The Insurance Australia Group Ltd (ASX: IAG) share price is having a poor run lately.
Shares in IAG finished yesterday trading for $4.83. This time last month, its share price was $5.21. That represents a 7.29% fall over the last 30 days.
The significant drop comes despite the company only making one announcement to the ASX recently.
Additionally, as The Motley Fool Australia reported yesterday, insurance shares will likely be benefited from the lockdowns currently facing Australia’s largest cities. The logic is, if more people stay home, there will be fewer motor vehicle accidents taking place.
Let’s take a look at the last time we heard from IAG.
Quick refresher
IAG is Australia and New Zealand’s largest general insurance company.
It underwrites close to $12 billion worth of insurance premiums per annum.
IAG sells insurance under many brands including NRMA, CGU, and WFI.
The latest from IAG
IAG has been notably quiet since 5 July.
Then, it announced it had finalised its aggregate reinsurance cover for the 2022 financial year.
The 2022 financial year aggregate cover for $350 million in excess of $400 million.
It also caps qualifying events at $200 million in excess of $50 million per event.
Interestingly, the IAG share price increased when it last released news. Its shares finished the day 1.17% higher than they did the previous session.
The company is getting closer to releasing its full year results for the 2021 financial year. It is planning on publishing them on 11 August.
Hopefully, by then we’ll see an uptick in IAG’s performance on the ASX.
IAG share price snapshot
After the poor month’s performance, the IAG share price is only slightly higher than it was at the beginning of 2021.
Right now, it has gained 2.33% year to date. However, it has dropped 13.29% since this time last year.
The company has a market capitalisation of around $12.5 billion, with approximately 2.4 billion shares outstanding.
The post Here’s why the IAG (ASX:IAG) share price is down 7% this last month appeared first on The Motley Fool Australia.
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More reading
- IAG (ASX:IAG) share price on watch following asset sale update
- Brokers using the lockdown to upgrade earnings forecasts on these ASX 200 shares
- What’s weighing down the IAG (ASX:IAG) share price lately?
- It’s been a tough month for the IAG (ASX:IAG) share price so far
- 5 outperforming ASX dividend shares unmasked
Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Insurance Australia Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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