AIG vs. MCO: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at AIG and MCO, comparing key factors like performance, valuation metrics, dividends, and financial strength.
Company Overview
MCO’s market capitalization of 86.72 billion USD is significantly greater than AIG’s 49.26 billion USD, highlighting its more substantial market valuation.
MCO carries a higher beta at 1.40, indicating it’s more sensitive to market moves, while AIG (beta: 0.70) exhibits greater stability.
| Symbol | AIG | MCO |
|---|---|---|
| Company Name | American International Group, Inc. | Moody's Corporation |
| Country | US | US |
| Sector | Financial Services | Financial Services |
| Industry | Insurance - Diversified | Financial - Data & Stock Exchanges |
| CEO | Mr. Peter Salvatore Zaffino | Mr. Robert Scott Fauber |
| Price | 85.48 USD | 482.07 USD |
| Market Cap | 49.26 billion USD | 86.72 billion USD |
| Beta | 0.70 | 1.40 |
| Exchange | NYSE | NYSE |
| IPO Date | January 2, 1973 | October 31, 1994 |
| ADR | No | No |
Performance Comparison
This chart compares the performance of AIG and MCO over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).
Data is adjusted for dividends and splits.
Valuation Metrics Comparison
This section compares the market valuation of AIG and MCO. Key takeaways regarding their valuation, when viewed within their industry context, are presented in the commentary that follows.
- AIG’s Price-to-Earnings (P/E) ratio of -31.97 indicates negative earnings, signaling current unprofitability. MCO, with a very high P/E ratio of 41.20, appears to have a valuation that either is significantly stretched or reflects high expectations for substantial future growth.
- MCO’s Price-to-Book (P/B) ratio of 23.45 is very high. This suggests that investors are valuing its assets and growth potential at a considerable premium to its stated book value, often due to strong return on equity, significant intangible assets, or optimistic growth forecasts.
| Symbol | AIG | MCO |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | -31.97 | 41.20 |
| Forward PEG Ratio (TTM) | -1.68 | 4.50 |
| Price-to-Sales Ratio (P/S, TTM) | 1.81 | 12.00 |
| Price-to-Book Ratio (P/B, TTM) | 1.48 | 23.45 |
| EV-to-EBITDA (TTM) | 7.49 | 31.49 |
| EV-to-Sales (TTM) | 2.07 | 12.69 |
Dividend Comparison
AIG’s dividend yield of 1.87% is notably higher than MCO’s 0.74%, suggesting a stronger emphasis on returning cash to shareholders.
| Symbol | AIG | MCO |
|---|---|---|
| Dividend Yield (TTM) | 1.87% | 0.74% |
Financial Strength Metrics Comparison
Explore the financial strength details for AIG and MCO in the table below.
| Symbol | AIG | MCO |
|---|---|---|
| Current Ratio (TTM) | -- | 1.56 |
| Quick Ratio (TTM) | -- | 1.56 |
| Debt-to-Equity Ratio (TTM) | 0.21 | 1.93 |
| Debt-to-Asset Ratio (TTM) | 0.05 | 0.47 |
| Net Debt-to-EBITDA Ratio (TTM) | 0.96 | 1.72 |
| Interest Coverage Ratio (TTM) | 8.29 | 8.64 |