American International Group, Inc. (NYSE:AIG) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a report issued on Tuesday.
According to Zacks, “AIG's shares have underperformed the industry year to date. Its weak commercial lines business remains a drag. Adverse reserve development and exposure to catastrophe are the other headwinds. Decling topline is another major concern. Regulators have removed the company from SIFI tag which brings geater capital flexibility to the company. Several turnaround measures undertaken by the company like strategic divestitures, asset sales, increasing share buybacks, dividend hikes, personnel changes, cost control, reinsurance deals, and lowering of hedge fund investments are expected to deliver strong earnings by curbing volatility. Though some of these efforts have paid off, many more reforms are required for a turnaround.”
A number of other research analysts have also recently issued reports on the stock. Buckingham Research started coverage on shares of American International Group in a research note on Monday, September 11th. They issued an “underperform” rating and a $52.00 price objective on the stock. Royal Bank Of Canada reissued a “buy” rating and issued a $73.00 price objective on shares of American International Group in a research note on Wednesday, September 6th. BidaskClub cut shares of American International Group from a “hold” rating to a “sell” rating in a research note on Monday, July 24th. Wells Fargo & Company reaffirmed a “buy” rating on shares of American International Group in a research note on Wednesday, July 5th. Finally, UBS AG decreased their target price on shares of American International Group from $65.00 to $64.00 and set a “neutral” rating on the stock in a research note on Tuesday, September 19th. Four analysts have rated the stock with a sell rating, five have given a hold rating, ten have issued a buy rating and one has assigned a strong buy rating to the stock. American International Group has a consensus rating of “Hold” and an average target price of $68.18.
Shares of American International Group (NYSE:AIG) opened at 63.44 on Tuesday. American International Group has a 52-week low of $57.35 and a 52-week high of $67.47. The company’s 50-day moving average price is $61.07 and its 200-day moving average price is $62.25. The company’s market capitalization is $57.31 billion.
American International Group (NYSE:AIG) last announced its quarterly earnings data on Wednesday, August 2nd. The insurance provider reported $1.53 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.20 by $0.33. The business had revenue of $11.23 billion for the quarter, compared to analysts’ expectations of $12.61 billion. American International Group had a negative net margin of 0.53% and a positive return on equity of 6.06%. During the same period last year, the firm posted $0.98 earnings per share. Equities research analysts forecast that American International Group will post $3.39 EPS for the current fiscal year.
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Hedge funds have recently added to or reduced their stakes in the stock. Israel Discount Bank of New York acquired a new position in American International Group in the first quarter valued at $145,000. Peddock Capital Advisors LLC raised its holdings in shares of American International Group by 100.0% during the second quarter. Peddock Capital Advisors LLC now owns 2,542 shares of the insurance provider’s stock valued at $159,000 after purchasing an additional 1,271 shares during the period. Bronfman E.L. Rothschild L.P. raised its holdings in shares of American International Group by 30.3% during the second quarter. Bronfman E.L. Rothschild L.P. now owns 3,076 shares of the insurance provider’s stock valued at $192,000 after purchasing an additional 716 shares during the period. Signaturefd LLC acquired a new position in shares of American International Group during the first quarter valued at about $202,000. Finally, Linscomb & Williams Inc. acquired a new position in shares of American International Group during the second quarter valued at about $204,000. Institutional investors and hedge funds own 83.96% of the company’s stock.
About American International Group
American International Group, Inc is a global insurance company. The Company provides a range of property casualty insurance, life insurance, retirement products and other financial services to commercial and individual customers. Its segments include Commercial Insurance, Consumer Insurance, Other Operations and Legacy Portfolio.
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