American International Group Inc. (AIG) Upgraded by Zacks Investment Research to Buy
Zacks Investment Research upgraded shares of American International Group Inc. (NYSE:AIG) from a hold rating to a buy rating in a research note issued to investors on Tuesday morning. Zacks Investment Research currently has $66.00 price objective on the insurance provider’s stock.
According to Zacks, “American International Group is undergoing a strategic transformation to regain its lost glory. A number of strategic measures, such as sale of units generating low returns, reduction of expenses, lowering hedge fund allocation are being taken. It also aims to boost shareholders’ value via share buyback and dividend increase. The company, however, continues to suffer from intense competition, litigation damages, volatility in interest rates and currency fluctuations which further pose financial and operating risks. Also, management estimates net premiums written in 2016 to be lower due to increase in reinsurance usage and exit from unprofitable businesses. The company is expected to release third quarter 2016 earnings on Nov 11, 2016. The Zacks Consensus earning estimate for the quarter is pegged at $1.15 per share which translates into year over year growth rate of 121.9%.”
Several other equities research analysts also recently weighed in on the stock. Atlantic Securities raised shares of American International Group from a neutral rating to an overweight rating and set a $60.00 price objective for the company in a report on Thursday, June 30th. They noted that the move was a valuation call. Vetr downgraded shares of American International Group from a strong-buy rating to a buy rating and set a $58.24 price target for the company. in a report on Monday, July 11th. Barclays PLC upped their price target on shares of American International Group from $60.00 to $68.00 and gave the company an overweight rating in a report on Friday, September 30th. Deutsche Bank AG upped their price target on shares of American International Group from $58.00 to $59.00 and gave the company a hold rating in a report on Wednesday, August 3rd. Finally, Citigroup Inc. cut their price target on shares of American International Group from $69.00 to $66.00 and set a buy rating for the company in a report on Thursday, July 7th. Two investment analysts have rated the stock with a sell rating, nine have given a hold rating, eighteen have given a buy rating and one has given a strong buy rating to the stock. The company currently has a consensus rating of Buy and an average target price of $65.10.
American International Group (NYSE:AIG) traded up 1.49% during midday trading on Tuesday, hitting $59.96. 1,709,066 shares of the company traded hands. The company’s market cap is $64.20 billion. American International Group has a 12-month low of $48.41 and a 12-month high of $64.31. The stock has a 50 day moving average price of $58.89 and a 200-day moving average price of $56.07.
American International Group (NYSE:AIG) last posted its quarterly earnings data on Tuesday, August 2nd. The insurance provider reported $0.98 earnings per share for the quarter, topping the consensus estimate of $0.93 by $0.05. American International Group had a negative net margin of 0.64% and a positive return on equity of 1.33%. During the same period in the prior year, the company earned $1.39 earnings per share. Analysts expect that American International Group will post $4.04 EPS for the current year.
The firm also recently disclosed a quarterly dividend, which was paid on Thursday, September 29th. Stockholders of record on Thursday, September 15th were given a $0.32 dividend. The ex-dividend date of this dividend was Tuesday, September 13th. This represents a $1.28 annualized dividend and a dividend yield of 2.17%. American International Group’s dividend payout ratio is -799.95%.
Several large investors have recently bought and sold shares of AIG. BNP Paribas Arbitrage SA raised its position in shares of American International Group by 1.6% in the third quarter. BNP Paribas Arbitrage SA now owns 623,437 shares of the insurance provider’s stock worth $36,910,000 after buying an additional 9,541 shares during the last quarter. Eqis Capital Management Inc. raised its position in shares of American International Group by 3.1% in the third quarter. Eqis Capital Management Inc. now owns 8,092 shares of the insurance provider’s stock worth $480,000 after buying an additional 240 shares during the last quarter. Norman Fields Gottscho Capital Management LLC purchased a new position in shares of American International Group during the third quarter worth approximately $208,000. Kentucky Retirement Systems Insurance Trust Fund purchased a new position in shares of American International Group during the second quarter worth approximately $2,390,000. Finally, Kentucky Retirement Systems purchased a new position in shares of American International Group during the second quarter worth approximately $5,033,000. 84.69% of the stock is owned by institutional investors.
American International Group Company Profile
American International Group, Inc (AIG) is an insurance company. The Company provides a range of property casualty insurance, life insurance, retirement products, mortgage insurance and other financial services to customers in over 100 countries and jurisdictions. The Company operates through two segments: Commercial Insurance and Consumer Insurance, as well as a Corporate and Other category.
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