Unusual Social Activity Today Around American International Group (AIG)
Trade-Ideas LLC identified American International Group ( AIG) as an unusual social activity candidate. In addition to specific proprietary factors, Trade-Ideas identified American International Group as such a stock due to the following factors:
- AIG has 16x the normal benchmarked social activity for this time of the day compared to its average of 8.39 mentions/day.
- AIG has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $321.7 million.
Identifying stocks with 'Unusual Social Activity' tends to be a valuable process for traders looking to capitalize on the 'talk of the town' stocks that are basking in far more attention from the StockTwits financial community than normal. Good press? Bad press? It ultimately doesn't matter if it's good or bad if you know how to trade around the sentiment. Certain hedge funds use such data for their proprietary algorithms and it is not uncommon to see shared social sentiment play itself out in a stock's price trend.
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More details on AIG: American International Group, Inc. provides insurance products and services for commercial, institutional, and individual customers in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. The company operates through two segments, Commercial Insurance and Consumer Insurance. The stock currently has a dividend yield of 2.3%. AIG has a PE ratio of 34. Currently there are 6 analysts that rate American International Group a buy, no analysts rate it a sell, and 6 rate it a hold. The average volume for American International Group has been 8.5 million shares per day over the past 30 days. American International Group has a market cap of $64.2 billion and is part of the financial sector and insurance industry. The stock has a beta of 1.32 and a short float of 1.2% with 2.31 days to cover. Shares are down 8.7% year-to-date as of the close of trading on Monday.
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Analysis:
rates American International Group as a
. Among the primary strengths of the company is its solid financial position based on a variety of debt and liquidity measures that we have evaluated. At the same time, however, we also find weaknesses including deteriorating net income, disappointing return on equity and weak operating cash flow. Highlights from the ratings report include:
- Despite the weak revenue results, AIG has outperformed against the industry average of 22.3%. Since the same quarter one year prior, revenues slightly dropped by 8.7%. Weakness in the company's revenue seems to have hurt the bottom line, decreasing earnings per share.
- Despite currently having a low debt-to-equity ratio of 0.33, it is higher than that of the industry average, inferring that management of debt levels may need to be evaluated further.
- AMERICAN INTERNATIONAL GROUP has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. The company has reported a trend of declining earnings per share over the past two years. However, the consensus estimate suggests that this trend should reverse in the coming year. During the past fiscal year, AMERICAN INTERNATIONAL GROUP reported lower earnings of $1.42 versus $5.21 in the prior year. This year, the market expects an improvement in earnings ($4.75 versus $1.42).
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Insurance industry. The net income has significantly decreased by 381.1% when compared to the same quarter one year ago, falling from $655.00 million to -$1,841.00 million.
- The company's current return on equity has slightly decreased from the same quarter one year prior. This implies a minor weakness in the organization. When compared to other companies in the Insurance industry and the overall market, AMERICAN INTERNATIONAL GROUP's return on equity is below that of both the industry average and the S&P 500.
- You can view the full American International Group Ratings Report.
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