Ameriprise Financial (NYSE:AMP) Hits New 52-Week High - Still a Buy?

Key Points

• Ameriprise Financial shares reached a new 52-week high of $553.82 and were recently trading near $548, up 0.4%. Analysts’ consensus rating is “Moderate Buy,” with an average price target of $555.33.
• The company exceeded quarterly expectations, reporting $11.07 EPS versus the $10.81 estimate and $4.90 billion in revenue, up 11.6% year over year.
• Ameriprise declared a quarterly dividend of $1.70, equivalent to $6.80 annually and a 1.2% yield. However, insiders have sold 34,571 shares worth approximately $18.2 million over the past three months.

Ameriprise Financial, Inc. (NYSE:AMP - Get Free Report)'s share price hit a new 52-week high on Monday . The stock traded as high as $553.82 and last traded at $547.9550, with a volume of 53898 shares. The stock had previously closed at $545.84.

Wall Street Analyst Weigh In

AMP has been the subject of a number of analyst reports. Keefe, Bruyette & Woods increased their price target on Ameriprise Financial from $515.00 to $545.00 and gave the stock a "market perform" rating in a research note on Friday, July 24th. Zacks Research upgraded Ameriprise Financial from a "hold" rating to a "strong-buy" rating in a research report on Monday, July 27th. BMO Capital Markets upped their price objective on Ameriprise Financial from $470.00 to $490.00 and gave the stock a "market perform" rating in a research note on Friday, April 24th. Jefferies Financial Group increased their target price on Ameriprise Financial from $636.00 to $645.00 and gave the stock a "buy" rating in a research report on Friday, July 10th. Finally, Weiss Ratings raised Ameriprise Financial from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Friday, July 17th. Two investment analysts have rated the stock with a Strong Buy rating, four have issued a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus target price of $555.33.

Ameriprise Financial Stock Up 0.4%

The company has a market capitalization of $49.27 billion, a PE ratio of 13.22, a PEG ratio of 0.73 and a beta of 1.16. The company's 50 day moving average is $484.62 and its two-hundred day moving average is $476.11. The company has a quick ratio of 0.66, a current ratio of 0.71 and a debt-to-equity ratio of 0.99.

Ameriprise Financial (NYSE:AMP - Get Free Report) last announced its quarterly earnings results on Thursday, July 23rd. The financial services provider reported $11.07 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $10.81 by $0.26. Ameriprise Financial had a net margin of 20.24% and a return on equity of 64.19%. The company had revenue of $4.90 billion for the quarter, compared to the consensus estimate of $4.87 billion. During the same period in the previous year, the firm posted $9.11 EPS. Ameriprise Financial's revenue for the quarter was up 11.6% compared to the same quarter last year. On average, analysts anticipate that Ameriprise Financial, Inc. will post 46.12 earnings per share for the current year.

Ameriprise Financial Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, August 21st. Investors of record on Monday, August 3rd will be given a $1.70 dividend. This represents a $6.80 dividend on an annualized basis and a dividend yield of 1.2%. The ex-dividend date is Monday, August 3rd. Ameriprise Financial's payout ratio is currently 16.40%.

Insider Transactions at Ameriprise Financial

In related news, insider William Jerryl Williams sold 8,210 shares of the stock in a transaction that occurred on Tuesday, July 28th. The stock was sold at an average price of $539.35, for a total transaction of $4,428,063.50. Following the completion of the transaction, the insider directly owned 6,780 shares of the company's stock, valued at approximately $3,656,793. This represents a 54.77% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director Robert Francis Sharpe, Jr. sold 1,200 shares of the firm's stock in a transaction that occurred on Friday, May 8th. The shares were sold at an average price of $465.83, for a total value of $558,996.00. Following the transaction, the director owned 6,300 shares of the company's stock, valued at $2,934,729. This represents a 16.00% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 34,571 shares of company stock valued at $18,227,419 over the last three months. Corporate insiders own 0.60% of the company's stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the business. SouthState Bank Corp lifted its position in Ameriprise Financial by 78.6% during the fourth quarter. SouthState Bank Corp now owns 50 shares of the financial services provider's stock valued at $25,000 after purchasing an additional 22 shares during the last quarter. Cassaday & Co Wealth Management LLC bought a new stake in shares of Ameriprise Financial in the 1st quarter worth about $28,000. Ares Financial Consulting LLC bought a new stake in shares of Ameriprise Financial in the 4th quarter worth about $32,000. Prosperity Bancshares Inc purchased a new stake in shares of Ameriprise Financial during the 4th quarter valued at about $33,000. Finally, Evolution Wealth Management Inc. purchased a new stake in shares of Ameriprise Financial during the 1st quarter valued at about $34,000. 83.95% of the stock is owned by hedge funds and other institutional investors.

About Ameriprise Financial

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.