American International Group, Inc. (NYSE:AIG) Stock Has Consensus Price Target of $87.68

Key Points

• Analyst consensus is “Hold”: Ten of 18 brokerages rate AIG a hold, while eight recommend buying. The average 12-month price target is $87.68, above the stock’s reported price of $81.25.
• AIG exceeded earnings expectations: The insurer reported quarterly EPS of $2.00, beating the $1.92 consensus estimate, although revenue of $7.08 billion came in below the $7.25 billion forecast.
• Investors receive a 2.5% dividend yield: AIG pays a quarterly dividend of $0.50, or $2.00 annually, with a 36.56% payout ratio. Institutional investors own 90.60% of the company.

Shares of American International Group, Inc. (NYSE:AIG - Get Free Report) have been assigned an average rating of "Hold" from the eighteen brokerages that are covering the stock, MarketBeat reports. Ten investment analysts have rated the stock with a hold rating and eight have given a buy rating to the company. The average 12 month price target among brokerages that have issued ratings on the stock in the last year is $87.68.

A number of equities research analysts recently issued reports on the stock. The Goldman Sachs Group upped their price objective on shares of American International Group from $85.00 to $88.00 and gave the stock a "buy" rating in a report on Wednesday, July 1st. Argus restated a "buy" rating and set a $90.00 target price on shares of American International Group in a report on Wednesday, September 2nd. HSBC reduced their price target on American International Group from $94.00 to $88.00 and set a "buy" rating for the company in a research report on Monday, July 6th. Barclays upped their price target on American International Group from $80.00 to $81.00 and gave the stock an "equal weight" rating in a research note on Friday, August 7th. Finally, Morgan Stanley lowered their price objective on American International Group from $81.00 to $80.00 and set an "equal weight" rating on the stock in a report on Tuesday, October 6th.

Insider Transactions at American International Group

In other American International Group news, insider Peter Zaffino sold 36,829 shares of the company's stock in a transaction that occurred on Thursday, August 13th. The stock was sold at an average price of $76.14, for a total transaction of $2,804,160.06. Following the completion of the sale, the insider owned 556,004 shares of the company's stock, valued at $42,334,144.56. This represents a 6.21% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.60% of the stock is owned by insiders.

Institutional Trading of American International Group

Several large investors have recently modified their holdings of AIG. First Bancorp Inc ME acquired a new position in American International Group during the 2nd quarter worth $30,000. Fiduciary Financial Advisors acquired a new stake in shares of American International Group in the second quarter valued at about $34,000. CENTRAL TRUST Co grew its position in shares of American International Group by 48.7% in the first quarter. CENTRAL TRUST Co now owns 461 shares of the insurance provider's stock valued at $35,000 after purchasing an additional 151 shares during the last quarter. Elevation Wealth Partners LLC increased its stake in shares of American International Group by 71.6% in the third quarter. Elevation Wealth Partners LLC now owns 556 shares of the insurance provider's stock worth $41,000 after purchasing an additional 232 shares during the period. Finally, Cedar Mountain Advisors LLC bought a new position in shares of American International Group in the first quarter worth about $50,000. 90.60% of the stock is owned by institutional investors.

American International Group Price Performance

NYSE AIG opened at $81.25 on Friday. The company has a quick ratio of 0.61, a current ratio of 0.61 and a debt-to-equity ratio of 0.22. The stock has a market capitalization of $42.49 billion, a PE ratio of 14.85, a price-to-earnings-growth ratio of 0.87 and a beta of 0.52. The company has a 50 day moving average price of $76.59 and a two-hundred day moving average price of $76.83. American International Group has a 12-month low of $71.25 and a 12-month high of $87.29.

American International Group (NYSE:AIG - Get Free Report) last posted its earnings results on Friday, August 7th. The insurance provider reported $2.00 EPS for the quarter, topping the consensus estimate of $1.92 by $0.08. The company had revenue of $7.08 billion during the quarter, compared to the consensus estimate of $7.25 billion. American International Group had a net margin of 11.13% and a return on equity of 11.05%. During the same period in the previous year, the firm posted $1.81 earnings per share. As a group, equities analysts predict that American International Group will post 8.07 earnings per share for the current fiscal year.

American International Group Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, September 30th. Investors of record on Wednesday, September 16th were issued a $0.50 dividend. This represents a $2.00 annualized dividend and a yield of 2.5%. The ex-dividend date was Wednesday, September 16th. American International Group's payout ratio is 36.56%.

American International Group Company Profile

American International Group, Inc NYSE: AIG is a global insurance organization that provides property and casualty insurance products and related services to businesses, institutions, and individuals. Its offerings include commercial insurance, personal insurance, specialty coverage, accident and health products, and travel-related protection.

AIG serves customers through operations in the United States and international markets. Its commercial insurance business supports companies across industries with coverage such as property, casualty, liability, marine, and other specialty risks, while its personal insurance operations provide protection for individuals and families.

The company was founded in Shanghai in 1919 by Cornelius Vander Starr and is headquartered in New York City.

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