American International Group Inc

AIG: XNYS (USA)
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AIG Earnings: More Signs of Stability

In recent quarters, American International Group has pushed itself to the point where it is earning an acceptable return and the recent deconsolidation of its Corebridge stake provides a clearer view of the state of its P&C operations. The core annualized ROE for the third quarter was 9%, in line with recent results. Overall, we are pleased with the company’s recent improvement but would like to see AIG now take advantage of current industry tailwinds to push past just an acceptable return. We will maintain our $75 fair value estimate for the no-moat company and see shares as about fairly valued at the moment.

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