Hodges Capital Management Inc. Invests $211,000 in American International Group, Inc. (NYSE:AIG)

Hodges Capital Management Inc. bought a new position in American International Group, Inc. (NYSE:AIG) during the 1st quarter, Holdings Channel reports. The institutional investor bought 2,700 shares of the insurance provider’s stock, valued at approximately $211,000.

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in AIG. Nordea Investment Management AB lifted its stake in shares of American International Group by 18.7% in the 4th quarter. Nordea Investment Management AB now owns 2,032,907 shares of the insurance provider’s stock valued at $138,014,000 after purchasing an additional 319,948 shares in the last quarter. American Century Companies Inc. grew its stake in American International Group by 22.6% during the third quarter. American Century Companies Inc. now owns 422,852 shares of the insurance provider’s stock worth $25,625,000 after buying an additional 77,874 shares during the period. Essex Financial Services Inc. purchased a new stake in American International Group during the fourth quarter worth approximately $260,000. TCW Group Inc. purchased a new position in shares of American International Group in the 4th quarter valued at $724,000. Finally, Dynamic Technology Lab Private Ltd purchased a new stake in American International Group during the 4th quarter worth $948,000. Institutional investors and hedge funds own 90.60% of the company’s stock.

Analyst Ratings Changes

AIG has been the topic of a number of recent research reports. Keefe, Bruyette & Woods restated an “outperform” rating and set a $87.00 price objective on shares of American International Group in a research note on Thursday. HSBC cut American International Group from a “buy” rating to a “hold” rating and set a $86.00 price target for the company. in a report on Wednesday, May 15th. Morgan Stanley boosted their target price on shares of American International Group from $72.00 to $79.00 and gave the stock an “equal weight” rating in a research report on Monday, April 15th. Evercore ISI lowered their price target on shares of American International Group from $81.00 to $78.00 and set an “in-line” rating for the company in a report on Thursday. Finally, Citigroup boosted their price objective on shares of American International Group from $79.00 to $87.00 and gave the stock a “buy” rating in a report on Tuesday, April 16th. Nine research analysts have rated the stock with a hold rating and eight have assigned a buy rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average target price of $81.38.

American International Group Stock Performance

Shares of AIG traded down $0.73 during mid-day trading on Friday, hitting $74.24. The stock had a trading volume of 9,261,732 shares, compared to its average volume of 4,674,544. The company has a quick ratio of 0.29, a current ratio of 0.29 and a debt-to-equity ratio of 0.05. The company has a market cap of $49.27 billion, a PE ratio of 11.08, a PEG ratio of 2.06 and a beta of 1.08. American International Group, Inc. has a fifty-two week low of $56.55 and a fifty-two week high of $80.83. The company’s fifty day simple moving average is $76.75 and its two-hundred day simple moving average is $73.21.

American International Group (NYSE:AIG) last released its earnings results on Thursday, May 2nd. The insurance provider reported $1.77 earnings per share for the quarter, beating the consensus estimate of $1.66 by $0.11. American International Group had a net margin of 9.98% and a return on equity of 10.54%. The firm had revenue of $12.58 billion during the quarter, compared to analyst estimates of $12.04 billion. During the same quarter in the previous year, the firm earned $1.63 earnings per share. On average, equities analysts expect that American International Group, Inc. will post 7.02 earnings per share for the current year.

American International Group Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, June 28th. Shareholders of record on Friday, June 14th were paid a $0.40 dividend. This is an increase from American International Group’s previous quarterly dividend of $0.36. This represents a $1.60 dividend on an annualized basis and a yield of 2.16%. The ex-dividend date was Friday, June 14th. American International Group’s payout ratio is presently 23.88%.

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

Insider Activity

In other news, major shareholder International Group American sold 30,000,000 shares of the business’s stock in a transaction that occurred on Monday, June 3rd. The stock was sold at an average price of $29.20, for a total transaction of $876,000,000.00. Following the completion of the transaction, the insider now directly owns 294,203,636 shares in the company, valued at $8,590,746,171.20. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Corporate insiders own 0.61% of the company’s stock.

American International Group 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.