Atlantic American Corporation (AAME)

Atlantic American Corp. experienced a financial turnaround in the first half of 2025, reporting net income of $0.8 million in Q1 and $3.3 million in Q2, a significant improvement from net losses in the prior year's periods. The third quarter of 2025 also showed profitability, with a net income of $0.6 million. This increase in net income was driven by growth in premium revenue and unrealized gains on equity securities. Despite positive financial results, the stock price experienced volatility, dropping 32% in the last quarter and 19% in the past week as of November 19, 2025. However, the stock has shown a positive return of 48% over the last year, with a total shareholder return of 50%.

The demand for Atlantic American Corp.'s products and services experiences seasonality. For P&C insurance, demand surges are driven by natural disaster seasons, severe weather events, home-buying season, holiday travel season, and new vehicle releases and construction season. For L&H insurance, specific seasonal trends include a fourth-quarter peak for health insurance and December for life insurance. Insurance sales data tend to show higher sales in the first and fourth quarters compared to the second and third quarters.

Atlantic American Corp. is an insurance holding company in specialty markets across the United States, operating in the Finance sector, specifically the Life Insurance industry. It operates through American Southern for property and casualty (P&C) insurance and Bankers Fidelity for life and health (L&H) insurance. American Southern offers commercial automobile insurance, general liability insurance, and specialized inland marine and surety bond offerings. Bankers Fidelity focuses on life and supplemental health products, including life insurance, Medicare supplement insurance, group accident and health coverage, and other health insurance products.

Atlantic American Corp. primarily concentrates its operations in the southeastern United States, with a significant portion of its business focused in Georgia (47%), Florida (27%), and South Carolina (14.7%). The company maintains active operations in seven southeastern states.

Atlantic American Corporation's brand reputation is characterized by strong financial strength ratings from AM Best, with American Southern Group receiving an A Excellent rating and Bankers Fidelity Life Insurance Group receiving an A- Excellent rating. The parent company holds a Long-Term Issuer Credit Rating of "bbb-" (Good) from AM Best. However, the company is not accredited by the Better Business Bureau (BBB), and customer reviews have highlighted issues such as difficulty in reaching company representatives and incorrect claim payments.

Atlantic American Corp. exhibits a highly concentrated ownership structure, with insiders holding approximately 80.12% of the outstanding shares. J. Mack Robinson is the largest individual shareholder, owning 83.39% of the company. Institutional investors hold a relatively small portion, around 5.38% to 5.54% of the stock.