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Minneapolis, Minnesota-based Ameriprise Financial, Inc. (AMP) provides various financial products and services to individual and institutional clients in the U.S. and internationally. With a market cap of $54.5 billion, Ameriprise operates through Advice & Wealth Management, Asset Management, Retirement & Protection Solutions, and Corporate & Other segments.
Companies worth $10 billion or more are generally described as "large-cap stocks," Ameriprise fits right into that category, with its market cap exceeding this threshold, reflecting its substantial size, influence, and dominance in the asset management industry. The company has a nationwide network of approximately 10,000 financial advisors with expertise to serve the full range of individual and institutional investors' financial needs.
Ameriprise recently touched its all-time high of $577.00 on Nov. 25 and is currently trading 4% below that peak. AMP stock has surged over 26.9% in the past three months outpacing the Nasdaq Composite’s ($NASX) 16.9% gains during the same time frame.
Over the longer term, Ameriprise’s performance looks even more impressive. AMP stock prices soared 45.8% on a YTD basis and 54.9% over the past 52 weeks, outperforming NASX’s 31.5% gains in 2024 and 37% returns over the past year.
To confirm the bullish trend, AMP has traded mostly above its 200-day moving average over the past year and above its 50-day moving average since mid-August with minor fluctuations.
AMP stock prices dropped 3.1% in the trading session after the release of its Q3 earnings on Oct. 23 as the company’s adjusted EPS of $8.83 missed analysts’ estimates. However, Ameriprise’s overall performance remained impressive. Driven by strong client net inflows and asset appreciation, its assets under management and administration surged 22.2% year-over-year, reaching $1.5 trillion. The company has also continued to generate strong revenues and earnings growth across its business. AMP’s total net revenues grew more than 12% year-over-year to $4.4 billion. Meanwhile, its adjusted operating earnings grew over 11.1% year-over-year to $828 million.
Additionally, Ameriprise has continued to report strong free cash flow generation enabling the company to navigate market cycles and consistently generate strong results and return capital to shareholders. During the quarter, the company returned $713 million of capital to investors in the form of share repurchases and dividends, demonstrating its commitment to shareholders.
Ameriprise has also outperformed its competitor Raymond James Financial, Inc.’s (RJF) 44.9% gains on a YTD basis and 50.9% returns over the past year.
Among the 13 analysts covering the AMP stock, the consensus rating is a “Moderate Buy.” As of writing, AMP is trading slightly below its mean price target of $556.70.
