3 Reasons to Sell AIG

Updated

In the video below, Fool analyst Matt Koppenheffer takes a look at three reasons investors might be bearish on AIG .

Matt is a bull on AIG, but even bullish investors must take the time to consider the bear case for the stocks they own.

The first concern for AIG is whether its core businesses, the property and casualty and life insurance businesses, are good businesses. It has spun off non-core businesses, making the core businesses very important. If they show signs of weakness, that could be a reason to sell.


Second is the CEO. Robert Benmosche has done a great job bringing AIG back from the brink, but he won't be around for long. Investors need to watch the transition. The hiring of a new leader who is not strong could be another potential reason to sell.

Finally, the brand damage done to AIG is significant. If customers remain biased, that could hurt sales.

While some customers may be wary of buying insurance through AIG, many investors are wary about owning a stake in the company. We'll fill you in on both reasons to buy and reasons to sell AIG, and what areas AIG investors need to watch going forward. Just click here now for instant access.

The article 3 Reasons to Sell AIG originally appeared on Fool.com.

Matt Koppenheffer has no position in any stocks mentioned. The Motley Fool recommends American International Group. The Motley Fool owns shares of American International Group, and has the following options: Long Jan 2014 $25 Calls on American International Group. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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