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American International Group Inc. (NYSE:AIG) shares soared to a 52-week high of $85.11, reflecting a robust performance that has caught the attention of investors. The insurance giant, with a market capitalization of $50.1 billion, currently offers investors a 1.91% dividend yield. According to InvestingPro analysis, AIG appears slightly undervalued at current levels. The insurance giant has seen its stock climb steadily, underpinned by strategic business moves and a favorable economic environment. With annual revenue of $27 billion and EBITDA of $7.8 billion, AIG has demonstrated solid financial performance. Over the past year, AIG has witnessed a 10.76% increase in its stock value, signaling strong investor confidence and a positive outlook for the company’s future. This milestone is particularly significant as it encapsulates the resilience and growth potential of AIG in a competitive industry landscape. The company has maintained dividend payments for 13 consecutive years, showcasing its commitment to shareholder returns. InvestingPro subscribers can access 8 additional key insights about AIG’s financial health and growth prospects.
In other recent news, American International Group (AIG) has been the focus of several analyst updates. Keefe, Bruyette & Woods maintained an Outperform rating on AIG, raising their price target to $90, citing the company’s strong underwriting margins and anticipated reserve releases. They project earnings per share (EPS) of $6.25 for 2025 and $7.85 for 2026, highlighting AIG’s potential for favorable reserve development. Meanwhile, BMO Capital Markets adjusted their price target to $83, maintaining a Market Perform rating. Their revised EPS estimates for 2026 and 2027 are $7.66 and $8.83, respectively, reflecting a more conservative view on AIG’s share buyback plans.
HSBC upgraded AIG to Buy, increasing the price target to $93 due to strategic actions like divestitures and the nearing completion of the AIG Next (LON:NXT) program. Analyst Vikram Gandhi expressed optimism about AIG’s streamlined operations and potential growth in high-net-worth personal lines. BMO Capital also noted AIG’s upcoming investor day, where the company is expected to outline its financial strategies and targets, including a projected 13% return on equity by 2027. These developments come as AIG continues to focus on enhancing shareholder value through capital return strategies and operational efficiencies.
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