AIG upgraded to buy on undervaluation, improving insurance metrics, and strong balance sheet.

American International Group (AIG) has been upgraded to a buy rating due to its undervaluation, improving insurance performance metrics like combined ratio and margins, and a strong investment-grade balance sheet. Analysts expect a 12.8% year-over-year earnings per share growth with 19 upward revisions. AIG also leads its peers in five-year dividend growth while maintaining a conservative payout ratio, making it attractive for both growth and dividend investors. Key risks include potential large catastrophe events, but AIG's diversified assets and liquidity provide a solid foundation for future gains.