AIG vs. BLK: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AIG and BLK, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
BLK’s market capitalization of 167.65 billion USD is significantly greater than AIG’s 47.94 billion USD, highlighting its more substantial market valuation.
BLK carries a higher beta at 1.42, indicating it’s more sensitive to market moves, while AIG (beta: 0.66) exhibits greater stability.
| Symbol | AIG | BLK |
|---|---|---|
| Company Name | American International Group, Inc. | BlackRock, Inc. |
| Country | US | US |
| Sector | Financial Services | Financial Services |
| Industry | Insurance - Diversified | Asset Management |
| CEO | Peter Salvatore Zaffino | Laurence Douglas Fink |
| Price | 83.18 USD | 1,082.15 USD |
| Market Cap | 47.94 billion USD | 167.65 billion USD |
| Beta | 0.66 | 1.42 |
| Exchange | NYSE | NYSE |
| IPO Date | January 2, 1973 | October 1, 1999 |
| ADR | No | No |
Historical Performance
This chart compares the performance of AIG and BLK 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.
BLK
14.27%
Asset Management Industry
- Max
- 34.25%
- Q3
- 18.22%
- Median
- 11.24%
- Q1
- 5.81%
- Min
- -5.72%
BLK’s Return on Equity of 14.27% is on par with the norm for the Asset Management 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.
BLK
4.35%
Asset Management Industry
- Max
- 42.18%
- Q3
- 20.06%
- Median
- 8.68%
- Q1
- 3.13%
- Min
- -16.42%
BLK’s Return on Invested Capital of 4.35% is in line with the norm for the Asset Management industry, reflecting a standard level of efficiency in generating profits from its capital base.
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.
BLK
29.84%
Asset Management Industry
- Max
- 91.66%
- Q3
- 57.81%
- Median
- 29.48%
- Q1
- 15.70%
- Min
- -27.65%
BLK’s Net Profit Margin of 29.84% is aligned with the median group of its peers in the Asset Management 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.
BLK
36.71%
Asset Management Industry
- Max
- 99.76%
- Q3
- 78.28%
- Median
- 34.76%
- Q1
- 21.75%
- Min
- -48.25%
BLK’s Operating Profit Margin of 36.71% is around the midpoint for the Asset Management industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | AIG | BLK |
|---|---|---|
| Return on Equity (TTM) | -4.43% | 14.27% |
| Return on Assets (TTM) | -1.19% | 4.44% |
| Return on Invested Capital (TTM) | 10.39% | 4.35% |
| Net Profit Margin (TTM) | -7.05% | 29.84% |
| Operating Profit Margin (TTM) | 13.31% | 36.71% |
| Gross Profit Margin (TTM) | 100.00% | 65.72% |
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.
BLK
12.36
Asset Management Industry
- Max
- 12.44
- Q3
- 5.76
- Median
- 3.04
- Q1
- 1.03
- Min
- 0.01
BLK’s Current Ratio of 12.36 is in the upper quartile for the Asset Management industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
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.
BLK
0.30
Asset Management Industry
- Max
- 2.62
- Q3
- 1.42
- Median
- 0.76
- Q1
- 0.34
- Min
- 0.01
Falling into the lower quartile for the Asset Management industry, BLK’s Debt-to-Equity Ratio of 0.30 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
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.
BLK
16.94
Asset Management Industry
- Max
- 13.30
- Q3
- 6.30
- Median
- 2.71
- Q1
- 1.00
- Min
- -6.91
With an Interest Coverage Ratio of 16.94, BLK demonstrates a superior capacity to service its debt, placing it well above the typical range for the Asset Management industry. This stems from either robust earnings or a conservative debt load.
Financial Strength at a Glance
| Symbol | AIG | BLK |
|---|---|---|
| Current Ratio (TTM) | -- | 12.36 |
| Quick Ratio (TTM) | -- | 12.36 |
| Debt-to-Equity Ratio (TTM) | 0.21 | 0.30 |
| Debt-to-Asset Ratio (TTM) | 0.05 | 0.10 |
| Net Debt-to-EBITDA Ratio (TTM) | 0.96 | 0.80 |
| Interest Coverage Ratio (TTM) | 8.29 | 16.94 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for AIG and BLK. 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.
BLK
1.91%
Asset Management Industry
- Max
- 26.09%
- Q3
- 11.60%
- Median
- 6.37%
- Q1
- 2.75%
- Min
- 0.00%
BLK’s Dividend Yield of 1.91% is in the lower quartile for the Asset Management 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.
BLK
49.86%
Asset Management Industry
- Max
- 1,034.88%
- Q3
- 127.70%
- Median
- 75.15%
- Q1
- 34.21%
- Min
- 0.00%
BLK’s Dividend Payout Ratio of 49.86% is within the typical range for the Asset Management industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | AIG | BLK |
|---|---|---|
| Dividend Yield (TTM) | 1.98% | 1.91% |
| Dividend Payout Ratio (TTM) | -51.66% | 49.86% |
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.
BLK
26.60
Asset Management Industry
- Max
- 38.72
- Q3
- 23.40
- Median
- 11.45
- Q1
- 8.80
- Min
- 1.54
A P/E Ratio of 26.60 places BLK in the upper quartile for the Asset Management industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
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.
BLK
-0.27
Asset Management Industry
- Max
- 6.38
- Q3
- 3.23
- Median
- 1.55
- Q1
- 0.89
- Min
- 0.02
BLK has a negative Forward PEG Ratio of -0.27. This typically results from negative earnings or forecasts of declining future earnings, making the ratio not meaningful for valuation.
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.
BLK
7.93
Asset Management Industry
- Max
- 13.75
- Q3
- 7.92
- Median
- 4.87
- Q1
- 3.51
- Min
- 0.02
BLK’s P/S Ratio of 7.93 is in the upper echelon for the Asset Management industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
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.
BLK
3.49
Asset Management Industry
- Max
- 5.33
- Q3
- 2.75
- Median
- 1.06
- Q1
- 0.87
- Min
- 0.00
The P/B Ratio is often not a primary valuation metric for the Asset Management industry.
Valuation at a Glance
| Symbol | AIG | BLK |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | -25.70 | 26.60 |
| Forward PEG Ratio (TTM) | -1.34 | -0.27 |
| Price-to-Sales Ratio (P/S, TTM) | 1.76 | 7.93 |
| Price-to-Book Ratio (P/B, TTM) | 1.19 | 3.49 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 17.77 | 42.26 |
| EV-to-EBITDA (TTM) | 7.31 | 21.37 |
| EV-to-Sales (TTM) | 2.02 | 8.24 |