American International Group (AIG) is moving higher after reporting first-quarter 2026 financial results and announcing a higher shareholder payout. The board declared a quarterly cash dividend of $0.50 per share, an 11% increase, starting in the second quarter of 2026. The company also emphasized continued capital returns, with $760 million returned to shareholders during the quarter, including $519 million of share repurchases and $241 million of dividends.

AIG reported adjusted after-tax income per diluted share of $2.11 for the quarter, described as an 80% year-over-year increase. The company posted return on equity of 7.5% and Core Operating ROE of 12.2%, pointing to improved profitability and underwriting execution as catalysts for the day’s move.

Alongside the earnings and dividend raise, AIG highlighted strategic investments completed earlier in 2026, including the acquisition of a 35% equity interest in Convex Group Limited and a 9.9% ownership stake in Onex Corporation. Investors will watch whether underwriting momentum holds, how investment income trends in the current rate backdrop, and whether repurchases remain elevated given the ongoing focus on capital return and ROE delivery.