Ameriprise Financial, Inc. (NYSE:AMP) Receives Average Recommendation of "Hold" from Brokerages

Key Points

• Consensus "Hold": Eleven brokerages give Ameriprise a consensus rating of "Hold" (1 sell, 5 hold, 4 buy, 1 strong buy) with an average 1‑year price target of $544.22.
• Insider selling: Insiders sold 16,658 shares worth about $8.99 million over the last three months—including large sales by Gumer Alvero and CFO Walter Berman—leaving insiders with 0.60% ownership.
• Recent results and metrics: Ameriprise beat quarterly estimates with EPS $10.83 vs $10.33 and revenue $4.92B vs $4.75B; the stock trades near $461, has a PE of ~12.7, market cap ~$42.1B, and pays a $6.40 annual dividend (yield ~1.4%).

Ameriprise Financial, Inc. (NYSE:AMP - Get Free Report) has been given a consensus recommendation of "Hold" by the eleven research firms that are currently covering the company, Marketbeat reports. One equities research analyst has rated the stock with a sell rating, five have assigned a hold rating, four have assigned a buy rating and one has assigned a strong buy rating to the company. The average 1 year price target among brokerages that have updated their coverage on the stock in the last year is $544.2222.

Several equities analysts recently issued reports on the company. Piper Sandler reduced their price objective on Ameriprise Financial from $530.00 to $460.00 and set a "hold" rating for the company in a report on Tuesday, April 7th. BMO Capital Markets reaffirmed a "market perform" rating on shares of Ameriprise Financial in a report on Tuesday, March 3rd. Keefe, Bruyette & Woods assumed coverage on Ameriprise Financial in a report on Friday, April 10th. They set a "hold" rating for the company. Jefferies Financial Group lifted their price objective on Ameriprise Financial from $600.00 to $620.00 and gave the stock a "buy" rating in a report on Monday, February 2nd. Finally, Weiss Ratings reaffirmed a "buy (b-)" rating on shares of Ameriprise Financial in a report on Monday, December 29th.

Insider Transactions at Ameriprise Financial

In other news, insider Gumer Alvero sold 4,658 shares of the business's stock in a transaction on Monday, February 9th. The stock was sold at an average price of $542.88, for a total value of $2,528,735.04. Following the completion of the transaction, the insider directly owned 4,621 shares of the company's stock, valued at $2,508,648.48. The trade was a 50.20% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, CFO Walter Stanley Berman sold 7,000 shares of the business's stock in a transaction on Thursday, February 5th. The stock was sold at an average price of $544.22, for a total value of $3,809,540.00. Following the completion of the transaction, the chief financial officer directly owned 5,609 shares of the company's stock, valued at approximately $3,052,529.98. This trade represents a 55.52% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 16,658 shares of company stock valued at $8,998,675 over the last three months. 0.60% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Ameriprise Financial

A number of institutional investors have recently made changes to their positions in the stock. State Street Corp raised its holdings in shares of Ameriprise Financial by 0.4% in the third quarter. State Street Corp now owns 4,420,072 shares of the financial services provider's stock worth $2,171,360,000 after acquiring an additional 18,879 shares during the last quarter. Norges Bank acquired a new position in shares of Ameriprise Financial in the fourth quarter worth $742,438,000. Boston Partners raised its holdings in shares of Ameriprise Financial by 1.1% in the third quarter. Boston Partners now owns 1,193,048 shares of the financial services provider's stock worth $586,083,000 after acquiring an additional 13,172 shares during the last quarter. AQR Capital Management LLC raised its holdings in shares of Ameriprise Financial by 84.2% in the fourth quarter. AQR Capital Management LLC now owns 1,085,889 shares of the financial services provider's stock worth $532,455,000 after acquiring an additional 496,319 shares during the last quarter. Finally, Federated Hermes Inc. raised its holdings in shares of Ameriprise Financial by 0.7% in the fourth quarter. Federated Hermes Inc. now owns 973,097 shares of the financial services provider's stock worth $477,148,000 after acquiring an additional 6,934 shares during the last quarter. 83.95% of the stock is owned by institutional investors and hedge funds.

Ameriprise Financial Stock Performance

Shares of AMP stock opened at $461.40 on Wednesday. The stock has a fifty day moving average price of $455.26 and a 200 day moving average price of $474.93. The stock has a market cap of $42.07 billion, a PE ratio of 12.69, a P/E/G ratio of 1.12 and a beta of 1.27. Ameriprise Financial has a 1 year low of $422.37 and a 1 year high of $550.18. The company has a debt-to-equity ratio of 0.86, a quick ratio of 0.68 and a current ratio of 0.68.

Ameriprise Financial (NYSE:AMP - Get Free Report) last issued its quarterly earnings data on Thursday, January 29th. The financial services provider reported $10.83 earnings per share (EPS) for the quarter, topping the consensus estimate of $10.33 by $0.50. The firm had revenue of $4.92 billion during the quarter, compared to analysts' expectations of $4.75 billion. Ameriprise Financial had a return on equity of 63.04% and a net margin of 19.28%.Ameriprise Financial's revenue was up 10.2% on a year-over-year basis. During the same period in the previous year, the firm posted $9.54 earnings per share. Sell-side analysts forecast that Ameriprise Financial will post 41.31 earnings per share for the current fiscal year.

Ameriprise Financial Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, February 27th. Stockholders of record on Monday, February 9th were issued a $1.60 dividend. This represents a $6.40 dividend on an annualized basis and a dividend yield of 1.4%. The ex-dividend date of this dividend was Monday, February 9th. Ameriprise Financial's payout ratio is 17.60%.

Ameriprise Financial Company Profile

Ameriprise Financial, Inc is a diversified financial services company headquartered in Minneapolis, Minnesota. The firm provides a range of advice-based wealth management, asset management and insurance products to individual and institutional clients. Its business model centers on delivering financial planning and investment advice through a network of financial advisors alongside proprietary product offerings designed to meet retirement, protection and accumulation needs.

Core products and services include comprehensive financial planning and advisory services, managed investment portfolios, retirement planning solutions, annuities and life insurance products.

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