AIG vs. BBD: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AIG and BBD, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
AIG’s market capitalization of 47.94 billion USD is substantially larger than BBD’s 30.72 billion USD, indicating a significant difference in their market valuations.
AIG’s beta of 0.66 points to significantly higher volatility compared to BBD (beta: 0.40), suggesting AIG has greater potential for both gains and losses relative to market movements.
BBD is an American Depositary Receipt (ADR), allowing U.S. investors direct exposure to its non-U.S. operations. AIG, on the other hand, is a domestic entity.
| Symbol | AIG | BBD |
|---|---|---|
| Company Name | American International Group, Inc. | Banco Bradesco S.A. |
| Country | US | BR |
| Sector | Financial Services | Financial Services |
| Industry | Insurance - Diversified | Banks - Regional |
| CEO | Peter Salvatore Zaffino | Marcelo de Araujo Noronha |
| Price | 83.18 USD | 3.1 USD |
| Market Cap | 47.94 billion USD | 30.72 billion USD |
| Beta | 0.66 | 0.40 |
| Exchange | NYSE | NYSE |
| IPO Date | January 2, 1973 | August 2, 2002 |
| ADR | No | Yes |
Historical Performance
This chart compares the performance of AIG and BBD by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
AIG
-4.43%
Insurance - Diversified Industry
- Max
- 19.59%
- Q3
- 17.66%
- Median
- 12.77%
- Q1
- 7.56%
- Min
- -4.43%
AIG has a negative Return on Equity of -4.43%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.
BBD
11.17%
Banks - Regional Industry
- Max
- 19.20%
- Q3
- 11.87%
- Median
- 9.48%
- Q1
- 6.66%
- Min
- -0.15%
BBD’s Return on Equity of 11.17% is on par with the norm for the Banks - Regional industry, indicating its profitability relative to shareholder equity is typical for the sector.
Return on Invested Capital
AIG
10.39%
Insurance - Diversified Industry
- Max
- 32.46%
- Q3
- 16.21%
- Median
- 9.46%
- Q1
- 2.09%
- Min
- -10.51%
Return on Invested Capital is often not a primary measure of capital efficiency in the Insurance - Diversified industry.
BBD
1.93%
Banks - Regional Industry
- Max
- 13.33%
- Q3
- 7.16%
- Median
- 5.31%
- Q1
- 2.87%
- Min
- -3.49%
Return on Invested Capital is often not a primary measure of capital efficiency in the Banks - Regional industry.
Net Profit Margin
AIG
-7.05%
Insurance - Diversified Industry
- Max
- 26.00%
- Q3
- 19.46%
- Median
- 9.37%
- Q1
- 5.55%
- Min
- -7.05%
AIG has a negative Net Profit Margin of -7.05%, indicating the company is operating at a net loss as its expenses exceeded its revenues.
BBD
13.16%
Banks - Regional Industry
- Max
- 32.03%
- Q3
- 21.35%
- Median
- 16.99%
- Q1
- 12.69%
- Min
- 0.27%
BBD’s Net Profit Margin of 13.16% is aligned with the median group of its peers in the Banks - Regional industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin
AIG
13.31%
Insurance - Diversified Industry
- Max
- 44.52%
- Q3
- 25.84%
- Median
- 14.16%
- Q1
- 6.78%
- Min
- -2.60%
AIG’s Operating Profit Margin of 13.31% is around the midpoint for the Insurance - Diversified industry, indicating that its efficiency in managing core business operations is typical for the sector.
BBD
18.97%
Banks - Regional Industry
- Max
- 40.01%
- Q3
- 26.24%
- Median
- 21.14%
- Q1
- 15.85%
- Min
- 1.50%
BBD’s Operating Profit Margin of 18.97% is around the midpoint for the Banks - Regional industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | AIG | BBD |
|---|---|---|
| Return on Equity (TTM) | -4.43% | 11.17% |
| Return on Assets (TTM) | -1.19% | 0.91% |
| Return on Invested Capital (TTM) | 10.39% | 1.93% |
| Net Profit Margin (TTM) | -7.05% | 13.16% |
| Operating Profit Margin (TTM) | 13.31% | 18.97% |
| Gross Profit Margin (TTM) | 100.00% | 58.38% |
Financial Strength
Current Ratio
AIG
--
Insurance - Diversified Industry
- Max
- 4.41
- Q3
- 4.03
- Median
- 2.86
- Q1
- 2.82
- Min
- 2.82
Current Ratio data for AIG is currently unavailable.
BBD
0.53
Banks - Regional Industry
- Max
- 0.39
- Q3
- 0.22
- Median
- 0.15
- Q1
- 0.10
- Min
- 0.01
For the Banks - Regional industry, the Current Ratio is often not the most suitable measure of short-term liquidity.
Debt-to-Equity Ratio
AIG
0.21
Insurance - Diversified Industry
- Max
- 0.54
- Q3
- 0.39
- Median
- 0.27
- Q1
- 0.21
- Min
- 0.13
AIG’s Debt-to-Equity Ratio of 0.21 is typical for the Insurance - Diversified industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
BBD
4.01
Banks - Regional Industry
- Max
- 1.74
- Q3
- 0.81
- Median
- 0.42
- Q1
- 0.18
- Min
- 0.00
With a Debt-to-Equity Ratio of 4.01, BBD operates with exceptionally high leverage compared to the Banks - Regional industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.
Interest Coverage Ratio
AIG
8.29
Insurance - Diversified Industry
- Max
- 19.23
- Q3
- 17.46
- Median
- 7.97
- Q1
- 4.61
- Min
- -1.63
AIG’s Interest Coverage Ratio of 8.29 is positioned comfortably within the norm for the Insurance - Diversified industry, indicating a standard and healthy capacity to cover its interest payments.
BBD
0.24
Banks - Regional Industry
- Max
- 1.58
- Q3
- 0.84
- Median
- 0.59
- Q1
- 0.35
- Min
- -0.35
The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Banks - Regional industry.
Financial Strength at a Glance
| Symbol | AIG | BBD |
|---|---|---|
| Current Ratio (TTM) | -- | 0.53 |
| Quick Ratio (TTM) | -- | 0.53 |
| Debt-to-Equity Ratio (TTM) | 0.21 | 4.01 |
| Debt-to-Asset Ratio (TTM) | 0.05 | 0.33 |
| Net Debt-to-EBITDA Ratio (TTM) | 0.96 | 21.77 |
| Interest Coverage Ratio (TTM) | 8.29 | 0.24 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for AIG and BBD. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
AIG
1.98%
Insurance - Diversified Industry
- Max
- 8.16%
- Q3
- 5.54%
- Median
- 2.46%
- Q1
- 1.59%
- Min
- 0.00%
AIG’s Dividend Yield of 1.98% is consistent with its peers in the Insurance - Diversified industry, providing a dividend return that is standard for its sector.
BBD
1.48%
Banks - Regional Industry
- Max
- 11.72%
- Q3
- 4.07%
- Median
- 3.00%
- Q1
- 1.68%
- Min
- 0.00%
BBD’s Dividend Yield of 1.48% is in the lower quartile for the Banks - Regional industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.
Dividend Payout Ratio
AIG
-51.66%
Insurance - Diversified Industry
- Max
- 101.86%
- Q3
- 53.36%
- Median
- 21.69%
- Q1
- 5.33%
- Min
- 0.00%
AIG has a negative Dividend Payout Ratio of -51.66%. This typically means the company paid a dividend despite reporting a net loss, a situation that may signal financial instability.
BBD
32.22%
Banks - Regional Industry
- Max
- 155.35%
- Q3
- 50.05%
- Median
- 34.14%
- Q1
- 18.61%
- Min
- 0.00%
BBD’s Dividend Payout Ratio of 32.22% is within the typical range for the Banks - Regional industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | AIG | BBD |
|---|---|---|
| Dividend Yield (TTM) | 1.98% | 1.48% |
| Dividend Payout Ratio (TTM) | -51.66% | 32.22% |
Valuation
Price-to-Earnings Ratio
AIG
-25.70
Insurance - Diversified Industry
- Max
- 18.52
- Q3
- 16.13
- Median
- 13.33
- Q1
- 9.73
- Min
- 2.62
AIG has a negative P/E Ratio of -25.70. This occurs when a company has negative earnings (a net loss), making the ratio unsuitable for valuation analysis.
BBD
9.42
Banks - Regional Industry
- Max
- 22.32
- Q3
- 15.38
- Median
- 12.31
- Q1
- 10.72
- Min
- 4.30
In the lower quartile for the Banks - Regional industry, BBD’s P/E Ratio of 9.42 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
Forward P/E to Growth Ratio
AIG
-1.34
Insurance - Diversified Industry
- Max
- 2.60
- Q3
- 2.07
- Median
- 1.20
- Q1
- 0.77
- Min
- 0.04
AIG has a negative Forward PEG Ratio of -1.34. This typically results from negative earnings or forecasts of declining future earnings, making the ratio not meaningful for valuation.
BBD
0.72
Banks - Regional Industry
- Max
- 4.03
- Q3
- 2.13
- Median
- 1.25
- Q1
- 0.71
- Min
- 0.02
BBD’s Forward PEG Ratio of 0.72 is within the middle range of its peers in the Banks - Regional industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
Price-to-Sales Ratio
AIG
1.76
Insurance - Diversified Industry
- Max
- 3.08
- Q3
- 2.00
- Median
- 1.15
- Q1
- 1.07
- Min
- 0.38
AIG’s P/S Ratio of 1.76 aligns with the market consensus for the Insurance - Diversified industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
BBD
1.16
Banks - Regional Industry
- Max
- 4.28
- Q3
- 2.76
- Median
- 2.17
- Q1
- 1.71
- Min
- 0.55
The P/S Ratio is often not a primary valuation tool in the Banks - Regional industry.
Price-to-Book Ratio
AIG
1.19
Insurance - Diversified Industry
- Max
- 2.12
- Q3
- 1.80
- Median
- 1.59
- Q1
- 1.29
- Min
- 0.74
AIG’s P/B Ratio of 1.19 is in the lower quartile for the Insurance - Diversified industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.
BBD
1.03
Banks - Regional Industry
- Max
- 1.99
- Q3
- 1.35
- Median
- 1.09
- Q1
- 0.92
- Min
- 0.33
BBD’s P/B Ratio of 1.03 is within the conventional range for the Banks - Regional industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
Valuation at a Glance
| Symbol | AIG | BBD |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | -25.70 | 9.42 |
| Forward PEG Ratio (TTM) | -1.34 | 0.72 |
| Price-to-Sales Ratio (P/S, TTM) | 1.76 | 1.16 |
| Price-to-Book Ratio (P/B, TTM) | 1.19 | 1.03 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 17.77 | 35.13 |
| EV-to-EBITDA (TTM) | 7.31 | 28.59 |
| EV-to-Sales (TTM) | 2.02 | 4.86 |