Top Insurance Companies To Buy Right Now

Top Insurance Companies To Buy Right Now: American International Group Inc.(AIG)

American International Group, Inc. is an international insurance organization. The company operates property and casualty insurance networks worldwide and conducts activities in the U.S. life insurance and retirement services industry. It also involves in commercial aircraft leasing and residential mortgage guaranty insurance businesses. The company, through Chartis Inc., provides various property and casualty insurance products under commercial and consumer categories worldwide. These products include surplus lines, executive liability/directors? and officers? liability, employment practices, excess casualty, and travel/assistance lines. American International Group, through SunAmerica Financial Group, offers a suite of life insurance and retirement products and services, including term life, universal life, accident and health, fixed and variable deferred annuities, fixed payout annuities, mutual funds, and financial planning products and services to individuals and grou ps in the United States. The company, through International Lease Finance Corporation, operates as an aircraft lessor that acquires commercial jet aircraft from various manufacturers and other parties, and leases those aircraft to airlines worldwide. It also sells aircraft from its fleet to other leasing companies, financial services companies, and airlines, as well as provides management services to third-party owners of aircraft portfolios. American International Group, through United Guaranty Corporation, issues residential mortgage guaranty insurance that covers mortgage lenders from the first loss for credit defaults on high loan-to-value conventional first-lien mortgages for the purchase or refinance of one- to four-family residences in the U.S. and internationally. The company was founded in 1967 and is based in New York, New York.

Advisors' Opinion:

• [By Ben Levisohn]

  American International Group (AI! G) has made oodles of progress since its bad pre-financial-crisis bets nearly took it down. If nothing else, American International Group’s 49% annualized return during the past five years is a sign of that progress.

  Bloomberg News

  Just don’t expect more of the same, say Deutsche Bank’s Joshua Shanker and Phil Stefano who downgraded American International Group. They explain why:

  After making significant improvements in its core operations, elevated expenses continue to impose a ceiling on the profitability of [American International Group's] the property and casualty business. Management indicates that Fuji unit integration costs will keep expenses high through 2014, which suggests that core ROE may stagnate at around 6% for the foreseeable future. While we believe cash flow will ultimately exceed core and GAAP EPS, we believe incremental buyers will need to see additional combined ratio improvement to be motivated to purchase [American International Group] stock.

  Shanker and Stefano expect shares of American International Group to remain range bound near $50 in the short-term.

  Shares of American International Group have dropped 1.7% to $49.67 at 1:19 p.m. today, while American Financial Group (AFG) has, dropped 0.2% to $57.23, HCC Insurance (HCC) is little changed at $45.12,Travelers (TRV) has dipped 0.1% to $83.52 and Chubb (CB) is off 0.1% at $86.58.

• [By Jessica Alling]

  AIG (NYSE: AIG  ) , General Electric's (NYSE: GE  ) GE Capital, and Prudential Financial (NYSE: PRU  ) we all notified Monday that they had been designated as "systemically important financial institutions," with tougher rules on the way. Does this kill any opportunities for investors?

• [By Daniela Pylypczak]

  American International Group Inc (AIG) released its third quarter earnings results on Thursday after the closing bell, posting earnings that beat analyst expectations, while revenues missed.

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  AIG! 217;s Q3 Performance in Brief
  - Revenues came in at $8.43 billion, a drop from the $8.75 billion reported a year ago. Analysts had expected AIG’s revenues to come in at $8.63 billion.
  - Net after-tax operating income came in at $1.4 billion, or $0.96 per share; analysts had expected EPS to come in at $0.94.
  - Growth in insurance operating income rose 38% from a year prior to $2.2 billion.
  - Investors should note that netincome attributable to AIG for the quarter exceeded after-tax operating income attributable to AIG largely due to valuation allowance releases associated with deferred tax assets from capital loss carryforwards, partially offset by a $260 million after-tax increase to litigation reserves related to legacy crisis matters.

  CEO Commentary
  CEO and President Robert H. Benmosche commented, “AIGs solid performance this quarter underscores the strong fundamentals of our businesses, and builds upon the momentum that we generated in the first half of this year. Our insurance operations reported improved pre-tax operating profits this quarter from the third quarter of 2012, and we continue to remain optimistic about the future.”

  AIG’s Dividend
  AIG pays a quarterly dividend of $0.10 per share, or $0.40 annualized. AIG is set to pay its next dividend on December 19, 2013 to shareholders of record on December 5, 2013, with an ex-dividend date of December 3, 2013.

  AIG reinstated a dividend of 10 cents on September 26, 2013. Prior to that, AIG had not paid a dividend since September of 2008.

  Shares Slip
  American International Group shares slipped 0.62% during Thursday’s session. Year-to-date, the stock is up 42.46%

source from Top Penny Stocks For 2015:http://www.seekpennystocks.com/top-insurance-companies-to-buy-right-now-2.html