American International Group (NYSE:AIG) Given “Outperform” Rating at Royal Bank of Canada

American International Group (NYSE:AIG)‘s stock had its “outperform” rating restated by equities research analysts at Royal Bank of Canada in a research note issued on Tuesday, Benzinga reports. They presently have a $87.00 price objective on the insurance provider’s stock. Royal Bank of Canada’s target price would suggest a potential upside of 14.53% from the company’s current price.

Several other equities research analysts have also commented on the stock. Wells Fargo & Company boosted their price objective on shares of American International Group from $80.00 to $82.00 and gave the stock an “equal weight” rating in a research report on Friday, May 10th. Citigroup boosted their price objective on shares of American International Group from $79.00 to $87.00 and gave the stock a “buy” rating in a research report on Tuesday, April 16th. Bank of America boosted their price objective on shares of American International Group from $82.00 to $84.00 and gave the stock a “neutral” rating in a research report on Tuesday, June 11th. BMO Capital Markets boosted their price objective on shares of American International Group from $88.00 to $89.00 and gave the stock an “outperform” rating in a research report on Monday, May 13th. Finally, Keefe, Bruyette & Woods reiterated an “outperform” rating and issued a $87.00 price objective on shares of American International Group in a research report on Thursday, June 27th. Nine equities research analysts have rated the stock with a hold rating and eight have given a buy rating to the stock. According to MarketBeat, American International Group presently has an average rating of “Hold” and a consensus target price of $81.88.

American International Group Stock Performance

NYSE:AIG opened at $75.96 on Tuesday. The company has a quick ratio of 0.29, a current ratio of 0.29 and a debt-to-equity ratio of 0.05. American International Group has a fifty-two week low of $57.02 and a fifty-two week high of $80.83. The stock has a market cap of $50.41 billion, a PE ratio of 11.34, a price-to-earnings-growth ratio of 2.06 and a beta of 1.08. The firm’s fifty day simple moving average is $76.74 and its 200-day simple moving average is $73.72.

American International Group (NYSE:AIG) last posted its quarterly earnings results on Thursday, May 2nd. The insurance provider reported $1.77 earnings per share for the quarter, topping analysts’ consensus estimates of $1.66 by $0.11. American International Group had a net margin of 9.98% and a return on equity of 10.54%. The business had revenue of $12.58 billion for the quarter, compared to analysts’ expectations of $12.04 billion. During the same period in the prior year, the company posted $1.63 EPS. Analysts expect that American International Group will post 7.02 earnings per share for the current fiscal year.

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

Insider Transactions at American International Group

In related news, major shareholder International Group American sold 1,932,609 shares of the stock in a transaction that occurred on Tuesday, July 2nd. The shares were sold at an average price of $29.20, for a total transaction of $56,432,182.80. Following the completion of the sale, the insider now owns 292,271,027 shares of the company’s stock, valued at approximately $8,534,313,988.40. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Insiders own 0.61% of the company’s stock.

Institutional Trading of American International Group

Institutional investors and hedge funds have recently bought and sold shares of the business. Nordea Investment Management AB increased its position in American International Group by 18.7% during the 4th quarter. Nordea Investment Management AB now owns 2,032,907 shares of the insurance provider’s stock worth $138,014,000 after purchasing an additional 319,948 shares in the last quarter. American Century Companies Inc. grew its position in American International Group by 22.6% in the third quarter. American Century Companies Inc. now owns 422,852 shares of the insurance provider’s stock valued at $25,625,000 after acquiring an additional 77,874 shares in the last quarter. Essex Financial Services Inc. acquired a new stake in American International Group in the fourth quarter valued at approximately $260,000. TCW Group Inc. acquired a new stake in American International Group in the fourth quarter valued at approximately $724,000. Finally, Dynamic Technology Lab Private Ltd acquired a new stake in American International Group in the fourth quarter valued at approximately $948,000. Institutional investors and hedge funds own 90.60% of the company’s stock.

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.