Stock Analysis Report

American International Group

Executive Summary

American International Group, Inc. provides insurance products for commercial, institutional, and individual customers in North America and internationally.


Trading at 51.6% below its fair value

Earnings are forecast to grow 16.97% per year

Became profitable this year

Risk Analysis

Unstable dividend track record

Snowflake Analysis

Fair value second-rate dividend payer.

Similar Companies

Share Price & News

How has American International Group's share price performed over time and what events caused price changes?

Latest Share Price and Events

Stable Share Price: AINN has not had significant price volatility in the past 3 months.

Market Performance

7 Day Return




DE Insurance


DE Market

1 Year Return




DE Insurance


DE Market

Return vs Industry: AINN underperformed the German Insurance industry which returned 29.6% over the past year.

Return vs Market: AINN exceeded the German Market which returned 15% over the past year.

Shareholder returns

7 Day-9.6%1.9%2.0%
30 Day-5.8%5.7%1.0%
90 Day-6.4%8.5%3.8%
1 Year23.0%20.0%35.9%30.2%18.6%15.1%
3 Year-19.7%-25.4%69.1%48.7%16.8%6.6%
5 Year2.7%-7.9%103.9%63.3%23.7%6.7%

Price Volatility Vs. Market

How volatile is American International Group's share price compared to the market and industry in the last 5 years?

Simply Wall St News

No news available


Is American International Group undervalued compared to its fair value and its price relative to the market?


Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: AINN (€44.99) is trading below our estimate of fair value (€92.88)

Significantly Below Fair Value: AINN is trading below fair value by more than 20%.

Price To Earnings Ratio

PE vs Industry: AINN is poor value based on its PE Ratio (23.9x) compared to the Insurance industry average (12.7x).

PE vs Market: AINN is poor value based on its PE Ratio (23.9x) compared to the German market (21.1x).

Price to Earnings Growth Ratio

PEG Ratio: AINN is poor value based on its PEG Ratio (1.4x)

Price to Book Ratio

PB vs Industry: AINN is good value based on its PB Ratio (0.6x) compared to the DE Insurance industry average (1.2x).

Next Steps

Future Growth

How is American International Group forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?


Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: AINN's forecast earnings growth (17% per year) is above the savings rate (-0.4%).

Earnings vs Market: AINN's earnings (17% per year) are forecast to grow faster than the German market (13.3% per year).

High Growth Earnings: AINN's earnings are forecast to grow, but not significantly.

Revenue vs Market: AINN's revenue is expected to decline over the next 3 years (-1.1% per year).

High Growth Revenue: AINN's revenue is forecast to decline over the next 3 years (-1.1% per year).

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: AINN's Return on Equity is forecast to be low in 3 years time (7.8%).

Next Steps

Past Performance

How has American International Group performed over the past 5 years?


Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: AINN has high quality earnings.

Growing Profit Margin: AINN became profitable in the past.

Past Earnings Growth Analysis

Earnings Trend: AINN's earnings have declined by -63.4% per year over the past 5 years.

Accelerating Growth: AINN has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: AINN has become profitable in the last year, making it difficult to compare its past year earnings growth to the Insurance industry (7.8%).

Return on Equity

High ROE: AINN's Return on Equity (4.1%) is considered low.

Return on Assets

Return on Capital Employed

Next Steps

Financial Health

How is American International Group's financial position? (This company is analysed differently as a bank or financial institution)

Financial Position Analysis

Debt to Equity History and Analysis

Balance Sheet

Inventory Level: AINN has a low level of unsold assets or inventory.

Debt Coverage by Assets: AINN's debt is covered by short term assets (assets are 2.1x debt).

Financial Institutions Analysis

Asset Level: AINN's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if AINN has a sufficient allowance for bad loans.

Low Risk Liabilities: AINN reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if AINN has an acceptable proportion of non-loan assets held.

Low Risk Deposits: AINN has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if AINN has an appropriate level of bad loans.

Next Steps


What is American International Group's current dividend yield, its reliability and sustainability?


Current Dividend Yield

Upcoming Dividend Payment

Purchase American International Group before the 'Buy Limit' to receive their next dividend payment.

Dividend Yield vs Market


Current dividend yield vs market & industry

Notable Dividend: AINN's dividend (2.64%) is higher than the bottom 25% of dividend payers in the German market (1.31%).

High Dividend: AINN's dividend (2.64%) is low compared to the top 25% of dividend payers in the German market (3.59%).

Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, AINN has been paying a dividend for less than 10 years.

Growing Dividend: AINN's dividend payments have increased, but the company has only paid a dividend for 7 years.

Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (63%), AINN's dividend payments are covered by earnings.

Future Payout to Shareholders

Future Dividend Coverage: AINN's dividends in 3 years are forecast to be well covered by earnings (26.6% payout ratio).

Next Steps


How experienced are the management team and are they aligned to shareholders interests?


Average management tenure


Brian Duperreault (72yo)





Mr. Brian Charles Duperreault has been the Chief Executive Officer and Director at American International Group, Inc. since May 14, 2017. Mr. Duperreault served as President at American International Group ...

CEO Compensation Analysis

Compensation vs Market: Brian's total compensation ($USD20.85M) is above average for companies of similar size in the German market ($USD4.37M).

Compensation vs Earnings: Brian's compensation has been consistent with company performance over the past year.

Leadership Team

Brian Duperreault
Chief Executive Officer2.8yrsUS$20.85m0.013% $5.2m
Peter Zaffino
President0.08yrsUS$12.62m0.0016% $623.8k
Mark Lyons
Executive VP & CFO1.2yrsUS$4.76mno data
Douglas Dachille
Executive VP & Chief Investment Officer4.4yrsUS$9.71m0.0094% $3.7m
Kevin Hogan
Executive VP and CEO of Life & Retirement6.3yrsUS$9.12m0.019% $7.3m
Jonathan Wismer
Senior VP1.5yrsno datano data
John Repko
Executive VP & Chief Information Officer1.4yrsno datano data
Elizabeth Werner
Head of Investor Relations & VP9.1yrsno datano data
Karen Nelson
Chief Compliance Officer10.1yrsno datano data
Luciana Fato
Executive VP & General Counsel2.3yrsno data0.00087% $339.2k


Average Tenure


Average Age

Experienced Management: AINN's management team is considered experienced (2.5 years average tenure).

Board Members

Brian Duperreault
Chief Executive Officer2.8yrsUS$20.85m0.013% $5.2m
Henry Miller
Independent Director9.8yrsUS$314.11kno data
William Jurgensen
Independent Director6.8yrsUS$354.11k0.0017% $670.6k
W. Cornwell
Independent Director8.8yrsUS$344.11kno data
Thomas Motamed
Independent Director1.1yrsno data0.0029% $1.1m
Douglas Steenland
Independent Chairman of the Board4.6yrsUS$564.11k0.00055% $214.4k
Suzanne Nora Johnson
Independent Director11.6yrsUS$314.11kno data
John Fitzpatrick
Independent Director8.8yrsUS$344.11k0.000010% $3.9k
Linda Mills
Independent Director4.6yrsUS$314.11kno data
Christopher Lynch
Independent Director10.7yrsUS$324.11k0.00036% $140.4k


Average Tenure


Average Age

Experienced Board: AINN's board of directors are considered experienced (7.8 years average tenure).


Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Top Shareholders

Company Information

American International Group, Inc.'s company bio, employee growth, exchange listings and data sources

Key Information

  • Name: American International Group, Inc.
  • Ticker: AINN
  • Exchange: DB
  • Founded: 1919
  • Industry: Multi-line Insurance
  • Sector: Insurance
  • Market Cap: US$42.175b
  • Listing Market Cap: US$38.987b
  • Shares outstanding: 869.95m
  • Website: https://www.aig.com

Number of Employees


  • American International Group, Inc.
  • 175 Water Street
  • New York
  • New York
  • 10038
  • United States


TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AIGNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1969
AIG *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJan 1969
AINNDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1969
0OALLSE (London Stock Exchange)YesCommon StockGBUSDJan 1969
AIGSWX (SIX Swiss Exchange)YesCommon StockCHCHFJan 1969
AINNXTRA (XETRA Trading Platform)YesCommon StockDEEURJan 1969
AIGSNSE (Santiago Stock Exchange)YesCommon StockCLUSDJan 1969
AIGWBAG (Wiener Boerse AG)YesCommon StockATEURJan 1969
AINNETLX (Eurotlx)YesCommon StockITEURJan 1969
AIGBASE (Buenos Aires Stock Exchange)CEDEAR EACH 5 REPR 1 ORD USD2.50ARARSSep 2000
AIGB34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH REPR 1 COM USD2.50BRBRLOct 2016
AIG.PRANYSE (New York Stock Exchange)5.85 DP SH PFD AUSUSDMar 2019


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. It also provides professional liability insurance products for a range of businesses and risks, including directors and officer’s liability, mergers and acquisitions, fidelity, employment practices, fiduciary liability, cyber risk, kidnap and ransom, and errors and omissions insurance. In addition, this segment offers personal auto and property insurance, voluntary and sponsor-paid personal accident, and supplemental health products; extended warranty insurance products; and travel insurance products. Its Life and Retirement segment offers variable annuities, fixed index and fixed annuities, and retail mutual funds; group mutual funds, fixed annuities, and variable annuities, as well as individual annuity and investment products, and financial planning and advisory services; and term life and universal life insurance. This segment also provides stable value wrap products, and structured settlement and pension risk transfer annuities; and corporate- and bank-owned life insurance and guaranteed investment contracts. This segment sells its products through independent marketing organizations, independent insurance agents, financial advisors, direct marketing, banks, wirehouses, and broker-dealers. The company’s Legacy Portfolio segment offers legacy insurance products. American International Group, Inc. was founded in 1919 and is headquartered in New York, New York. 

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/18 20:38
End of Day Share Price2020/02/18 00:00
Annual Earnings2019/12/31

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.