AMP Limited

ASX:AMP Stock Report

Market Cap: AU$3.8b

AMP Valuation

Is AMP undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of AMP when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: AMP (A$1.51) is trading below our estimate of fair value (A$1.55)

Significantly Below Fair Value: AMP is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for AMP?

Key metric: As AMP is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for AMP. This is calculated by dividing AMP's market cap by their current earnings.
What is AMP's PE Ratio?
PE Ratio54.6x
EarningsAU$70.00m
Market CapAU$3.85b

Price to Earnings Ratio vs Peers

How does AMP's PE Ratio compare to its peers?

The above table shows the PE ratio for AMP vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average45.2x
CGF Challenger
30.9x20.3%AU$4.2b
PNI Pinnacle Investment Management Group
48.5x16.8%AU$4.3b
HMC HMC Capital
74.2x20.5%AU$4.8b
ARG Argo Investments
27.1xn/aAU$6.9b
AMP AMP
54.6x26.6%AU$3.8b

Price-To-Earnings vs Peers: AMP is expensive based on its Price-To-Earnings Ratio (54.6x) compared to the peer average (45.2x).

Price to Earnings Ratio vs Industry

How does AMP's PE Ratio compare vs other companies in the Global Diversified Financial Industry?

25 CompaniesPrice / EarningsEstimated GrowthMarket Cap
AMP 54.6xIndustry Avg. 15.7xNo. of Companies75PE01224364860+
25 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: AMP is expensive based on its Price-To-Earnings Ratio (54.6x) compared to the Global Diversified Financial industry average (15.7x).

Price to Earnings Ratio vs Fair Ratio

What is AMP's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

AMP PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio54.6x
Fair PE Ratio25.3x

Price-To-Earnings vs Fair Ratio: AMP is expensive based on its Price-To-Earnings Ratio (54.6x) compared to the estimated Fair Price-To-Earnings Ratio (25.3x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst AMP forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentAU$1.51
AU$1.44
-4.4%
15.2%AU$1.80AU$1.10n/a10
Nov ’25AU$1.43
AU$1.42
-0.6%
14.3%AU$1.80AU$1.10n/a10
Oct ’25AU$1.33
AU$1.31
-1.8%
12.7%AU$1.55AU$1.00n/a10
Sep ’25AU$1.28
AU$1.27
-0.6%
15.0%AU$1.55AU$0.93n/a11
Aug ’25AU$1.19
AU$1.14
-3.5%
12.2%AU$1.32AU$0.90n/a11
Jul ’25AU$1.11
AU$1.12
+1.1%
12.0%AU$1.32AU$0.90n/a11
Jun ’25AU$1.07
AU$1.12
+5.3%
12.0%AU$1.32AU$0.90n/a11
May ’25AU$1.07
AU$1.12
+5.0%
12.5%AU$1.32AU$0.90n/a10
Apr ’25AU$1.17
AU$1.10
-6.0%
12.9%AU$1.32AU$0.90n/a10
Mar ’25AU$1.12
AU$1.08
-2.9%
11.4%AU$1.25AU$0.90n/a10
Feb ’25AU$0.93
AU$1.01
+8.1%
14.6%AU$1.30AU$0.80n/a9
Jan ’25AU$0.93
AU$1.00
+7.2%
16.2%AU$1.30AU$0.80n/a9
Dec ’24AU$0.93
AU$1.00
+7.2%
16.2%AU$1.30AU$0.80n/a9
Nov ’24AU$1.04
AU$1.15
+10.8%
12.7%AU$1.38AU$0.95AU$1.439
Oct ’24AU$1.26
AU$1.21
-3.4%
9.6%AU$1.38AU$1.00AU$1.339
Sep ’24AU$1.26
AU$1.21
-3.8%
9.6%AU$1.38AU$1.00AU$1.289
Aug ’24AU$1.14
AU$1.16
+2.0%
12.6%AU$1.35AU$0.90AU$1.199
Jul ’24AU$1.13
AU$1.17
+3.4%
12.8%AU$1.35AU$0.90AU$1.119
Jun ’24AU$1.12
AU$1.17
+4.8%
12.8%AU$1.35AU$0.90AU$1.079
May ’24AU$1.16
AU$1.17
+1.4%
13.5%AU$1.35AU$0.90AU$1.078
Apr ’24AU$1.05
AU$1.19
+12.9%
12.9%AU$1.35AU$0.90AU$1.178
Mar ’24AU$1.06
AU$1.15
+8.8%
15.6%AU$1.35AU$0.85AU$1.129
Feb ’24AU$1.36
AU$1.19
-11.8%
17.3%AU$1.43AU$0.85AU$0.939
Jan ’24AU$1.32
AU$1.14
-13.6%
16.2%AU$1.43AU$0.85AU$0.939
Dec ’23AU$1.36
AU$1.14
-16.4%
16.2%AU$1.43AU$0.85AU$0.939
Nov ’23AU$1.26
AU$1.13
-10.2%
16.7%AU$1.43AU$0.85AU$1.049

Analyst Forecast: Target price is lower than the current share price.

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