NYSE
AIG
Last Price
US $74.53
KEY FIGURES
MKT CAP
$40.1B
EPS
TTM
$5.87
PEG
TTM
0.04x
P/E
TTM
13.21x
P/S
TTM
1.50x
YIELD
2.45%
GROWTH
Revenue Y/Y
Profit margin
Current Ratio
Capital Returns
7.70%
Return on equity
ROIC: 5.50%
Valuation History
13.2X
Price to Earnings
EV/EBITDA: 6.2X
Cash flow
Profit margin
-9.39%
(FY vs FY)
EBITDA Y/Y
-
(FY vs FY)
Cash flow Y/Y
26.13%
(FY vs FY)
Cash Flow (DCF)
Fair Value
Market $74.53
27.30%
Default assumptions
EBITDA Multiple
Fair Value
Market $74.53
15.52%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.
Valuation
Financial
Performance
Financial stability - Cash flow debt coverage.
American International Group, Inc. cash flow to debt ratio of 36.06% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.
Financial stability - Healthy cash flow growth.
American International Group, Inc.'s free cash flow has increased 1.25% from $3.27G last year to $3.31G, signaling increasing performance
Financial stability - Healthy debt to equity ratio.
American International Group, Inc.'s debt to equity ratio is 0.23, which means that the company's assets are healthy financed, signaling financial stability. READ MORE: A ratio under 0.60 means the company finances its assets with own equity, signaling financial stability and good management.
Financial risk - Healthy debt to equity ratio development.
American International Group, Inc.'s debt has increased relative to shareholder equity from 0.21 last year to 0.23 today, signaling weakened financials
Financial stability - Net debt/EBITDA.
American International Group, Inc. has a net debt to EBITDA ratio of 1.02x, which is below the 3.00x threshold, indicating healthy leverage and financial stability
Financial stability - ICR.
American International Group, Inc.'s interest coverage ratio of 9.67 indicates that earnings with good margin can cover interest payments on company debt
Financial stability - Profit margin growth.
American International Group, Inc.'s profit margin has increased (-330.38%) in the last year from -5.15% to 11.86%, signaling increasing performance
Financial risk - Short term assets vs short term liabilities.
American International Group, Inc.'s short-term liabilities of $102.66G exceed its short-term assets of $87.61G, signaling financial risk
Decreasing performance - ROA.
American International Group, Inc.'s return on assets of 1.96% is lower than the 5.00% threshold, indicating inefficient asset utilization
Decreasing performance - Absolute return on equity.
American International Group, Inc.'s return on equity of 7.70%, is lower than 15.00%, indicating bad performance
Increasing performance - Earnings quality.
American International Group, Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
American International Group, Inc. had positive net income in 4.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
American International Group, Inc. has positive free cash flow, indicating the company generates cash after capital expenditures
Increasing performance - FCF yield.
American International Group, Inc. has a free cash flow yield of 8.27%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Increasing performance - Healthy earnings growth.
American International Group, Inc.'s yearly earnings has increased -320.51% since last year from $-1.40G to $3.10G, signaling increasing performance
Decreasing performance - Healthy revenue growth.
American International Group, Inc.'s yearly revenue has decreased -84.55% since last year from $27.27G to $4.21G, signaling decreasing performance
Increasing performance - ROIC.
ROIC 5.50% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.
Decreasing performance - 3-year revenue CAGR.
American International Group, Inc.'s 3-year revenue CAGR of -3.69% is negative, indicating declining revenue over the past 3 years
Decreasing performance - Revenue consistency.
American International Group, Inc. had revenue growth in only 1.00 out of 5 years, indicating inconsistent revenue performance
Increasing performance - ROE consistency.
American International Group, Inc. had positive ROE in 4.00 out of 5 years, indicating consistent and reliable returns on equity
Undervalued - DCF valuation.
American International Group, Inc. is undervalued relative to its fair value price of 94.88 based on Discounted Cash Flow model
Undervalued - Earnings yield.
American International Group, Inc. has an earnings yield of 7.77%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings
Undervalued - EBITDA valuation.
American International Group, Inc. is undervalued relative to its fair value price of 86.10 based on EBITDA multiple model
Undervalued - EV/EBITDA.
American International Group, Inc. has an EV/EBITDA ratio of 6.17x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Undervalued - PEG ratio value.
American International Group, Inc. has a PEG-ratio under 1 which is considered undervalued
Undervalued - P/B ratio.
American International Group, Inc. has a price-to-book ratio of 1.01x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value
Undervalued - P/S ratio.
American International Group, Inc. has a price-to-sales ratio of 1.50x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue