Royal Bank of Canada Reiterates “Outperform” Rating for American International Group (AIG)

American International Group (NYSE:AIG)‘s stock had its “outperform” rating reaffirmed by equities researchers at Royal Bank of Canada in a research report issued on Wednesday, BenzingaRatingsTable reports. They presently have a $56.00 price target on the insurance provider’s stock. Royal Bank of Canada’s price target would suggest a potential upside of 10.17% from the company’s current price.

Several other research firms have also weighed in on AIG. Bank of America reiterated a “buy” rating and set a $56.00 target price (up previously from $50.00) on shares of American International Group in a research note on Tuesday. Wells Fargo & Co boosted their target price on shares of American International Group from $50.00 to $57.00 and gave the company an “outperform” rating in a research note on Wednesday. Zacks Investment Research upgraded shares of American International Group from a “strong sell” rating to a “hold” rating in a research note on Tuesday, April 16th. Credit Suisse Group assumed coverage on shares of American International Group in a research note on Tuesday, February 5th. They set a “neutral” rating and a $46.00 target price for the company. Finally, ValuEngine lowered shares of American International Group from a “hold” rating to a “sell” rating in a research note on Monday, February 4th. Four equities research analysts have rated the stock with a hold rating and ten have issued a buy rating to the company. The company presently has a consensus rating of “Buy” and an average price target of $55.62.

AIG stock opened at $50.83 on Wednesday. The company has a debt-to-equity ratio of 0.60, a current ratio of 0.26 and a quick ratio of 0.26. American International Group has a 1-year low of $36.16 and a 1-year high of $56.36. The firm has a market cap of $43.45 billion, a price-to-earnings ratio of 43.44, a price-to-earnings-growth ratio of 0.97 and a beta of 1.40.

American International Group (NYSE:AIG) last released its earnings results on Monday, May 6th. The insurance provider reported $1.58 earnings per share for the quarter, beating the consensus estimate of $1.06 by $0.52. American International Group had a negative net margin of 0.01% and a positive return on equity of 1.76%. The firm had revenue of $12.90 billion during the quarter, compared to analyst estimates of $12.25 billion. During the same quarter in the previous year, the firm earned $1.04 earnings per share. Equities research analysts predict that American International Group will post 4.4 earnings per share for the current fiscal year.

American International Group declared that its Board of Directors has initiated a stock repurchase plan on Wednesday, February 13th that permits the company to buyback $2.00 billion in shares. This buyback authorization permits the insurance provider to buy up to 5.4% of its shares through open market purchases. Shares buyback plans are usually an indication that the company’s board believes its stock is undervalued.

Institutional investors and hedge funds have recently made changes to their positions in the company. Cornerstone Advisors Inc. lifted its holdings in American International Group by 16.5% in the first quarter. Cornerstone Advisors Inc. now owns 2,083 shares of the insurance provider’s stock worth $90,000 after purchasing an additional 295 shares during the period. Stelac Advisory Services LLC lifted its holdings in American International Group by 9.7% in the fourth quarter. Stelac Advisory Services LLC now owns 3,449 shares of the insurance provider’s stock worth $136,000 after purchasing an additional 305 shares during the period. AMG National Trust Bank lifted its holdings in American International Group by 0.3% in the first quarter. AMG National Trust Bank now owns 123,260 shares of the insurance provider’s stock worth $5,307,000 after purchasing an additional 323 shares during the period. Signaturefd LLC lifted its holdings in American International Group by 11.0% in the first quarter. Signaturefd LLC now owns 3,326 shares of the insurance provider’s stock worth $143,000 after purchasing an additional 329 shares during the period. Finally, Stratos Wealth Partners LTD. lifted its holdings in American International Group by 9.3% in the first quarter. Stratos Wealth Partners LTD. now owns 5,813 shares of the insurance provider’s stock worth $250,000 after purchasing an additional 495 shares during the period. 91.08% of the stock is owned by institutional investors.

About American International Group

American International Group, Inc provides insurance products for commercial, institutional, and individual customers in North America and internationally. The company's General Insurance segment offers general liability, environmental, commercial automobile liability, workers' compensation, excess casualty, and crisis management insurance products, as well as various risk-sharing and other customized structured programs; commercial, industrial, and energy-related property insurance; and aerospace, political risk, trade credit, portfolio solutions, surety, crop, and marine insurance.

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Analyst Recommendations for American International Group (NYSE:AIG)

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