American International Group, Inc. (NYSE:AIG) Shareholders to Receive $0.50 Quarterly Dividend

Key Points

• AIG declared a quarterly dividend of $0.50 per share, payable December 30 to shareholders of record December 16. That equals $2.00 annually and a 2.5% yield.
• The dividend appears well covered: AIG’s payout ratio is 25.7%, and analysts expect next year’s earnings to cover the annual dividend at an estimated 22.9% payout ratio.
• AIG reported quarterly EPS of $2.06, beating the $1.88 consensus, while revenue of $7.42 billion matched estimates. EPS was down from $2.20 a year earlier, and General Insurance underwriting income fell 29%, partly due to storm losses.

American International Group, Inc. (NYSE:AIG - Get Free Report) announced a quarterly dividend on Tuesday, November 3rd. Investors of record on Wednesday, December 16th will be given a dividend of $0.50 per share by the insurance provider on Wednesday, December 30th. This represents a $2.00 dividend on an annualized basis and a yield of 2.5%. The ex-dividend date of this dividend is Wednesday, December 16th.

American International Group has raised its dividend by an average of 0.1% annually over the last three years and has raised its dividend annually for the last 3 consecutive years. American International Group has a payout ratio of 25.7% meaning its dividend is sufficiently covered by earnings. Research analysts expect American International Group to earn $8.72 per share next year, which means the company should continue to be able to cover its $2.00 annual dividend with an expected future payout ratio of 22.9%.

American International Group Price Performance

AIG opened at $80.65 on Wednesday. American International Group has a twelve month low of $71.25 and a twelve month high of $87.29. The firm has a market cap of $42.17 billion, a price-to-earnings ratio of 9.96, a PEG ratio of 0.86 and a beta of 0.48. The company has a current ratio of 0.61, a quick ratio of 0.61 and a debt-to-equity ratio of 0.22. The company has a fifty day simple moving average of $77.26 and a 200 day simple moving average of $76.84.

American International Group (NYSE:AIG - Get Free Report) last issued its quarterly earnings data on Tuesday, November 3rd. The insurance provider reported $2.06 EPS for the quarter, topping analysts' consensus estimates of $1.88 by $0.18. The firm had revenue of $7.42 billion for the quarter, compared to analyst estimates of $7.42 billion. American International Group had a net margin of 11.13% and a return on equity of 11.05%. During the same quarter in the previous year, the business posted $2.20 EPS. Equities research analysts expect that American International Group will post 8.07 EPS for the current fiscal year.

More American International Group News

Here are the key news stories impacting American International Group this week:

• Positive Sentiment: AIG reported adjusted Q3 EPS of $2.06, above estimates of $1.88, with broad-based growth in net premiums written. Revenue of $7.42 billion was in line with expectations. AIG Q3 earnings beat on broad-based net premiums written growth
• Positive Sentiment: The company declared a quarterly dividend of $0.50 per share, equivalent to $2.00 annually and a yield of about 2.5%. AIG dividend announcement
• Negative Sentiment: General Insurance underwriting income fell 29%, with storm losses cited as a drag. Q3 EPS also declined from $2.20 a year earlier, tempering the earnings beat. AIG’s General Insurance Q3 Underwriting Income Down 29%

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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