AIG Set to Report Q1 Earnings Amid Mixed Analyst Views
American International Group, Inc. (AIG), with a market capitalization of $47.3 billion, is a leading global insurance company. It offers insurance products across commercial, institutional, and individual clients. Based in New York, AIG operates through three key segments: North America Commercial, International Commercial, and Global Personal.
Upcoming Earnings Report Expectations
AIG is scheduled to announce its Q1 2025 earnings after market closure on Thursday, May 1. Industry analysts anticipate the company will report an adjusted profit of $1.05 per share, reflecting a significant drop of 40.7% from the $1.77 per share reported in the same quarter last year. Notably, AIG has exceeded Wall Street’s profit expectations in three of the last four quarters, missing out only once.
Full Fiscal 2025 Outlook
For the entirety of fiscal 2025, analysts forecast an adjusted earnings per share (EPS) of $6.15. This figure marks a notable increase of 24.2% from $4.95 in fiscal 2024. Furthermore, earnings are expected to accelerate by 25.2% year-over-year, reaching $7.70 per share in fiscal 2026.
Stock Performance and Industry Comparison
AIG shares have appreciated by 6.9% over the past 52 weeks, outperforming the S&P 500 Index, which rose by only 3.8%. In contrast, AIG’s performance trailed behind the Financial Select Sector SPDR Fund (XLF), which gained 13.1% during the same timeframe.
Recent Earnings Impact on Share Price
Following the release of solid Q4 2024 results on February 11, AIG shares experienced a 1.2% increase. The company reported net premiums written (NPW) of $6.1 billion in General Insurance, demonstrating a 6% year-over-year growth, driven by performance in Global Commercial and Global Personal Insurance sectors. Additionally, AIG’s adjusted EPS rose to $1.30, a 2% year-over-year improvement that surpassed analyst expectations by 3.2%.
Analyst Outlook
The general consensus among analysts regarding AIG is moderately positive, indicated by a “Moderate Buy” rating. Out of 18 analysts covering the stock, eight recommend a “Strong Buy,” two suggest a “Moderate Buy,” and eight advise a “Hold.” The average price target stands at $88.72, indicating an 11.8% upside from current price levels.
On the date of publication, Sohini Mondal did not hold (either directly or indirectly) any positions in the securities mentioned in this article. All information and data in this article are for informational purposes only. For further details, please review the Barchart Disclosure Policy here.
The views and opinions expressed herein are those of the author and do not necessarily represent those of Nasdaq, Inc.
