American International Group (NYSE:AIG) Releases Earnings Results, Beats Estimates By $0.11 EPS

American International Group (NYSE:AIG) issued its quarterly earnings results on Wednesday. The insurance provider reported $1.77 EPS for the quarter, topping analysts’ consensus estimates of $1.66 by $0.11, Briefing.com reports. The company had revenue of $12.58 billion for the quarter, compared to analysts’ expectations of $12.04 billion. American International Group had a return on equity of 10.68% and a net margin of 7.78%. During the same quarter last year, the business earned $1.63 earnings per share.

American International Group Trading Up 2.2 %

Shares of American International Group stock traded up $1.70 during midday trading on Thursday, reaching $77.51. The company had a trading volume of 2,004,324 shares, compared to its average volume of 3,913,255. The stock has a fifty day moving average price of $75.10 and a 200 day moving average price of $69.30. The company has a debt-to-equity ratio of 0.44, a current ratio of 0.31 and a quick ratio of 0.31. The firm has a market cap of $52.78 billion, a PE ratio of 15.63, a P/E/G ratio of 1.08 and a beta of 1.02. American International Group has a fifty-two week low of $48.95 and a fifty-two week high of $79.70.

American International Group Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, March 28th. Investors of record on Thursday, March 14th were paid a $0.36 dividend. This represents a $1.44 dividend on an annualized basis and a dividend yield of 1.86%. The ex-dividend date was Wednesday, March 13th. American International Group’s dividend payout ratio is currently 28.86%.

American International Group declared that its board has approved a share buyback program on Wednesday, May 1st that authorizes the company to repurchase $10.00 billion in outstanding shares. This repurchase authorization authorizes the insurance provider to purchase up to 19.4% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company’s board of directors believes its shares are undervalued.

Analysts Set New Price Targets

AIG has been the topic of several research analyst reports. Bank of America lowered American International Group from a “buy” rating to a “neutral” rating and raised their price objective for the company from $75.00 to $77.00 in a research note on Tuesday, February 20th. Royal Bank of Canada raised their price objective on American International Group from $76.00 to $80.00 and gave the company an “outperform” rating in a research note on Thursday, February 15th. UBS Group raised their price objective on American International Group from $83.00 to $84.00 and gave the company a “buy” rating in a research note on Thursday, February 22nd. Piper Sandler lifted their price target on American International Group from $87.00 to $89.00 and gave the company an “overweight” rating in a research note on Friday, April 19th. Finally, Evercore ISI lifted their price target on American International Group from $74.00 to $80.00 and gave the company an “in-line” rating in a research note on Thursday, April 11th. Eight research analysts have rated the stock with a hold rating and nine have given a buy rating to the company. According to MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $80.38.

Insider Buying and Selling

In other American International Group news, Director John C. Inglis bought 659 shares of the stock in a transaction on Thursday, March 14th. The stock was acquired at an average cost of $75.39 per share, for a total transaction of $49,682.01. Following the completion of the acquisition, the director now owns 659 shares in the company, valued at approximately $49,682.01. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. In other American International Group news, Director John C. Inglis bought 659 shares of the stock in a transaction on Thursday, March 14th. The stock was acquired at an average cost of $75.39 per share, for a total transaction of $49,682.01. Following the completion of the acquisition, the director now owns 659 shares in the company, valued at approximately $49,682.01. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Peter Zaffino sold 333,000 shares of American International Group stock in a transaction that occurred on Friday, March 15th. The stock was sold at an average price of $75.87, for a total value of $25,264,710.00. Following the completion of the sale, the chief executive officer now owns 505,420 shares of the company’s stock, valued at $38,346,215.40. The disclosure for this sale can be found here. 0.61% of the stock is owned by insiders.

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.