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Research Alert: Aig Posts Significantly Better-than-expected Q1 Operating Eps

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-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:

AIG posted strong Q1 results with operating EPS of $2.11 versus $1.17 prior year, topping our $1.95 estimate and the $1.88 consensus view on improved claim trends. General Insurance net premiums written surged 24% to $5.6B, while underwriting income more than tripled to $774M with the combined ratio improving 850 basis points to 87.3% on lower catastrophe losses. We view AIG as undervalued and believe its ability to produce above-peer underwriting profitability will provide a catalyst for shares to close their valuation gap with peers. Chairman and CEO Peter Zaffino will transition out, with Eric Anderson becoming CEO on June 1, 2026. We are encouraged by AIG's significantly improved underwriting profitability and broad-based premium growth driven by strategic transactions including Everest Group renewals. AIG returned $760M to shareholders through buybacks and dividends, with the Board increasing the quarterly dividend 11% to $0.50 per share, marking the fourth consecutive year of double-digit increases.

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