AIGNEUTRAL

AIG Debt-to-Equity Ratio Analysis

0.23x

Higher than 20% of Financial Services sector peers

Updated 2627h ago·SEC filings & market data

Key Takeaway

The debt-to-equity ratio measures how much a company relies on borrowed money versus shareholder capital; American International Group’s current 0.23x means it uses relatively little debt compared to equity.

Sector Performance

20th percentile

AIG

0.23x

Sector Median

0.46x

Sector Avg

0.94x

Prior Period

0.22x(Apr 2026)

↓ Declining

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Deep Analysis

This is well below the sector median of 0.43x, placing the company in the 14th percentile among its Financial Services peers – meaning only 14% of competitors have an even lower ratio. Over the past eight quarters, the ratio has been stable, with a year-over-year increase of +4.5% and no change quarter-over-quarter (+0.0%). The combination of a low ratio and a stable trend implies minimal leverage risk, reducing the chance of financial distress but also offering no near-term catalyst from deleveraging. This metric supports the overall NEUTRAL verdict because while the low debt level is a defensive strength, it does not signal an active growth or re-rating opportunity on its own.

Frequently Asked Questions

What does the Debt-to-Equity Ratio tell investors about AIG?

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.

How is the Debt-to-Equity Ratio calculated?

Debt-to-Equity Ratio is calculated as: Total Debt / Shareholders' Equity.

How does AIG's Debt-to-Equity Ratio compare to its sector?

AIG's Debt-to-Equity Ratio of 0.23x compares to a Financial Services sector median of 0.46x, placing it in the 20th percentile.

Who are AIG's closest peers by Debt-to-Equity Ratio?

The closest Financial Services peers by Debt-to-Equity Ratio include: HSBC (0.52x), AIZ (0.38x), AMP (0.53x), RJF (0.35x), AFL (0.35x).

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Learn More About Debt-to-Equity Ratio

How to Spot a Debt Problem Before It Hits the Stock Price

Learn how to spot a debt problem in stocks using D/E, interest coverage, and net debt/EBITDA ratios. Real examples from META and MSFT, plus danger thresholds you need to know.

Debt/Equity Ratio: How Much Debt Is Too Much?

The debt to equity ratio explained: why context, interest coverage, and sector norms matter far more than the raw number when assessing debt risk.

The Formula

Total Debt / Shareholders' Equity

Why It Matters

Shows how much a company is financing its operations through debt vs shareholder funds. High D/E can amplify returns — and losses.