Ameriprise Financial Continues to Impress with Strong Performance
Market Insights: Ameriprise Financial, Inc. (AMP) excels in financial services, showing remarkable growth despite recent earnings setbacks.
Based in Minneapolis, Minnesota, Ameriprise Financial, Inc. (AMP) offers a range of financial products and services for individual and institutional clients, both in the U.S. and globally. With a market capitalization of $54.5 billion, Ameriprise is classified as a “large-cap stock.” This designation underscores its significant size and influence in the asset management sector. The company boasts a nationwide network of around 10,000 financial advisors, equipped to meet the diverse financial needs of its clients.
Recently, Ameriprise reached an all-time high of $577.00 on November 25, trading 4% lower than that peak. Over the past three months, AMP stock increased by 26.9%, outpacing the Nasdaq Composite’s gains of 16.9% during the same period.
Looking at the bigger picture, the performance of Ameriprise stock has been even more remarkable. Year-to-date, AMP’s stock price has soared by 45.8% and by 54.9% over the past 52 weeks, significantly outdoing the Nasdaq’s gains of 31.5% in 2024 and 37% over the last year.
To reinforce this positive trend, AMP stock has consistently traded above its 200-day moving average throughout the year and has remained above its 50-day moving average since mid-August, with only slight fluctuations.
However, AMP stock fell by 3.1% following the Q3 earnings release on October 23, where the adjusted earnings per share (EPS) of $8.83 fell short of analysts’ expectations. Despite this, Ameriprise demonstrated strong overall performance. Increased client net inflows and asset appreciation drove assets under management to a total of $1.5 trillion, marking a 22.2% year-over-year growth. The company’s total net revenues grew by more than 12% year-over-year, reaching $4.4 billion, while adjusted operating earnings increased over 11.1% year-over-year to $828 million.
Moreover, Ameriprise has maintained robust free cash flow generation, which allows the company to handle market fluctuations effectively. During the quarter, the firm returned $713 million to shareholders through share buybacks and dividends, reflecting its commitment to delivering value to investors.
In the competitive landscape, Ameriprise has also outperformed Raymond James Financial, Inc. (RJF), which recorded YTD gains of 44.9% and 50.9% over the past year.
Currently, out of 13 analysts covering the AMP stock, the general consensus is a “Moderate Buy.” As of now, AMP is trading just below its average price target of $556.70.
On the date of publication, Aditya Sarawgi did not hold (either directly or indirectly) positions in any of the securities mentioned in this article. This article is meant for informational purposes only. For further details, please view the Barchart Disclosure Policy here. More news from Barchart
The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
