Cantor Fitzgerald analyst Ryan Tunis keeps a Neutral rating and $80 price target on AIG (AIG) after the stock rose today on Insurance Insider report of a potential tie-up with Chubb (CB). The firm believes that a marriage of AIG and Chubb – or any other suiter for that matter – is very unlikely, as AIG and Chubb have way too much overlap as primary insurers in the multinational insurance world – one that won’t ever desire an apex predator because of the brokers, the analyst tells investors in a research note. An overly-exuberant investor day, a couple recent chin-scratching M&A deals that stunted buyback expectations, and management turnover undoubtedly put the company in a tough spot, but this has provided AIG with a good catalyst for management to refocus on core operations, the firm added.
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