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American International Group

NYSE: AIG

Stock price

77.05 USD

(+33.74%) 5 years

Multi-line InsuranceInsurance - Diversified

Financial Performance

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5Y price score: 43

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The price score is a basic measure of the stock's performance against the S&P 500 Index over a five-year period.

A score of 100 indicates that the stock did as well as the S&P 500 Index.

A score below 100 means the stock underperformed the index, while a score above 100 means it outperformed the S&P 500.

10Y return: 51.1%

DATE RANGE:

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  • Free cash flow per share

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71.2

52-week range

87.2

77.05

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Required return / cost of capital
%
FCFF terminal growth rate
%

Your fair value & Margin of safety

To calculate fair value based on cost of capital and terminal growth assumptions above, please select free cash flow forecast.

Forecast:

Valuation

Free Cash Flow Yield

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FCF Yield TTM = Trailing Twelve Months free cash flow per share / current market price per shareLearn more

9 %

Dividend Yield TTM

2.5 %

Market cap $

$ 40,852

Price / Earnings TTM

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P/E TTM = current market price per share / Trailing Twelve Months diluted earnings per shareLearn more

14.1

Price / Book TTM

1

PEG TTM

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Price/Earnings-to-Growth ratio = P/E TTM divided by most recent annual diluted earnings per share growth rateLearn more

0.2

Earnings growth and return

LTM

5YR

10YR

Total return (price & dividends)

(6.2) %

46.4 %

51 %

Free cash flow per share growth

35 %

386.7 %

169.5 %

Earnings per share growth

(10.1) %

179.4 %

229.1 %

Founded: 1,919

Employees: 22,200

Business Summary:American International Group, Inc. (AIG) is a global insurance provider, delivering a broad spectrum of insurance solutions to commercial, institutional, and individual clients across North America and worldwide. Its General Insurance division encompasses a wide range of coverages, including general liability, environmental protection, commercial auto liability, workers' compensation, casualty, and crisis management. This segment also covers property risks for commercial, industrial, and energy sectors, with further specialized offerings such as aerospace, political risk, trade credit, portfolio solutions, crop, and marine insurance policies. Additionally, AIG supplies professional liability coverage for various business operations and potential hazards, such as directors and officers (D&O), mergers and acquisitions (M&A), fidelity bonds, employment practices, fiduciary liability, cyber risk, kidnap and ransom, and errors and omissions (E&O) insurance. The General Insurance segment extends to personal lines, featuring policies for automobiles, homes, and umbrella coverage, alongside specialized options for yachts, fine art, and valuable collections. It also includes voluntary and employer-sponsored personal accident and supplemental health plans, extended warranty protection, and travel insurance. AIG's Life and Retirement division focuses on providing a variety of annuity products such as variable, index-linked, and fixed annuities, as well as retail mutual funds. This segment also delivers financial planning and advisory services, in addition to comprehensive record-keeping, plan administration, and compliance support, along with both term and universal life insurance policies. Furthermore, it offers stable value wrap products, structured settlement annuities, and pension risk transfer solutions. Corporate-owned and bank-owned life insurance, alongside guaranteed investment contracts, complete its diverse portfolio. Distribution of these products occurs through a network of independent marketing organizations, independent insurance agents, financial advisors, direct marketing channels, banks, and broker-dealers. Established in 1919, the company maintains its headquarters in New York, New York.

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Fair Value Reference Estimate

Latest Earnings Call Takeaways

2026 Q2 (Aug 7, 2026)

1) Financial Performance Overview
- AIG reported strong Q2 2026 results with adjusted after-tax income per diluted share of $2, a 10% YoY increase.
- Adjusted after-tax income reached $1.1 billion.
- Core operating ROE was 11.1% for Q2 and 11.6% for H1 2026.
- Underwriting income was $686 million, up 10% YoY.
- The accident year combined ratio improved to 88.1%, a 30 basis point improvement from the prior year.
- Net premiums written increased by 9%, or 11% excluding North American Property, driven by organic growth in high-performing segments.

2) Market Environment & Strategic Positioning
- The market is transitioning to a more selective environment with increased pricing pressure in certain lines, particularly property.
- AIG is strategically managing its Lexington property portfolio, resulting in a 9 percentage point reduction in premium retention in Q2.
- The company is focusing on underwriting excellence and client service to differentiate itself in a competitive landscape.
- AIG's expertise in property and casualty markets positions it well to leverage opportunities despite challenges.

3) Segment Results & Growth Drivers
- Global Commercial Insurance net premiums written increased 9% YoY, with notable growth in retail casualty and various financial lines.
- Global Personal Insurance saw an 8% increase in net premiums written, driven by Accident & Health and high net worth businesses.
- The company returned $904 million in capital to shareholders, including $641 million in share repurchases and $263 million in dividends.
- AIG is expanding its AI capabilities to enhance decision-making and operational efficiency across its segments.

4) Operational Challenges & Expense Management
- The company is facing competitive pricing pressures, particularly in the North American property market, which has affected growth rates.
- AIG is committed to maintaining expense discipline, aiming to reduce the general insurance expense ratio below 30% by 2027.
- The accident year loss ratio improved to 57.3%, reflecting better underwriting results and favorable prior year reserve development.
- The company is investing in technology and AI to improve operational efficiency and client service.

5) Guidance & Future Outlook
- AIG remains on track to achieve its financial commitments outlined at the 2025 Investor Day.
- The company expects continued premium growth, although it may be more cautious in the property segment due to market conditions.
- There is no specific update on the premium growth guidance, but the company is focused on maintaining underwriting standards while pursuing growth opportunities.
- The transcript lacks detailed forward-looking guidance on specific metrics for the second half of 2026.

Bottom line: AIG's strong Q2 results reflect effective execution of its strategic priorities, with solid growth in key segments despite market challenges. The company is well-positioned to leverage its strengths while maintaining a disciplined approach to underwriting and expense management, ultimately driving long-term value for shareholders.

Annual Reports, Presentations And IR Contacts

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Annual report links (10K)
2025202420232022202120202019201820172016

American International Group — Financial Overview, Stock Price, Market Cap

American International Group is a company. Founded in 1919. As of October 9, 2026, the company's market capitalization is $40852372300 with a current stock price of $77.05.