Company Update: American International Group Inc (NYSE:AIG) – Apple leads US$11.075bn high-grade bond sales

[Reuters – UK Focus] – Computer giant Apple (LSE: 0R2V.L – news) led a rush of US$11.075bn of new high-grade bond supply on Thursday after the Fed prompted a sharp rally in credit spreads by signaling fewer rate hikes in 2016. Ten companies crammed into the market, with some – Apple and AIG – back selling debt after printing new deals only last month, taking full advantage of welcoming conditions in a primary market that has sprung back to life. “The market is that much better after being ugly (at the beginning of the year),” one syndicate banker told IFR. Read more on this. American International Group, Inc. (AIG) , currently valued at $63.49B, started the session at $52.90. Shares have traded today between $52.37 and $53.48 per share with a one year range of $50.20 to $64.93. AIG shares are currently priced at 10.95x this year’s forecasted earnings, which makes them relatively inexpensive compared to the industry’s 14.60x earnings multiple for the same period. The company pays shareholders $1.28 per share in dividend income per year, for a current yield of 2.42%. According to a consensus of 22 analysts, the earnings estimate of $1.09 per share would be $0.13 worse than the year-ago quarter and a $0.13 sequential decrease. What we find to be interesting is that the full-year EPS estimate of $4.84 is a $2.65 improvement when compared to the previous year’s annual results. The quarterly earnings estimate is predicated on a consensus revenue forecast of $13.72 Billion. If reported, that would be a 5.96% decrease over the year-ago quarter. Recently, Standpoint Research upgraded AIG from Hold to Buy (Jan 19, 2016). Previously, Standpoint Research downgraded AIG from Buy to Hold. When considering if perhaps the stock is under or overvalued, the average price target is $63.28, which is 19.62% above where the stock opened this morning. See more in (NYSE:AIG) Similar Articles: Company Update: American International Group Inc (NYSE:AIG) – A.M. Best Withdraws Ratings of AIG Australia Limited Company Update: American International Group Inc (NYSE:AIG) – Icahn again urges AIG to become a "simpler" company Company Update: American International Group Inc (NYSE:AIG) – ASSA to Acquire AIG Operations in Central America