving average of $73.82. American International Group has a 12 month low of $57.02 and a 12 month high of $80.83.

American International Group (NYSE:AIG) last posted its quarterly earnings results on Thursday, May 2nd. The insurance provider reported $1.77 EPS for the quarter, beating the consensus estimate of $1.66 by $0.11. American International Group had a return on equity of 10.54% and a net margin of 9.98%. The company had revenue of $12.58 billion during the quarter, compared to analysts’ expectations of $12.04 billion. During the same quarter in the previous year, the business earned $1.63 EPS. On average, research analysts expect that American International Group will post 7.07 earnings per share for the current year.

American International Group Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, June 28th. Stockholders of record on Friday, June 14th were paid a dividend of $0.40 per share. This is a boost from American International Group’s previous quarterly dividend of $0.36. This represents a $1.60 annualized dividend and a dividend yield of 2.07%. The ex-dividend date was Friday, June 14th. American International Group’s dividend payout ratio is 23.88%.

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

Insider Activity

In related news, major shareholder International Group American sold 1,932,609 shares of the firm’s stock in a transaction on Tuesday, July 2nd. The stock was sold at an average price of $29.20, for a total transaction of $56,432,182.80. Following the transaction, the insider now directly owns 292,271,027 shares in the company, valued at $8,534,313,988.40. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Company insiders own 0.61% of the company’s stock.

Hedge Funds Weigh In On American International Group

Large investors have recently added to or reduced their stakes in the company. Fortitude Family Office LLC lifted its stake in American International Group by 199.2% during the second quarter. Fortitude Family Office LLC now owns 359 shares of the insurance provider’s stock worth $27,000 after purchasing an additional 239 shares during the last quarter. Valued Wealth Advisors LLC increased its position in American International Group by 303.3% in the first quarter. Valued Wealth Advisors LLC now owns 367 shares of the insurance provider’s stock worth $29,000 after buying an additional 276 shares during the period. Rise Advisors LLC acquired a new stake in American International Group in the first quarter worth $29,000. Versant Capital Management Inc increased its position in American International Group by 326.0% in the second quarter. Versant Capital Management Inc now owns 443 shares of the insurance provider’s stock worth $33,000 after buying an additional 339 shares during the period. Finally, CENTRAL TRUST Co increased its position in American International Group by 123.8% in the first quarter. CENTRAL TRUST Co now owns 452 shares of the insurance provider’s stock worth $35,000 after buying an additional 250 shares during the period. 90.60% of the stock is currently owned by institutional investors.

About American International Group

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.