Ameriprise Financial
Market Cap
US$13.4b
Last Updated
2020/03/31 00:52 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.
Rewards
Risk Analysis
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's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
9.1%
AMP
10.8%
US Capital Markets
7.2%
US Market
1 Year Return
-19.8%
AMP
-11.6%
US Capital Markets
-10.4%
US Market
Return vs Industry: AMP underperformed the US Capital Markets industry which returned -13.2% over the past year.
Return vs Market: AMP underperformed the US Market which returned -12.7% over the past year.
Shareholder returns
| AMP | Industry | Market | |
|---|---|---|---|
| 7 Day | 9.1% | 10.8% | 7.2% |
| 30 Day | -22.8% | -15.3% | -12.6% |
| 90 Day | -34.5% | -22.1% | -19.4% |
| 1 Year | -17.7%-19.8% | -9.8%-11.6% | -8.5%-10.4% |
| 3 Year | -8.7%-15.3% | 9.6%3.3% | 15.8%8.3% |
| 5 Year | -2.9%-14.8% | 36.3%23.5% | 35.8%21.0% |
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
3 weeks ago | Simply Wall St
What Is Ameriprise Financial's (NYSE:AMP) P/E Ratio After Its Share Price Tanked?3 weeks ago | Simply Wall St
Is It Too Late To Consider Buying Ameriprise Financial, Inc. (NYSE:AMP)?Valuation
Is Ameriprise Financial undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: AMP ($103.33) is trading below our estimate of fair value ($369.66)
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 (7.3x) compared to the Capital Markets industry average (32.5x).
PE vs Market: AMP is good value based on its PE Ratio (7.3x) compared to the US market (13x).
Price to Earnings Growth Ratio
PEG Ratio: AMP is poor value based on its PEG Ratio (1.4x)
Price to Book Ratio
PB vs Industry: AMP is good value based on its PB Ratio (2.2x) compared to the US Capital Markets industry average (7.2x).
Next Steps
Future Growth
How is Ameriprise Financial forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
5.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: AMP's forecast earnings growth (5.2% per year) is above the savings rate (1.7%).
Earnings vs Market: AMP's earnings (5.2% per year) are forecast to grow slower than the US market (12.3% per year).
High Growth Earnings: AMP's earnings are forecast to grow, but not significantly.
Revenue vs Market: AMP's revenue (0.5% per year) is forecast to grow slower than the US market (7.3% per year).
High Growth Revenue: AMP's revenue (0.5% 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 (40.7%).
Next Steps
Past Performance
How has Ameriprise Financial performed over the past 5 years?
5.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: AMP has high quality earnings.
Growing Profit Margin: AMP's current net profit margins (14.7%) are lower than last year (16.2%).
Past Earnings Growth Analysis
Earnings Trend: AMP's earnings have grown by 5.5% 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 (-9.8%) over the past year, making it difficult to compare to the Capital Markets industry average (9.7%).
Return on Equity
High ROE: AMP's Return on Equity (33%) is considered high.
Next Steps
Financial Health
How is Ameriprise Financial's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Balance Sheet
Inventory Level: AMP has a low level of unsold assets or inventory.
Debt Coverage by Assets: AMP's debt is covered by short term assets (assets are 3.4x debt).
Financial Institutions Analysis
Asset Level: AMP's level of assets compared to its equity is very high.
Allowance for Bad Loans: Insufficient data to determine if AMP has a sufficient allowance for bad loans.
Low Risk Liabilities: AMP reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if AMP has an acceptable proportion of non-loan assets held.
Low Risk Deposits: AMP has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if AMP has an appropriate level of bad loans.
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Dividend
What is Ameriprise Financial's current dividend yield, its reliability and sustainability?
3.55%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: AMP's dividend (3.75%) is higher than the bottom 25% of dividend payers in the US market (1.98%).
High Dividend: AMP's dividend (3.75%) is low compared to the top 25% of dividend payers in the US market (5.49%).
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 (27%), 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 (22.7% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
7.5yrs
Average management tenure
CEO
Jim Cracchiolo (60yo)
14.42s
Tenure
US$24,516,930
Compensation
Mr. James M. Cracchiolo, also known as Jim, has been the Chief Executive Officer and Chairman at Ameriprise Financial, Inc. (formerly, American Express Financial Corporation) since September 30, 2005. He h ...
CEO Compensation Analysis
Compensation vs Market: Jim's total compensation ($USD24.52M) is above average for companies of similar size in the US market ($USD11.74M).
Compensation vs Earnings: Jim's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 14.42yrs | US$24.52m | 0.11% $14.8m | |
| Executive VP & CFO | 14.42yrs | US$9.64m | 0.00028% $37.6k | |
| Executive VP & Global Chief Investment Officer | 6.67yrs | US$6.28m | 0.048% $6.4m | |
| Chief Executive Officer of Global Asset Management | 7.42yrs | US$7.73m | 0.040% $5.4m | |
| President of Advice & Wealth Management - Products and Service Delivery | 10.83yrs | US$5.11m | 0.016% $2.1m | |
| President of Advice | 7.67yrs | no data | no data | |
| Senior VP of Corporate Finance | 0.67yr | no data | 0.0015% $198.6k | |
| Executive VP & Chief Information Officer | 7.67yrs | no data | 0.015% $2.0m | |
| Senior Vice President of Investor Relations | 5.17yrs | no data | no data | |
| Executive VP & General Counsel | 3.17yrs | no data | 0.012% $1.6m |
7.5yrs
Average Tenure
60yo
Average Age
Experienced Management: AMP's management team is seasoned and experienced (7.6 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 14.42yrs | US$24.52m | 0.11% $14.8m | |
| Presiding Independent Director | no data | US$290.00k | 0.021% $2.9m | |
| Independent Director | 14.42yrs | US$276.32k | 0.00041% $55.0k | |
| Independent Director | 8.67yrs | US$275.00k | 0.0065% $873.8k | |
| Independent Director | 3.42yrs | US$290.00k | 0.00016% $21.5k | |
| Independent Director | 1.83yrs | US$275.00k | 0.00081% $108.7k | |
| Independent Director | 6yrs | US$270.00k | 0.00013% $17.4k | |
| Independent Director | 0.67yr | US$199.25k | 0.0025% $336.9k | |
| Independent Director | 6yrs | US$288.68k | 0.00081% $108.7k |
6.0yrs
Average Tenure
63yo
Average Age
Experienced Board: AMP's board of directors are considered experienced (6 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$13.422b
- Shares outstanding: 122.97m
- Website: https://www.ameriprise.com
Number of Employees
Location
- Ameriprise Financial, Inc.
- 55 Ameriprise Financial Center
- Minneapolis
- Minnesota
- 55474
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| AMP | NYSE (New York Stock Exchange) | Yes | Common Shares | US | USD | Sep 2005 |
| A4S | DB (Deutsche Boerse AG) | Yes | Common Shares | DE | EUR | Sep 2005 |
| A4S | XTRA (XETRA Trading Platform) | Yes | Common Shares | DE | EUR | Sep 2005 |
| AMP * | BMV (Bolsa Mexicana de Valores) | Yes | Common Shares | MX | MXN | Sep 2005 |
| 0HF6 | LSE (London Stock Exchange) | Yes | Common Shares | GB | USD | Sep 2005 |
| A1MP34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH 4 REPR 1 COM | BR | BRL | Jan 2020 |
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 five segments: Advice & Wealth Management, Asset Management, Annuities, Protection, and Corporate & Other. The Advice & Wealth Management segment provides financial planning and advice, as well as full-service brokerage services primarily to retail clients through its advisors. The Asset Management segment offers investment management, advice, and investment products to retail, high net worth, and institutional clients through unaffiliated third party financial institutions and institutional sales force. Its products also include U.S. mutual funds and their non-U.S. equivalents, exchange-traded funds, variable product funds underlying insurance, and annuity separate accounts; and institutional asset management products, such as traditional asset classes, separately managed accounts, individually managed accounts, collateralized loan obligations, hedge funds, collective funds, and property funds. The Annuities segment provides variable and fixed annuity products to individual clients through affiliated and unaffiliated advisors, and financial institutions. The Protection segment offers variable and fixed annuity products to address the protection and risk management needs of retail clients, including life and disability income insurance. The Corporate & Other segment consist of long term care business, net investment income or loss on corporate level assets. The company was formerly known as American Express Financial Corporation and changed its name to Ameriprise Financial, Inc. in September 2005. Ameriprise Financial, Inc. was founded in 1894 and is headquartered in Minneapolis, Minnesota.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/03/31 00:52 |
| End of Day Share Price | 2020/03/30 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.