AIG Surges +6% as Institutional Buying Accelerates
$American International Group Inc(AIG)$
American International Group (AIG) Surged +6.10%: Insurance Giant Breaks Key Resistance at $81.30, Bulls Target $87 Zone
Latest Close Data
AIG closed at $81.08 on December 11th, up +6.10% (+$4.66), breaking through yesterday's resistance at $81.30.
The stock traded in an $76.23-$82.69 range, now sitting just 8.0% below its 52-week high of $88.07.
Core Market Drivers
Strong institutional buying drove AIG's breakout with $333M in total inflows versus $321M outflows.
Large block purchases ($66.4M) outpaced selling ($48.0M), indicating institutional accumulation.
The insurance sector benefited from rising interest rate expectations and positive sentiment around financial stocks.
Technical Analysis
Volume surged 3.48x average at 13.42M shares, confirming the breakout move.
MACD turned positive at 0.009 from negative territory, signaling momentum shift.
RSI(6) spiked to 83.85 (overbought but bullish), while RSI(12) reached 69.97, indicating strong upward momentum without extreme overextension.
Key Price Levels
Primary Support: $77.00 (previous resistance now support)
Strong Resistance: $84.50 (psychological level toward 52-week high)
Immediate Pivot: $81.30 (breakout confirmation level)
Valuation Perspective
Trading at 14.7x TTM P/E and 1.61x P/S ratio, AIG remains reasonably valued for an insurance giant.
Forward P/E of 10.91 suggests earnings growth acceleration, below historical average of 11.53x.
Analyst Targets
19 analysts cover AIG with average target of $87.38 (7.8% upside). Breakdown: 2 Strong Buy, 7 Buy, 12 Hold. Target range: $76.22-$97.00, supporting further upside potential.
Weekly Outlook
Expect consolidation in $79.00-$84.50 range as RSI cools from overbought levels. Break above $84.50 targets $87-$88 zone. Support failure below $77 could retrace to $74-$75.
Risk Disclaimer
This analysis is for informational purposes only and not investment advice. Past performance doesn't guarantee future results. Consult financial advisors before trading.
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