When & will AIG stock go back to normal?

If you mean pre-2008 levels its probably going to be a long time, if ever. Years before AIG, and the market indexes. return to those levels.

Well the stock is tanking because of the recent announcement that they will be doing a 20 to 1 split of current shares and then issuing another 4 million new shares, which will be highly dilutive to current shareholders. Not sure what research reports you are reading, but I haven't seen many with a $5 price target, as a matter of fact these are the 12 month price targets I've seen (by firm)

Zack's Investment Research: $1.80

Standard & Poors: $2.00

Market Edge Research: $1.62

Additionally MarketWatch is showing the average analyst target price as $2.18 with only 7 firms actually rating the company.

http://www.marketwatch.com/investing/stock/AIG/ana...

You ask when it will go back to normal, well frankly, not until the government is repaid and no longer owns >70% of the company, and when they actually meet their earnings expectations (they have missed earnings every quarter since December of 2007) the company will continue to struggle to gain any momentum.

AIG I think is a lost cause. It is not too good for ones financial health to put much stock in price projections. The folks making those lofty projections do so in the hopes of being able to sell you some shares based on those projections.

confident it would yet don"t make investments extra then you may because of the fact purely in case they do fall even nonetheless the government helps them out your no longer in debt. Theirs in straight forward terms lots a central authority can lend out interior the financial disaster. The inventory marketplace is extremely low. So purchase shares properly do no longer purchase the incorrect one. you may desire to speak to a expert approximately making an investment I did. I went to my close by economic business enterprise that I had an account with consult from between the economic adult men and that they hooked me up with somebody that makes a speciality of making an investment interior the inventory marketplace. So take a while and do it properly i desire you the final of success

for some reason. Yahoo Finance shows it at 20.-- as of today. go ahead and check.

EDIT. i just realized it was a 1 for 20 reverse stock split.. so there's nothing to be happy about.

Define "normal".

The stock market is volatile, not normal. AIG could rise, but it could also fall even more.