Element Capital Management LLC Invests $2.61 Million in Ameriprise Financial, Inc. $AMP

Key Points

• Element Capital Management LLC made a new investment of approximately $2.61 million in Ameriprise Financial by acquiring 5,400 shares in the first quarter.
• Institutional investors own 83.95% of Ameriprise Financial's stock, with significant increases in holdings reported by firms such as JPMorgan Chase & Co. and Goldman Sachs Group Inc. in recent quarters.
• Ameriprise Financial announced a $1.60 quarterly dividend and has authorized a stock repurchase plan worth $4.50 billion, reflecting the board’s belief that the stock is undervalued.

Element Capital Management LLC bought a new stake in Ameriprise Financial, Inc. (NYSE:AMP - Free Report) in the first quarter, according to its most recent Form 13F filing with the SEC. The institutional investor bought 5,400 shares of the financial services provider's stock, valued at approximately $2,614,000.

A number of other hedge funds also recently added to or reduced their stakes in the stock. GAMMA Investing LLC lifted its holdings in shares of Ameriprise Financial by 49,248.9% in the 1st quarter. GAMMA Investing LLC now owns 2,114,108 shares of the financial services provider's stock valued at $1,023,461,000 after buying an additional 2,109,824 shares during the period. JPMorgan Chase & Co. lifted its holdings in shares of Ameriprise Financial by 21.3% in the 1st quarter. JPMorgan Chase & Co. now owns 5,824,915 shares of the financial services provider's stock valued at $2,819,900,000 after buying an additional 1,023,002 shares during the period. Nuveen LLC acquired a new stake in shares of Ameriprise Financial in the 1st quarter valued at approximately $469,334,000. Goldman Sachs Group Inc. lifted its holdings in shares of Ameriprise Financial by 28.7% in the 1st quarter. Goldman Sachs Group Inc. now owns 1,195,703 shares of the financial services provider's stock valued at $578,852,000 after buying an additional 266,631 shares during the period. Finally, Northern Trust Corp lifted its holdings in shares of Ameriprise Financial by 19.8% in the 4th quarter. Northern Trust Corp now owns 1,268,419 shares of the financial services provider's stock valued at $675,344,000 after buying an additional 209,549 shares during the period. 83.95% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several equities research analysts have recently commented on the company. Morgan Stanley lowered Ameriprise Financial from an "equal weight" rating to an "underweight" rating and boosted their price target for the stock from $462.00 to $530.00 in a research note on Tuesday, July 15th. Raymond James Financial upped their target price on Ameriprise Financial from $518.00 to $582.00 and gave the company a "strong-buy" rating in a report on Friday, July 25th. Piper Sandler boosted their price objective on shares of Ameriprise Financial from $423.00 to $434.00 and gave the stock an "underweight" rating in a research report on Thursday, July 3rd. Wall Street Zen upgraded shares of Ameriprise Financial from a "sell" rating to a "hold" rating in a report on Friday, May 30th. Finally, Keefe, Bruyette & Woods lifted their target price on shares of Ameriprise Financial from $520.00 to $550.00 and gave the stock a "market perform" rating in a research report on Wednesday, July 9th. One investment analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, four have given a Hold rating and two have assigned a Sell rating to the company's stock. Based on data from MarketBeat, the stock currently has an average rating of "Hold" and an average price target of $534.71.

Ameriprise Financial Trading Down 0.0%

Ameriprise Financial stock traded down $0.2260 during midday trading on Tuesday, reaching $505.4040. The stock had a trading volume of 338,626 shares, compared to its average volume of 506,679. Ameriprise Financial, Inc. has a twelve month low of $396.14 and a twelve month high of $582.05. The stock has a market capitalization of $47.64 billion, a PE ratio of 15.73, a price-to-earnings-growth ratio of 1.07 and a beta of 1.24. The company has a debt-to-equity ratio of 0.95, a quick ratio of 0.62 and a current ratio of 0.62. The stock's 50-day simple moving average is $521.26 and its 200 day simple moving average is $506.63.

Ameriprise Financial (NYSE:AMP - Get Free Report) last released its quarterly earnings data on Thursday, July 24th. The financial services provider reported $9.11 earnings per share (EPS) for the quarter, topping the consensus estimate of $9.00 by $0.11. Ameriprise Financial had a net margin of 18.30% and a return on equity of 65.90%. The company had revenue of $4.49 billion during the quarter, compared to the consensus estimate of $4.33 billion. During the same period in the previous year, the firm earned $8.72 earnings per share. Ameriprise Financial's revenue for the quarter was up 2.2% on a year-over-year basis. Analysts expect that Ameriprise Financial, Inc. will post 38.64 EPS for the current year.

Ameriprise Financial Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, August 18th. Investors of record on Monday, August 4th were given a dividend of $1.60 per share. The ex-dividend date of this dividend was Monday, August 4th. This represents a $6.40 annualized dividend and a yield of 1.3%. Ameriprise Financial's payout ratio is 19.91%.

Ameriprise Financial announced that its board has authorized a share buyback plan on Thursday, April 24th that permits the company to buyback $4.50 billion in shares. This buyback authorization permits the financial services provider to repurchase up to 9.9% of its shares through open market purchases. Shares buyback plans are generally an indication that the company's management believes its shares are undervalued.

About Ameriprise Financial

Ameriprise Financial, Inc, together with its subsidiaries, provides various financial products and services to individual and institutional clients in the United States and internationally. It operates through four segments: Advice & Wealth Management, Asset Management, Retirement & Protection Solutions, and Corporate & Other.