0.01%
3.96%
-1.85%
-4.54%
7.16%
30.60%
47.02%
AI Spotlight on AIG
Company Description
American International Group, Inc.offers insurance products for commercial, institutional, and individual customers in North America and internationally.The company's General Insurance segment provides general liability, environmental, commercial automobile liability, workers' compensation, casualty, and crisis management insurance products; commercial, industrial, and energy-related property insurance; and aerospace, political risk, trade credit, portfolio solutions, crop, and marine insurance.
It also provides professional liability insurance products for a range of businesses and risks, including directors and officers, mergers and acquisitions, fidelity, employment practices, fiduciary liability, cyber risk, kidnap and ransom, and errors and omissions insurance.In addition, this segment offers personal auto and property insurance, such as auto, homeowners, umbrella, yacht, fine art, and collections; voluntary and sponsor-paid personal accident; supplemental health products; extended warranty insurance products; and travel insurance products.Its Life and Retirement segment offers variable annuities, index and fixed annuities, and retail mutual funds; and financial planning and advisory services; record-keeping, plan administrative, and compliance services; and term life and universal life insurance.
It also provides stable value wrap products, and structured settlement and pension risk transfer annuities; and corporate- and bank-owned life insurance and guaranteed investment contracts.This segment sells its products through independent marketing organizations, independent insurance agents, financial advisors, direct marketing, banks, and broker-dealers.The company was founded in 1919 and is headquartered in New York, New York.
Market Data
| Last Price | 75.42 |
| Change Percentage | 0.01% |
| Open | 75.86 |
| Previous Close | 75.41 |
| Market Cap ( Millions) | 47045 |
| Volume | 2522015 |
| Year High | 80.83 |
| Year Low | 67.53 |
| M A 50 | 73.98 |
| M A 200 | 75.16 |
Financial Ratios
| FCF Yield | 9.40% |
| Dividend Yield | 2.07% |
| ROE | 5.55% |
| Debt / Equity | 22.32% |
| Net Debt / EBIDTA | 165.68% |
| Price To Book | 1.07 |
| Price Earnings Ratio | 19.55 |
| Price To FCF | 10.64 |
| Price To sales | 2.2 |
| EV / EBITDA | 10.74 |
News
- Jan -28 - AIG Announces Expanded Global Leadership Role for Jon Hancock
- Jan -21 - AIG to Report Fourth Quarter and Full Year 2024 Financial Results on February 11, 2025 and Host Conference Call on February 12, 2025
- Jan -09 - Here's Why You Should Retain American International Stock for Now
- Jan -09 - AIG Appoints Christopher Flatt Global Chief Underwriting Officer
- Jan -08 - Private Client Select Appoints Ross Bowie as Chief Executive Officer
- Jan -07 - What's Next For AIG Stock?
- Dec -16 - If I Could Only Buy 2 High Dividend Yield Companies In December 2024: Both Yield Above 7%
- Dec -13 - AIG Leads Launch of Syndicate 2478 at Lloyd's Through Multi-Year Blackstone Strategic Relationship
- Dec -13 - AIG Announces Results and Upsizing of Its Tender Offers for Certain Outstanding Notes
- Dec -12 - AIG Announces Reference Yields and Total Consideration for its Tender Offers for Certain Outstanding Notes
- Dec -10 - AIG Closes Sale of 21.6% Ownership Stake of Corebridge to Nippon Life
- Dec -06 - AIG Announces Cash Tender Offers for Certain Outstanding Notes
- Dec -05 - AIG Stock Rises 12.1% YTD: Should Investors Hold or Fold?
- Dec -03 - AIG Closes Sale of its Global Personal Travel Insurance and Assistance Business including Travel Guard® to Zurich
- Nov -29 - 5 Multiline Insurers to Watch as Exposure Rises, Pricing Moderates
- Nov -12 - AIG Appoints Christopher Schaper Chief Risk Officer
- Nov -08 - Corebridge Financial Announces Pricing of Secondary Offering of Common Stock by AIG
- Nov -08 - AIG Elects Courtney Leimkuhler to its Board of Directors
- Nov -07 - Corebridge Financial Announces Launch of Secondary Offering of Common Stock by AIG
- Nov -05 - Daily Dividend Report: AIG, Williams, Digital Realty, Ryman, Sun Life
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> General Insurance
Expected Growth : 7.4 %
What the company do ?
General Insurance from American International Group, Inc. provides a range of insurance products, including property, casualty, and specialty insurance, to individuals and businesses.
Why we expect these perspectives ?
AIG's General Insurance segment growth of 7.4% is driven by increased commercial lines premiums, particularly in North America, and a strong performance in Asia Pacific. Additionally, the segment has benefited from rate increases, improved underwriting discipline, and a favorable claims environment. These factors have contributed to a significant increase in net premiums written, resulting in top-line growth.
Segment n°2 -> Life and Retirement
Expected Growth : 5.45 %
What the company do ?
Life and Retirement from American International Group, Inc. offers a range of insurance and investment products for individuals and groups, including life insurance, retirement savings, and institutional markets.
Why we expect these perspectives ?
AIG's Life and Retirement segment growth of 5.45% is driven by increasing demand for retirement savings products, expansion of distribution channels, and favorable interest rates. Additionally, the segment benefits from AIG's strong brand recognition, diversified product offerings, and effective risk management strategies, enabling it to capitalize on market opportunities and drive growth.
Segment n°3 -> Reconciling Items
Expected Growth : 4.65 %
What the company do ?
Reconciling items from American International Group, Inc. refer to the differences between the company's reported financial results and the results calculated using accounting standards, requiring adjustments to reconcile the two.
Why we expect these perspectives ?
AIG's 4.65% growth is driven by increasing premiums in its General Insurance segment, fueled by a strong economy and rising demand for insurance products. Additionally, the company's Life and Retirement segment benefits from higher investment income and fee growth. Furthermore, AIG's ongoing restructuring efforts and cost savings initiatives contribute to its growth momentum.
Segment n°4 -> Other Operations
Expected Growth : 4.83 %
What the company do ?
Other Operations from American International Group, Inc. includes runoff insurance business, global capital markets, and other non-core businesses.
Why we expect these perspectives ?
AIG's Other Operations segment growth of 4.83% is driven by increased demand for travel insurance and assistance services, expansion of affinity partnerships, and strategic investments in digital platforms. Additionally, the segment benefits from a diversified revenue stream, including premiums, fees, and commissions, which mitigates risks and supports sustainable growth.
Segment n°5 -> American International Group Consolidation and Elimination
Expected Growth : 4.73 %
What the company do ?
American International Group Consolidation and Elimination represents the consolidation of AIG's subsidiaries and elimination of intercompany transactions to present a single, unified financial picture.
Why we expect these perspectives ?
AIG's 4.73% growth is driven by strong underwriting results, favorable prior year reserve development, and a 10% increase in net premiums written. Additionally, the company's General Insurance segment benefited from a 14% rise in North America, and a 12% increase in International operations. Furthermore, AIG's Life and Retirement segment saw a 7% increase in premiums and deposits.
American International Group, Inc. Products
| Product Range | What is it ? |
|---|---|
| General Insurance | AIG's general insurance products provide coverage for individuals and businesses against various risks such as accidents, natural disasters, and liability. |
| Life Insurance | AIG's life insurance products provide financial protection to individuals and families in the event of death or terminal illness. |
| Retirement and Savings | AIG's retirement and savings products help individuals plan and save for their retirement goals. |
| Mortgage Insurance | AIG's mortgage insurance products provide protection to lenders and borrowers against default risks. |
| Reinsurance | AIG's reinsurance products provide risk management solutions to insurance companies. |
| Specialty Insurance | AIG's specialty insurance products provide coverage for unique risks such as aviation, energy, and marine. |
| Employee Benefits | AIG's employee benefits products provide insurance coverage to employees of corporate clients. |
American International Group, Inc.'s Porter Forces
Threat Of Substitutes
The threat of substitutes for American International Group, Inc. is medium due to the presence of alternative insurance providers and financial institutions that offer similar products and services.
Bargaining Power Of Customers
The bargaining power of customers for American International Group, Inc. is low due to the company's strong brand reputation and diversified product offerings, which reduce the customers' ability to negotiate prices.
Bargaining Power Of Suppliers
The bargaining power of suppliers for American International Group, Inc. is medium due to the company's dependence on a few large reinsurers and the availability of alternative suppliers.
Threat Of New Entrants
The threat of new entrants for American International Group, Inc. is low due to the high barriers to entry in the insurance industry, including regulatory hurdles and capital requirements.
Intensity Of Rivalry
The intensity of rivalry for American International Group, Inc. is high due to the competitive nature of the insurance industry, with many established players competing for market share.
Capital Structure
| Value | |
|---|---|
| Debt Weight | 33.05% |
| Debt Cost | 5.05% |
| Equity Weight | 66.95% |
| Equity Cost | 9.08% |
| WACC | 7.75% |
| Leverage | 49.36% |
American International Group, Inc. : Quality Control
American International Group, Inc. passed 6 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| PRU | Prudential Financial, Inc., together with its subsidiaries, provides insurance, investment management, and other financial products and services in the United States and internationally. It operates through eight segments: PGIM, Retirement, … |
| PNC | The PNC Financial Services Group, Inc. operates as a diversified financial services company in the United States. The company's Retail Banking segment offers checking, savings, and money market accounts, as … |
| MTB | M&T Bank Corporation operates as a bank holding company that provides commercial and retail banking services. The company's Business Banking segment offers deposit, lending, cash management, and other financial services … |
| TFC | Truist Financial Corporation, a holding company, provides banking and trust services in the Southeastern and Mid-Atlantic United States. The company operates through three segments: Consumer Banking and Wealth, Corporate and … |
| HIG | The Hartford Financial Services Group, Inc. provides insurance and financial services to individual and business customers in the United States, the United Kingdom, and internationally. Its Commercial Lines segment offers … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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