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Headquartered in Minneapolis, Minnesota, Ameriprise Financial, Inc. (AMP) is a prominent player in the financial services industry, with a market cap of $43.67 billion. It is known for its wealth management, asset management, and insurance offerings.
AMP has outperformed the broader market over the last year. The stock has gained 31.9% over this time frame, while the broader S&P 500 Index ($SPX) has rallied nearly 27%. However, in 2024, the stock has gained 15.8%, compared to SPX's 18.1% gains on a YTD basis.
Narrowing the focus, AMP’s underperformed compared to the iShares U.S. Financial Services ETF (IYG). The exchange-traded fund has gained 17.1% on a YTD basis.
On Jul. 24, AMP reported its Q2 results, beating Wall Street’s expectations for EPS. However, it missed revenue estimates. On Jul. 16, Ameriprise Financial shares fell over 3% following Charles Schwab's (SCHW) reported shortfall in new accounts, dragging down shares of other financial firms.
For the current fiscal year, ending in December, analysts expect AMP’s EPS to grow 14.3% to $34.81 on a diluted basis. The company's earnings surprise history is robust. It beat the consensus estimate in all four quarters.
Among the 12 analysts covering AMP stock, the consensus rating is a “Moderate Buy.” That’s based on six “Strong Buy” ratings, one “Moderate Buy,” four “Holds,” and one “Strong Sell.”
On Jul. 30, RBC Capital analyst Kenneth Lee maintained a “Buy” rating on Ameriprise Financial, with a price target of $500, which indicates a 13.7% upside from the current levels.
The mean price target of $471.78 represents a 7.3% premium compared to AMP’s current price levels. The Street-high price target of $506 suggests an upside potential of 15.1%.
On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
