American International Group Inc (AIG) experienced a price decline of 5.78%, hitting a 5-day low amid a mixed market backdrop where the Nasdaq-100 rose by 0.24% and the S&P 500 increased by 0.10%.
This drop follows the announcement that CEO Peter Zaffino will transition to Executive Chair in June 2026, with Eric Andersen named as his successor. Despite Zaffino's successful leadership, which included five consecutive years of underwriting profitability, the stock fell nearly 5% in premarket trading, indicating a potential sector rotation as investors react to the leadership change.
The leadership transition is crucial for AIG as it seeks to maintain its competitive edge in the insurance market. The incoming CEO's extensive experience is expected to guide the company through ongoing strategic initiatives, but the immediate market reaction suggests uncertainty among investors regarding future performance.
Wall Street analysts forecast AIG stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AIG is 85.93 USD with a low forecast of 80.00 USD and a high forecast of 96.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
14 Analyst Rating
Wall Street analysts forecast AIG stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AIG is 85.93 USD with a low forecast of 80.00 USD and a high forecast of 96.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
2 Buy
12 Hold
0 Sell
Hold
Current: 73.390
Low
80.00
Averages
85.93
High
96.00
Current: 73.390
Low
80.00
Averages
85.93
High
96.00
Barclays
Overweight -> NULL
downgrade
$30 -> $25
2026-01-08
Reason
Barclays
Price Target
$30 -> $25
AI Analysis
2026-01-08
downgrade
Overweight -> NULL
Reason
Barclays lowered the firm's price target on Ategrity Specialty to $25 from $30 and keeps an Overweight rating on the shares. The firm adjusted ratings and price targets as part of its 2026 outlook for the North America property and casualty Insurance group. Pricing is softening across commercial and reinsurance, while personal lines look relatively better and brokers face organic growth headwinds, the analyst tells investors in a research note. Barclays recommends staying selective.
Barclays
Equal Weight
downgrade
$88 -> $81
2026-01-08
Reason
Barclays
Price Target
$88 -> $81
2026-01-08
downgrade
Equal Weight
Reason
Barclays lowered the firm's price target on AIG to $81 from $88 and keeps an Equal Weight rating on the shares. The firm adjusted ratings and price targets as part of its 2026 outlook for the North America property and casualty Insurance group. Pricing is softening across commercial and reinsurance, while personal lines look relatively better and brokers face organic growth headwinds, the analyst tells investors in a research note. Barclays recommends staying selective.
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Evercore ISI
David Motemaden
In Line
downgrade
$90 -> $85
2026-01-07
Reason
Evercore ISI
David Motemaden
Price Target
$90 -> $85
2026-01-07
downgrade
In Line
Reason
Evercore ISI analyst David Motemaden lowered the firm's price target on AIG to $85 from $90 and keeps an In Line rating on the shares. With a tough cyclical backdrop, 2026 is "shaping up to be a challenging year for the P&C insurance sector," but this presents "a stock pickers market with opportunities for discerning investors," the analyst says in a year-ahead outlook note for the group.
Goldman Sachs
Robert Cox
Neutral
maintain
$81 -> $83
2026-01-07
Reason
Goldman Sachs
Robert Cox
Price Target
$81 -> $83
2026-01-07
maintain
Neutral
Reason
Goldman Sachs analyst Robert Cox raised the firm's price target on AIG to $83 from $81 and keeps a Neutral rating on the shares. In a sector note on Americas Insurance, the firm said it expects "strong and fairly resilient" insurer profitability for the next few years, but added that it believes we are "solidly in the softening phase" of the P&C insurance cycle, which leads to "increased capital supply and competition, which should drive a deceleration in growth/pricing/margins, that we think are broadly underappreciated within Street estimates."
About AIG
American International Group, Inc. is a global insurance company. It provides insurance solutions that help businesses and individuals in over 200 countries and jurisdictions protect their assets and manage risks through its operations, licenses and authorizations and network partners. Its segment includes General Insurance and Other Operations. General Insurance business includes its three segments, including North America Commercial, International Commercial and Global Personal. The North America Commercial consists of insurance businesses in the United States, Canada and Bermuda. The International Commercial consists of insurance businesses in Japan, the United Kingdom, Europe, Middle East and Africa, Asia Pacific, Latin America and Caribbean and China. The North America and International Commercial segment products include property and short tail, casualty, financial lines and global specialty. Global Personal segment products include global accident and health and personal lines.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
