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Market Cap

US$28.1b

Last Updated

2021/04/10 22:07 UTC

Data Sources

Company Financials +

Executive Summary

Ameriprise Financial, Inc., through its subsidiaries, provides various financial products and services to individual and institutional clients in the United States and internationally. More Details


Snowflake Analysis

Undervalued established dividend payer.


Similar Companies

Share Price & News

How has Ameriprise Financial's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: AMP is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: AMP's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

2.3%

AMP

1.1%

US Capital Markets

1.6%

US Market


1 Year Return

99.9%

AMP

59.1%

US Capital Markets

55.3%

US Market

Return vs Industry: AMP exceeded the US Capital Markets industry which returned 59.1% over the past year.

Return vs Market: AMP exceeded the US Market which returned 55.3% over the past year.


Shareholder returns

AMPIndustryMarket
7 Day2.3%1.1%1.6%
30 Day6.3%3.4%4.1%
90 Day19.5%10.2%5.5%
1 Year105.2%99.9%62.8%59.1%58.1%55.3%
3 Year83.9%70.0%53.0%41.9%63.8%53.3%
5 Year185.0%149.7%151.9%120.6%120.2%95.7%

Long-Term Price Volatility Vs. Market

How volatile is Ameriprise Financial's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Ameriprise Financial undervalued compared to its fair value and its price relative to the market?

44.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AMP ($237.06) is trading below our estimate of fair value ($428.61)

Significantly Below Fair Value: AMP is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: AMP is good value based on its PE Ratio (19.1x) compared to the US Capital Markets industry average (24.9x).

PE vs Market: AMP is good value based on its PE Ratio (19.1x) compared to the US market (22.3x).


Price to Earnings Growth Ratio

PEG Ratio: AMP is poor value based on its PEG Ratio (8.8x)


Price to Book Ratio

PB vs Industry: AMP is good value based on its PB Ratio (4.7x) compared to the US Capital Markets industry average (69.3x).


Future Growth

How is Ameriprise Financial forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

3.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AMP's forecast earnings growth (2.2% per year) is above the savings rate (2%).

Earnings vs Market: AMP's earnings (2.2% per year) are forecast to grow slower than the US market (18.7% per year).

High Growth Earnings: AMP's earnings are forecast to grow, but not significantly.

Revenue vs Market: AMP's revenue (6.8% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: AMP's revenue (6.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AMP's Return on Equity is forecast to be very high in 3 years time (40.5%).


Past Performance

How has Ameriprise Financial performed over the past 5 years?

10.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AMP has high quality earnings.

Growing Profit Margin: AMP's current net profit margins (12.8%) are lower than last year (14.8%).


Past Earnings Growth Analysis

Earnings Trend: AMP's earnings have grown by 10.8% per year over the past 5 years.

Accelerating Growth: AMP's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: AMP had negative earnings growth (-19.7%) over the past year, making it difficult to compare to the Capital Markets industry average (10.3%).


Return on Equity

High ROE: AMP's Return on Equity (26.1%) is considered high.


Financial Health

How is Ameriprise Financial's financial position?


Financial Position Analysis

Short Term Liabilities: AMP's short term assets ($23.1B) exceed its short term liabilities ($10.0B).

Long Term Liabilities: AMP's short term assets ($23.1B) do not cover its long term liabilities ($150.0B).


Debt to Equity History and Analysis

Debt Level: AMP's debt to equity ratio (96%) is considered high.

Reducing Debt: AMP's debt to equity ratio has reduced from 134.6% to 96% over the past 5 years.

Debt Coverage: AMP's debt is well covered by operating cash flow (82.1%).

Interest Coverage: AMP's interest payments on its debt are well covered by EBIT (3.1x coverage).


Balance Sheet


Dividend

What is Ameriprise Financial current dividend yield, its reliability and sustainability?

1.73%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: AMP's dividend (1.75%) is higher than the bottom 25% of dividend payers in the US market (1.27%).

High Dividend: AMP's dividend (1.75%) is low compared to the top 25% of dividend payers in the US market (3.5%).


Stability and Growth of Payments

Stable Dividend: AMP's dividends per share have been stable in the past 10 years.

Growing Dividend: AMP's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (33%), AMP's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: AMP's dividends in 3 years are forecast to be well covered by earnings (21% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

10.3yrs

Average management tenure


CEO

Jim Cracchiolo (61 yo)

15.58yrs

Tenure

US$20,794,703

Compensation

Mr. James M. Cracchiolo, also known as Jim, has been the Chief Executive Officer and Chairman at Ameriprise Financial, Inc. (formerly, American Express Financial Corporation) since September 30, 2005. He h...


CEO Compensation Analysis

Compensation vs Market: Jim's total compensation ($USD20.79M) is above average for companies of similar size in the US market ($USD10.94M).

Compensation vs Earnings: Jim's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: AMP's management team is seasoned and experienced (10.3 years average tenure).


Board Members

Experienced Board: AMP's board of directors are considered experienced (7.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: AMP insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Ameriprise Financial, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Ameriprise Financial, Inc.
  • Ticker: AMP
  • Exchange: NYSE
  • Founded: 1894
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Market Cap: US$28.076b
  • Shares outstanding: 116.60m
  • Website: https://www.ameriprise.com

Number of Employees


Location

  • Ameriprise Financial, Inc.
  • 55 Ameriprise Financial Center
  • Minneapolis
  • Minnesota
  • 55474
  • United States

Listings


Biography

Ameriprise Financial, Inc., through its subsidiaries, provides various financial products and services to individual and institutional clients in the United States and internationally. It operates through ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/10 22:07
End of Day Share Price2021/04/09 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.