NEW YORK (TheStreet) -- Shares of American International Group (AIG - Get Report) were up 2% in premarket trading Tuesday morning to $32.56, after Wells Fargo analyst John Hall upgraded the shares to "Outperform" from "Market Perform."
Hall increased his 2012 earnings estimate for AIG to $3.38 a share from $2.50, and his 2013 EPS estimate to $3.06 from $2.80. He also increased his valuation range for the shares to $40 to $45, from a range of $27 to $30, "to reflect the likelihood that the company will be independent from the US Government over the course of the next year."
The federal government is looking to sell-off its 70% stake of AIG's shares, and the government also holds a $9 billion stake in Maiden Lane III, which purchased collateral debit obligations from AIG, in 2008, in order to limit the insurer's credit default swap collateral payments.
Hall said "the elimination of these last two
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