AIG vs. MS: A Head-to-Head Stock Comparison

Company Overview

MS towers over AIG with a market cap of 201.02 billion USD, roughly 4.22 times the 47.62 billion USD of its peer.

MS dances to a riskier tune, sporting a beta of 1.30, while AIG keeps it calmer at 0.70.

Performance Comparison

This chart compares the performance of AIG and MS 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 MS based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.

• AIG has a negative P/E of -30.90, indicating it’s been unprofitable over the past year with no net earnings to support its stock price. On the other hand, MS at 13.89 has maintained positive earnings, showing a healthier profit profile.
• AIG carries a negative Forward PEG of -1.65, hinting at analyst expectations of losses or shrinking earnings in the coming period—a potential warning for its future performance. On the flip side, MS at 1.97 sidesteps this concern with a more favorable outlook.
• MS has a negative Price-to-Free Cash Flow of -95.72, indicating it’s spent more cash than it’s brought in over the past year—a cash flow shortfall that raises questions about its operational sustainability. Meanwhile, AIG at 17.65 maintains a positive cash position.

Dividend Comparison

Both AIG at 1.94% and MS at 2.95% pay dividends, blending income with growth in their strategies. Yet MS’s 2.95% yield, 52% above AIG’s 1.94%, suggests a focus on generous payouts—possibly from stronger profits—while AIG leans toward reinvestment, perhaps due to tighter margins.

Financial Strength Metrics Comparison

This section dives into the financial resilience of AIG and MS, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

• For both AIG (0.00) and MS (0.66), current ratios sit below 1. With current assets trailing short-term liabilities, they might tap into cash flow or borrowing to stay afloat—a setup not uncommon in certain sectors, though it bears monitoring if cash gets tight.
• AIG (0.00) and MS (0.66) both clock quick ratios under 0.8. Without inventory, their liquid assets don’t match short-term debts, so they might lean on sales or loans to cover the difference—doable if cash keeps flowing.
• MS’s 3.45 D/E breaches 3.0, loading up on debt that could test its resilience. In contrast, AIG at 0.21 plays it closer to the vest with borrowing.
• MS’s 0.41 sits under 1.5, where earnings hug interest costs too closely—a squeeze if income dips. Meanwhile, AIG at 8.29 has room to breathe.