AIG shares close lower on Thursday, Peter Zaffino, AIG’s current COO, appointed as President

American International Group Inc (AIG) said on Thursday that Peter Zaffino, its global Chief Operating Officer and head of its general insurance business, had been appointed as its new President, effective January 1st.

AIG shares closed lower for the fifth time in the past ten trading sessions in New York on Thursday. The stock edged down 0.08% ($0.04) to $51.93, after touching an intraday low at $51.46, or a price level not seen since December 13th ($51.12).

Shares of American International Group Inc have risen 31.77% so far in 2019 compared with a 27.86% gain for the benchmark index, S&P 500 (SPX).

In 2018, AIG’s stock went down 33.85%, thus, it underperformed the S&P 500, which registered a 6.24% loss.

Zaffino is to replace AIG’s Chief Executive Officer, Brian Duperreault, as President. He became part of AIG’s team in 2017 by assuming the role of Chief Operating Officer. Previously, Zaffino was Chief Executive Officer of insurance broker March LLC.

In May, the company’s general insurance business reported its first underwriting profit since the global financial crisis.

“Today’s announcement recognizes the value that Peter has brought to AIG over the last couple of years,” CEO Duperreault, said in a statement, cited by Reuters.

Analyst stock price forecast and recommendation

According to CNN Money, the 16 analysts, offering 12-month forecasts regarding American International Group Inc’s stock price, have a median target of $62.50, with a high estimate of $68.00 and a low estimate of $51.00. The median estimate represents a 20.35% upside compared to the closing price of $51.93 on December 19th.

The same media also reported that at least 11 out of 20 surveyed investment analysts had rated American International Group Inc’s stock as “Buy”, while 8 – as “Hold”.