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Compare Stocks › AIG vs BRK-B

American International Group, Inc. (AIG) vs Berkshire Hathaway Inc. (BRK-B)

AIG
American International Group, Inc.
$78.77
VS
BRK-B
Berkshire Hathaway Inc.
$473.01

Rewards

AIG
  • ★American International Group, Inc. scores 80/100 on the Economic Moat Score (Wide Moat), with revenue predictability as the strongest competitive dimension.
  • ★Share count has been reduced by 27% over the past 4 years through buybacks, increasing each share's claim on earnings.
  • ★FCF yield of 22.7% is historically attractive — the business generates significant cash relative to its price.
BRK-B
  • ★Each dollar of retained earnings has created $3.95 of earning power — management is an exceptional capital allocator.
  • ★PEG ratio of 0.13 suggests the stock is undervalued relative to its growth rate — paying less than 1x for each unit of earnings growth.
  • ★Net debt/EBITDA of -2.3x means the company holds more cash than debt — a net cash position.

Risks

AIG
  • ⚠Altman Z-Score of 0.72 places the company in the distress zone — financial patterns resemble those of companies that experienced bankruptcy.
  • ⚠Free cash flow has declined at a 7.1% CAGR over the past 4 years — a concerning trend.
BRK-B
  • ⚠FCF yield of 6.0% suggests reasonable valuation assuming continued moderate growth.
  • ⚠Trailing P/E of 15.2x is 72% above the historical average of 8.9x — the stock trades at a premium to its own history.

Key Valuation Metrics

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AIG
BRK-B
Valuation
$9.52B
Free Cash Flow
$61.23B
22.67%
FCF Yield
6.00%
13.87
Trailing P/E
15.24
8.93
Forward P/E
21.95
Quality & Moat
7.92%
ROIC
4.96%
7.66%
ROE
9.18%
35.53%
Gross Margin
27.78%
0.64
PEG Ratio
0.13
Balance Sheet Safety
0.23
Debt / Equity
0.18
N/A
Interest Coverage
N/A
-0.05
Net Debt / EBITDA
-2.28
2.54%
Dividend Yield
N/A
AIG: 5Ties: 1BRK-B: 5
AIGBRK-B

Historical Fundamentals

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AIG

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

BRK-B

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

$1 Retained Earnings Test

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AIG
$-0.17
created per $1 retained over 3 years
Market Cap Declined
Σ Retained
$2.31B
Δ Market Cap
$-384.8M
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
BRK-B
$1.66
created per $1 retained over 3 years
Value Creator
Σ Retained
$252.19B
Δ Market Cap
+$417.89B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Discounted Cash Flow (DCF) Analysis

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AIG
51.8% Margin of Safety
Price is 51.8% below estimated fair value
Current Price: $78.77
Fair Value: $163.39
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
BRK-B
31.0% Margin of Safety
Price is 31.0% below estimated fair value
Current Price: $473.01
Fair Value: $685.41
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued

Reverse DCF — Market-Implied Growth

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AIG

What growth rate is the market pricing in at $79?

+2.3%
Market-Implied Owner Earnings Growth
Standard FCF implies -14.3%

The market implies +2.3% Owner Earnings growth, above historical trends.

Standard FCF implies a demanding -14.3%, reflecting heavy growth investment.

BRK-B

What growth rate is the market pricing in at $473?

-0.3%
Market-Implied Owner Earnings Growth
Standard FCF implies +1.0%

The market implies -0.3% Owner Earnings growth, above historical trends.

Standard FCF implies a demanding +1.0%, reflecting heavy growth investment.

Economic Moat Score

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AIG
80/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None

Wide moat driven primarily by revenue predictability. Reinvestment Efficiency is the area most vulnerable to competitive pressure.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
BRK-B
40/100
Narrow Moat
70+ Wide · 40-69 Narrow · <40 None

Narrow moat with reinvestment efficiency as the key competitive advantage. Improving revenue predictability would strengthen the moat.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 5 years of fundamental data.

Forensic Accounting

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AIG
-2.49
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
BRK-B
-2.41
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Ownership Breakdown

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AIG
Insiders 0.5%Institutions 96.3%Retail & Other 3.2%
No. of Institutional Holders1,518
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
BRK-B
Insiders 0.3%Institutions 66.2%Retail & Other 33.6%
No. of Institutional Holders5,818
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.

High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.

Insider Buying Activity

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AIG
0
Buys (3M)
5
Buys (12M)
Total value (12M): $55,802
WALSH KEITH
Chief Financial Officer
$2,207
@ $81.74 · 2025-12-30
INGLIS JOHN C
Director
$1,200
@ $92.31 · 2025-12-30
INGLIS JOHN C
Director
$1,193
@ $79.53 · 2025-09-30
INGLIS JOHN C
Director
$50,307
@ $77.04 · 2025-08-08
INGLIS JOHN C
Director
$895.00
@ $89.50 · 2025-06-27
INGLIS JOHN C
Director
$50,658
@ $78.66 · 2025-03-31
RICE JOHN G
Director
$770,000
@ $77.00 · 2025-02-13
INGLIS JOHN C
Director
$787.00
@ $78.70 · 2024-12-30
INGLIS JOHN C
Director
$50,002
@ $75.76 · 2024-11-26
INGLIS JOHN C
Director
$520.00
@ $74.29 · 2024-09-30
INGLIS JOHN C
Director
$518.00
@ $86.33 · 2024-06-28
Open market purchases · includes direct & indirect ownership · excludes option exercises
BRK-B
0
Buys (3M)
0
Buys (12M)
No open market insider purchases found.
Open market purchases · includes direct & indirect ownership · excludes option exercises

Open market purchases · includes direct & indirect ownership · excludes option exercises.

Insider Selling Activity

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AIG
0
Sells (3M)
5
Sells (12M)
Total value (12M): $11.96M
CARBONE KATHLEEN
Officer
$2.53M
@ $84.06 · 2025-05-20
GLAZER ROSE MARIE E
General Counsel
$2.94M
@ $84.02 · 2025-05-16
WADE CLAUDE E.
Officer
$1.88M
@ $83.57 · 2025-05-05
TWININGDAVIS MELISSA
Officer
$776,072
@ $83.26 · 2025-05-05
FLATT CHRISTOPHER
Officer
$3.85M
@ $83.26 · 2025-05-05
ZAFFINO PETER
Chief Executive Officer
$14.90M
@ $74.52 · 2024-06-12
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
BRK-B
0
Sells (3M)
0
Sells (12M)
No open market insider sales found.
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives

Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.

🎭 Mr. Market's Mood

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AIG
FearGreed
😏Greed(61/100)

"Market is optimistic — be cautious and ensure you have a margin of safety"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
BRK-B
FearGreed
😐Neutral(52/100)

"Market is pricing this stock without strong emotion in either direction"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

⚖️ Buffett Signal

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AIG
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Greed (61)
BRK-B
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Neutral (52)
View AIG Full AnalysisView BRK-B Full Analysis
AIG vs BRK-B: Which Is the Better Buy? | SafetyMargin.io