Considering it had sold a 10% stake in this business to Blackstone (BX) last year for $2.2 billion, this was not a great valuation and reflects the weaker market environment. The company still owns 78% of Corebridge. Ultimately, AIG looks to have material upside potential.Įarlier this month, AIG raised $1.68 billion from its IPO of Corebridge Financial (CRBG). That requires us to look at results from its remaining General Insurance unit to determine fair value for the stock. It has been an eventful year for the company, which recently completed a long-awaited IPO of its life and insurance unit. (AIG) have fallen about 13% over the past year, not a stellar performance, but a bit better than the markets overall. Shares of American International Group, Inc. P&C insurance results continue to improve thanks to more disciplined underwriting, and higher rates should aid results further.ĪIG is also aggressively repurchasing stock with plans to reduce the share count further.ĪIG's remaining P&C business has sufficient profit power to push shares above $60, making the stock a buy at current levels. With AIG Simplifying Its Business, Shares Can Trade HigherĪIG has completed an IPO of its life insurance unit and is nearing the end of its journey from a conglomerate to a pure-play P&C insurance company.
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