American International Group, Inc. (NYSE:AIG) Raises Dividend to $0.40 Per Share

American International Group, Inc. (NYSE:AIG) announced a quarterly dividend on Wednesday, May 1st, Zacks reports. Stockholders of record on Friday, June 14th will be paid a dividend of 0.40 per share by the insurance provider on Friday, June 28th. This represents a $1.60 annualized dividend and a dividend yield of 2.04%. The ex-dividend date of this dividend is Friday, June 14th. This is a boost from American International Group’s previous quarterly dividend of $0.36.

American International Group has raised its dividend by an average of 3.0% annually over the last three years and has raised its dividend every year for the last 1 years.

American International Group Stock Up 0.5 %

NYSE:AIG traded up $0.38 during mid-day trading on Friday, reaching $78.48. The stock had a trading volume of 6,295,587 shares, compared to its average volume of 4,001,248. The company has a debt-to-equity ratio of 0.44, a current ratio of 0.31 and a quick ratio of 0.31. The stock has a market cap of $53.44 billion, a P/E ratio of 11.71, a PEG ratio of 1.09 and a beta of 1.02. American International Group has a fifty-two week low of $48.95 and a fifty-two week high of $79.70. The business’s 50 day moving average is $75.24 and its 200 day moving average is $69.36.

American International Group (NYSE:AIG) last posted its earnings results on Thursday, May 2nd. The insurance provider reported $1.77 earnings per share for the quarter, topping the consensus estimate of $1.66 by $0.11. The firm had revenue of $12.58 billion during the quarter, compared to analyst estimates of $12.04 billion. American International Group had a return on equity of 10.68% and a net margin of 9.98%. During the same period in the previous year, the company earned $1.63 EPS. As a group, sell-side analysts predict that American International Group will post 6.95 earnings per share for the current year.

Analyst Ratings Changes

Several analysts have recently weighed in on the stock. Piper Sandler lifted their target price on shares of American International Group from $87.00 to $89.00 and gave the company an “overweight” rating in a research report on Friday, April 19th. Citigroup increased their price target on shares of American International Group from $79.00 to $87.00 and gave the company a “buy” rating in a research note on Tuesday, April 16th. BMO Capital Markets lowered their target price on shares of American International Group from $83.00 to $81.00 and set an “outperform” rating for the company in a report on Thursday, February 15th. Royal Bank of Canada increased their price target on American International Group from $76.00 to $80.00 and gave the company an “outperform” rating in a research note on Thursday, February 15th. Finally, Bank of America downgraded American International Group from a “buy” rating to a “neutral” rating and upped their price objective for the company from $75.00 to $77.00 in a report on Tuesday, February 20th. Eight equities research analysts have rated the stock with a hold rating and nine have given a buy rating to the company’s stock. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $80.44.

Insider Activity

In related news, CEO Peter Zaffino sold 333,000 shares of American International Group stock in a transaction that occurred on Friday, March 15th. The stock was sold at an average price of $75.87, for a total transaction of $25,264,710.00. Following the completion of the sale, the chief executive officer now directly owns 505,420 shares of the company’s stock, valued at approximately $38,346,215.40. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. In related news, Director John C. Inglis purchased 659 shares of American International Group stock in a transaction that occurred on Thursday, March 14th. The shares were acquired at an average price of $75.39 per share, with a total value of $49,682.01. Following the completion of the transaction, the director now directly owns 659 shares of the company’s stock, valued at approximately $49,682.01. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CEO Peter Zaffino sold 333,000 shares of the company’s stock in a transaction on Friday, March 15th. The shares were sold at an average price of $75.87, for a total value of $25,264,710.00. Following the sale, the chief executive officer now owns 505,420 shares of the company’s stock, valued at $38,346,215.40. The disclosure for this sale can be found here. 0.61% of the stock is owned by company insiders.

American International Group declared that its Board of Directors has approved a share buyback plan on Wednesday, May 1st that authorizes the company to buyback $10.00 billion in shares. This buyback authorization authorizes the insurance provider to reacquire up to 19.4% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s board believes its shares are undervalued.

American International Group Company Profile

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.