American Financial Group, Inc.
- Open
- 136.42
- Day high
- 139.18
- Day low
- 135.99
- Prev close
- 135.89
- Volume
- 404K
- Mkt cap
- $11.6B
- P/E (TTM)
- 13.2
- EPS (TTM)
- $10.51
- P/B
- 2.5
- P/S
- 1.4
- Yield
- 4.99%
- Per share
- $6.94
- ▼Insiders net selling -$1.8M over the last 3 months (0 open-market buys, 2 sales)
- 🏛Institutions mixed (13F)
American Financial Group, Inc. (AFG) is a Financial Services company listed on NYSE. The stock is up 9% over the past year. Over the trailing 3 months, insiders filed 0 open-market buys and 2 sales (SEC Form 4).
American Financial Group, Inc. (AFG) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 2 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
AFG earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Apr 30, 2026 | $2.54 | $2.47 | -2.8% | $1.7B | -2.2% |
| Feb 3, 2026 | $3.18 | $3.65 | +14.8% | $2.1B | +21.5% |
| Nov 4, 2025 | $2.52 | $2.69 | +6.7% | $2.3B | +16.5% |
| Feb 4, 2025 | $3.15 | $3.12 | -1.0% | $2.1B | +5.2% |
| May 1, 2024 | $2.70 | $2.76 | +2.2% | $1.9B | +7.0% |
| Nov 1, 2023 | $2.47 | $2.45 | -0.8% | $2.2B | +31.5% |
| Aug 2, 2023 | $2.78 | $2.38 | -14.4% | $1.8B | +12.1% |
| May 2, 2023 | $2.94 | $2.89 | -1.7% | $1.7B | +4.6% |
| Feb 1, 2023 | $2.85 | $2.99 | +4.9% | $1.9B | +21.5% |
| Nov 2, 2022 | $2.10 | $2.24 | +6.7% | $2.0B | +32.2% |
| Aug 3, 2022 | $2.24 | $2.85 | +27.2% | $1.5B | +6.2% |
| May 4, 2022 | $2.72 | $3.56 | +30.9% | $1.6B | +13.3% |
AFG insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Jun 25, 2026 | Gillis Michelle Aofficer: Senior Vice President | Sell | 2,247 | $139.00 |
| Jun 24, 2026 | Thompson David Lawrence Jrdirector, officer: President of Subsidiary | Sell | 11,370 | $135.05 |
| Jun 2, 2026 | JOSEPH GREGORY Gdirector | Grant | 1,299 | — |
| Jun 2, 2026 | Nwankwo Evans Ndirector | Grant | 1,299 | — |
| Jun 2, 2026 | Murray Amy Ydirector | Grant | 1,299 | — |
| Jun 2, 2026 | VON LEHMAN JOHN Idirector | Grant | 1,299 | — |
| Jun 2, 2026 | Martin Mary Bethdirector | Grant | 1,299 | — |
| Jun 2, 2026 | Newport Roger Kdirector | Grant | 1,299 | — |
| Jun 2, 2026 | VERITY WILLIAM Wdirector | Grant | 1,299 | — |
| Mar 2, 2026 | Weiss Mark Aofficer: Sr. VP & General Counsel | Grant | 3,012 | — |
| Mar 2, 2026 | Hertzman Brian S.officer: SVP, CFO | Grant | 3,163 | — |
| Mar 2, 2026 | Hertzman Brian S.officer: SVP, CFO | Sell | 1,663 | $133.70 |
| Mar 2, 2026 | Thompson David Lawrence Jrdirector, officer: President of Subsidiary | Grant | 4,706 | — |
| Mar 2, 2026 | LINDNER S CRAIGdirector, officer: Co-CEO | Grant | 11,294 | — |
| Mar 2, 2026 | Lindner Stephen Craig Jrdirector | Grant | 3,389 | — |
Source: AFG SEC Form 4 filings, latest Jun 25, 2026. For informational purposes only — not investment advice.
See the full AFG insider & 13F page →American Financial Group, Inc. company profile
Overview
American Financial Group, Inc. (NYSE:AFG) is a Cincinnati-based insurance holding company founded in 1872 that has evolved into one of the leading specialty property and casualty insurers in the United States. The company operates through three main business segments, providing niche insurance products to commercial customers across various industries. AFG went public in 1980 and has built its reputation by focusing on specialized insurance markets where it can achieve superior underwriting results and pricing discipline.
Business
American Financial Group operates in the specialty property and casualty insurance industry, which differs from standard personal lines insurance by focusing on unique, complex, or hard-to-place commercial risks that require specialized underwriting expertise. The company's business is organized into three primary segments: Property and Transportation Group (approximately 45-50% of net written premiums) provides physical damage and liability coverage for commercial vehicles including buses and trucks, inland and ocean marine insurance, agricultural products including crop insurance, and other specialized commercial property coverages. This segment includes the recently acquired Crop Risk Services, which significantly expanded AFG's presence in the crop insurance market. Specialty Casualty Group (approximately 35-40% of net written premiums) focuses on excess and surplus lines insurance, which covers risks that standard insurance companies typically won't insure due to their unusual nature or higher risk profile. This includes executive and professional liability insurance for corporate officers and directors, general liability coverage, umbrella and excess liability policies that provide coverage above primary insurance limits, and workers' compensation insurance. The segment also offers customized insurance programs for small to mid-sized businesses. Specialty Financial Group (approximately 15-20% of net written premiums) provides risk management insurance programs specifically designed for lending and leasing institutions, fidelity and surety products that guarantee contract performance or protect against employee dishonesty, and trade credit insurance that protects businesses against customer payment defaults. The company distributes its products exclusively through independent insurance agents and brokers rather than direct sales, allowing it to leverage established distribution networks while maintaining focus on underwriting and risk assessment.
Revenue model
American Financial Group generates revenue primarily through insurance premiums collected from policyholders, with additional income from investment returns on the float (reserves held to pay future claims). The company's business model relies on achieving a combined ratio below 100%, meaning that premiums collected exceed claims paid plus operating expenses, generating an underwriting profit. The company's paying customers are primarily commercial enterprises, ranging from small businesses to large corporations, that require specialized insurance coverage not readily available in standard markets. Revenue streams include renewal premiums from existing customers and new business premiums, with the company achieving consistent renewal rate increases averaging 6-8% across its book of business. Several factors influence AFG's profitability margins. Social inflation - the tendency for jury awards and legal settlements to increase faster than general economic inflation - poses a significant challenge, particularly for casualty lines like commercial auto liability and excess liability coverage. The company addresses this through aggressive pricing increases, often achieving double-digit rate increases in affected lines. Natural catastrophes such as hurricanes, wildfires, and severe weather events can significantly impact quarterly results, as evidenced by recent California wildfire losses. Interest rate environments affect investment income on the company's substantial investment portfolio, with rising rates generally benefiting long-term profitability. Competitive pressures in certain lines, particularly public company directors and officers liability insurance, can compress pricing power. Economic conditions influence both claim frequency and severity, with economic downturns potentially affecting workers' compensation claims while increasing credit-related losses in financial lines.
Competitive moat
American Financial Group's competitive moat stems from its specialized expertise in niche insurance markets that require deep underwriting knowledge and established relationships. The company has built decades of experience in complex, hard-to-place risks that many competitors avoid, creating barriers to entry for new players who lack the necessary expertise and historical data. The company's distribution through independent agents and brokers creates switching costs and relationship-based advantages, as these intermediaries value AFG's specialized knowledge and willingness to write difficult risks. The regulatory environment also provides some protection, as insurance companies must maintain substantial capital reserves and obtain state licensing, creating barriers for new entrants. However, AFG's moat faces several challenges. The specialty insurance market attracts well-capitalized competitors during profitable periods, potentially eroding pricing power. Social inflation represents a significant threat that affects the entire industry, making it difficult for any single company to maintain sustainable advantages in casualty lines. The company's reliance on independent distribution means it doesn't control customer relationships directly, and technological disruption could potentially change how commercial insurance is distributed and underwritten. Additionally, the cyclical nature of the insurance industry means that competitive advantages can be temporary, with market conditions often driving profitability more than company-specific factors. Overall, AFG maintains a moderate moat based on specialized expertise and market positioning, but this moat is not impregnable and requires continuous reinforcement through disciplined underwriting and strategic positioning.
Risks & safety
American Financial Group demonstrates a solid margin of safety with strong financial fundamentals and conservative capital management. • Liquidity and Solvency: The company maintains strong cash positions of approximately $1.3-1.4 billion and generates consistent positive operating cash flows exceeding $1 billion annually. Debt-to-equity ratio of approximately 33% indicates conservative leverage levels for an insurance company. • Valuation Metrics: Trading at reasonable valuation multiples with P/E ratios in the 12-18 range and price-to-book ratios around 2.4-2.6x, which are reasonable for a profitable specialty insurer. Graham number calculations suggest the stock is not significantly overvalued. • Operating Performance: Consistent combined ratios in the 89-92% range demonstrate profitable underwriting, while return on equity consistently exceeds 15-20%, indicating efficient capital utilization. • Capital Returns: The company has returned substantial capital to shareholders, including $791 million in 2024 through dividends and share repurchases, demonstrating strong cash generation capabilities. • Reserve Adequacy: While some adverse development in social inflation-exposed lines presents risks, the company maintains conservative reserving practices and regularly evaluates reserve adequacy.
Recent development
Over the past few years, American Financial Group has pursued several strategic initiatives to strengthen its market position and diversify its revenue streams. The most significant development was the acquisition of Crop Risk Services (CRS), which substantially expanded AFG's presence in the agricultural insurance market and added an estimated $0.20-$0.25 per share to core earnings. The company has aggressively addressed social inflation challenges in casualty lines by implementing double-digit rate increases in affected businesses, particularly commercial auto liability where rates have increased 12-16% annually. Management has also tightened underwriting standards, reduced capacity in certain high-risk lines, and selectively non-renewed accounts that don't meet profitability targets. AFG has enhanced its technology infrastructure through investments in IT systems and software initiatives, though these investments have temporarily pressured expense ratios. The company has also been repositioning its investment portfolio to benefit from rising interest rates, extending duration while maintaining a conservative approach focused on high-grade securities. In response to competitive pressures, AFG has demonstrated underwriting discipline by allowing certain lines like public company directors and officers liability to shrink rather than compete on price. The company has maintained its focus on profitable growth over market share, evidenced by its willingness to reduce writings in unprofitable segments while pursuing opportunities in specialty financial lines where it achieved 16-18% premium growth.
AFG company profile · for informational purposes only — not investment advice.
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