This American International Analyst Is No Longer Bullish On Soft Pricing Power
Portfolio Pulse from Priya Nigam
BMO Capital Markets downgraded American International Group Inc (AIG) from Outperform to Market Perform due to soft pricing power in the insurance market, particularly affecting large employers. The price target was reduced from $90 to $84, and EPS estimates for 2025 and 2026 were lowered by ~2%.

October 15, 2024 | 3:17 pm
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BMO Capital Markets downgraded AIG from Outperform to Market Perform due to soft pricing power in the insurance market, affecting large employers. The price target was reduced from $90 to $84, and EPS estimates for 2025 and 2026 were lowered by ~2%.
The downgrade from Outperform to Market Perform and the reduction in price target from $90 to $84 indicate a negative outlook for AIG. The soft pricing power in the insurance market, particularly affecting large employers, is expected to pressure profit margins. The lowered EPS estimates for 2025 and 2026 further support a short-term negative impact on AIG's stock price.
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