American International Group, Inc. First Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component American International Group, Inc. (NYSE:AIG) will unveil its latest earnings on Thursday, May 3, 2012. American International Group is a holding company that is engaged in insurance and insurance-related activities in the global marketplace.

American International Group, Inc. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average analyst estimate is for net income of $1.02 per share, a decline of 21.5% from the company’s actual earnings for the year-ago quarter. During the past three months, the average estimate has moved up from 63 cents. Between one and three months ago, the average estimate moved up. It has risen from 65 cents during the last month. For the year, analysts are projecting profit of $2.95 per share, a rise of more than twofold from last year.

Past Earnings Performance: Last quarter, the company topped expectations by 21 cents, coming in at net income of 82 cents per share versus a mean estimate of profit of 61 cents per share. This followed two straight quarters of missing estimates.

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Wall St. Revenue Expectations: Analysts predict a rise of 2.2% in revenue from the year-earlier quarter to $8.84 billion.

Analyst Ratings: Analysts seem relatively indifferent about American International Group with nine of 15 analysts surveyed maintaining a hold rating.

A Look Back: In the fourth quarter of the last fiscal year, profit rose 79.1% to $19.8 billion ($11.03 a share) from $11.05 billion ($16.48 a share) the year earlier, exceeding analyst expectations. Revenue fell 19.7% to $17.41 billion from $21.69 billion.

Key Stats:

On the top line, the company is hoping to use this earnings announcement to snap a string of three-straight quarters of revenue declines. Revenue fell 16.5% in the second quarter of the last fiscal year and 33.4% in third quarter of the last fiscal year before falling again in the fourth quarter of the last fiscal year of the last fiscal year.

Stock Price Performance: Between February 1, 2012 and April 27, 2012, the stock price rose $7.86 (29.5%), from $26.60 to $34.46. The stock price saw one of its best stretches over the last year between February 17, 2012 and March 5, 2012, when shares rose for 11 straight days, increasing 11.6% (+$3.16) over that span. It saw one of its worst periods between July 26, 2011 and August 2, 2011 when shares fell for six straight days, dropping 5.8% (-$1.72) over that span.

(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

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