AIG vs. BAC: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at AIG and BAC, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.
Company Overview
BAC stands out with 325.75 billion USD in market value—about 6.84× AIG’s market cap of 47.62 billion USD.
BAC carries a higher beta at 1.28, indicating it’s more sensitive to market moves, while AIG remains steadier at 0.70.
| Symbol | AIG | BAC |
|---|---|---|
| Company Name | American International Group, Inc. | Bank of America Corporation |
| Country | US | US |
| Sector | Financial Services | Financial Services |
| Industry | Insurance - Diversified | Banks - Diversified |
| CEO | Mr. Peter Salvatore Zaffino | Mr. Brian Thomas Moynihan |
| Price | 82.63 USD | 43.25 USD |
| Market Cap | 47.62 billion USD | 325.75 billion USD |
| Beta | 0.70 | 1.28 |
| Exchange | NYSE | NYSE |
| IPO Date | January 2, 1973 | February 21, 1973 |
| ADR | No | No |
Performance Comparison
This chart compares the performance of AIG and BAC over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).
Hover over the lines to see the investment’s value and total return (%) at specific dates.
Data is adjusted for dividends and splits.
Valuation Metrics Comparison
The section examines key financial ratios to assess the valuation of AIG and BAC based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.
- AIG posts a negative P/E of -30.90, reflecting last year’s net loss, while BAC at 11.92 signals healthy earnings.
- AIG posts a negative forward PEG of -1.65, hinting at anticipated earnings decline, whereas BAC at 0.80 has projections for stable or growing earnings.
| Symbol | AIG | BAC |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | -30.90 | 11.92 |
| Forward PEG Ratio (TTM) | -1.65 | 0.80 |
| Price-to-Sales Ratio (P/S, TTM) | 1.75 | 2.65 |
| Price-to-Book Ratio (P/B, TTM) | 1.43 | 1.12 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 17.65 | 48.37 |
| EV-to-EBITDA (TTM) | 8.68 | 15.23 |
| EV-to-Sales (TTM) | 2.01 | 6.29 |
| EV-to-Free Cash Flow (TTM) | 20.32 | 114.95 |
Dividend Comparison
Both AIG and BAC offer similar dividend yields (1.94% vs. 2.36%), indicating comparable approaches to balancing income and growth.
| Symbol | AIG | BAC |
|---|---|---|
| Dividend Yield (TTM) | 1.94% | 2.36% |
Financial Strength Metrics Comparison
This section dives into the financial resilience of AIG and BAC, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.
- With current ratios of 0.00 and 0.66, both AIG and BAC have less current assets than short-term liabilities, which could strain their working capital and force reliance on additional financing.
- Both AIG (quick ratio 0.00) and BAC (quick ratio 0.66) fall below 0.8, meaning their most liquid assets—excluding inventory—aren’t enough to meet short-term obligations. This could force them to rely on receivables, inventory turn, or external financing.
- BAC’s low interest coverage (0.36) means it doesn't cover interest from operating earnings. AIG (at 8.29) meets its interest obligations.
| Symbol | AIG | BAC |
|---|---|---|
| Current Ratio (TTM) | 0.00 | 0.66 |
| Quick Ratio (TTM) | 0.00 | 0.66 |
| Debt-to-Equity Ratio (TTM) | 0.21 | 2.44 |
| Debt-to-Assets Ratio (TTM) | 0.05 | 0.22 |
| Interest Coverage Ratio (TTM) | 8.29 | 0.36 |