American International Group Stock Buy Hold or Sell Recommendation
| AIG Stock | USD 76.06 0.08 0.11% |
Considering the 90-day investment horizon and your typical level of risk aversion, our recommendation regarding American International Group is 'Cautious Hold'. Macroaxis provides American International buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding AIG positions.
Check out American International Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note, we conduct extensive research on individual companies such as American and provide practical buy, sell, or hold advice based on investors' constraints. American International Group. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in gross domestic product.
American |
Execute American International Buy or Sell Advice
The American recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on American International Group. Macroaxis does not own or have any residual interests in American International Group or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute American International's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Cautious Hold
Market Performance | Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Almost mirrors the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Not Available | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
American International Trading Alerts and Improvement Suggestions
| American International Group has 22.39 B in debt with debt to equity (D/E) ratio of 0.74, which is OK given its current industry classification. American International has a current ratio of 0.77, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Note however, debt could still be an excellent tool for American to invest in growth at high rates of return. | |
| Over 95.0% of American International shares are held by institutions such as insurance companies | |
| On 30th of September 2024 American International paid $ 0.4 per share dividend to its current shareholders |
American International Returns Distribution Density
The distribution of American International's historical returns is an attempt to chart the uncertainty of American International's future price movements. The chart of the probability distribution of American International daily returns describes the distribution of returns around its average expected value. We use American International Group price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of American International returns is essential to provide solid investment advice for American International.
| Mean Return | 0.05 | Value At Risk | -1.33 | Potential Upside | 1.77 | Standard Deviation | 1.34 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of American International historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
American International Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to American International or Insurance sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that American International's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a American stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | 0.06 | |
β | Beta against Dow Jones | -0.14 | |
σ | Overall volatility | 1.34 | |
Ir | Information ratio | -0.06 |
American International Volatility Alert
American International Group has relatively low volatility with skewness of 0.39 and kurtosis of 3.16. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure American International's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact American International's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.American International Fundamentals Vs Peers
Comparing American International's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze American International's direct or indirect competition across all of the common fundamentals between American International and the related equities. This way, we can detect undervalued stocks with similar characteristics as American International or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of American International's fundamental indicators could also be used in its relative valuation, which is a method of valuing American International by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare American International to competition |
| Fundamentals | American International | Peer Average |
| Return On Equity | 0.085 | -0.31 |
| Return On Asset | 0.0083 | -0.14 |
| Profit Margin | (0.05) % | (1.27) % |
| Operating Margin | 0.11 % | (5.51) % |
| Current Valuation | 56.03 B | 16.62 B |
| Shares Outstanding | 623.77 M | 571.82 M |
| Shares Owned By Insiders | 0.25 % | 10.09 % |
| Shares Owned By Institutions | 94.64 % | 39.21 % |
| Number Of Shares Shorted | 8.29 M | 4.71 M |
| Price To Earning | 3.62 X | 28.72 X |
| Price To Book | 1.05 X | 9.51 X |
| Price To Sales | 1.05 X | 11.42 X |
| Revenue | 47.25 B | 9.43 B |
| Gross Profit | 24.97 B | 27.38 B |
| EBITDA | 9.21 B | 3.9 B |
| Net Income | 3.88 B | 570.98 M |
| Cash And Equivalents | 16.82 B | 2.7 B |
| Cash Per Share | 22.64 X | 5.01 X |
| Total Debt | 22.39 B | 5.32 B |
| Debt To Equity | 0.74 % | 48.70 % |
| Current Ratio | 0.79 X | 2.16 X |
| Book Value Per Share | 71.46 X | 1.93 K |
| Cash Flow From Operations | 6.24 B | 971.22 M |
| Short Ratio | 2.53 X | 4.00 X |
| Earnings Per Share | 5.03 X | 3.12 X |
| Price To Earnings To Growth | 1.06 X | 4.89 X |
| Target Price | 84.24 | |
| Number Of Employees | 25 K | 18.84 K |
| Beta | 1.07 | -0.15 |
| Market Capitalization | 47.44 B | 19.03 B |
| Total Asset | 539.31 B | 29.47 B |
| Retained Earnings | 37.52 B | 9.33 B |
| Annual Yield | 0.02 % |
Note: Insider Trading [view details]
American International Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as American . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About American International Buy or Sell Advice
When is the right time to buy or sell American International Group? Buying financial instruments such as American Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
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Check out American International Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. You can also try the Pair Correlation module to compare performance and examine fundamental relationship between any two equity instruments.
Is Multi-line Insurance space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of American International. If investors know American will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about American International listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of American International is measured differently than its book value, which is the value of American that is recorded on the company's balance sheet. Investors also form their own opinion of American International's value that differs from its market value or its book value, called intrinsic value, which is American International's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because American International's market value can be influenced by many factors that don't directly affect American International's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between American International's value and its price as these two are different measures arrived at by different means. Investors typically determine if American International is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, American International's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.