Mirae Asset Global Investments Co. Ltd. Makes New $11.99 Million Investment in Ameriprise Financial, Inc. $AMP

Key Points

• Mirae Asset Global Investments acquired 24,351 Ameriprise Financial shares in the third quarter, a new stake valued at approximately $11.99 million.
• Ameriprise reported quarterly EPS of $11.26, below analysts’ $11.77 estimate, and revenue of $5.08 billion versus a $5.10 billion consensus; revenue nevertheless grew 6.8% year over year.
• The company authorized a $5.5 billion share repurchase plan—covering up to 12.3% of shares outstanding—and declared a $1.70 quarterly dividend, equal to a 1.3% yield.

Mirae Asset Global Investments Co. Ltd. bought a new stake in Ameriprise Financial, Inc. (NYSE:AMP - Free Report) in the 3rd quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The institutional investor bought 24,351 shares of the financial services provider's stock, valued at approximately $11,989,000.

A number of other large investors have also added to or reduced their stakes in the company. Twin Lakes Capital Management LLC purchased a new stake in shares of Ameriprise Financial during the second quarter worth about $25,000. Balance Wealth Partners LLC acquired a new position in shares of Ameriprise Financial in the third quarter worth about $27,000. Cassaday & Co Wealth Management LLC purchased a new position in Ameriprise Financial in the first quarter valued at about $28,000. University of Texas Texas AM Investment Management Co. purchased a new position in Ameriprise Financial in the second quarter valued at about $28,000. Finally, Fiduciary Financial Advisors purchased a new position in Ameriprise Financial in the second quarter valued at about $30,000. 83.95% of the stock is owned by institutional investors and hedge funds.

Ameriprise Financial Stock Up 0.1%

Shares of Ameriprise Financial stock opened at $504.98 on Wednesday. The business has a 50-day moving average price of $517.40 and a 200 day moving average price of $493.01. Ameriprise Financial, Inc. has a fifty-two week low of $422.37 and a fifty-two week high of $572.56. The firm has a market cap of $43.84 billion, a P/E ratio of 11.36, a P/E/G ratio of 1.08 and a beta of 1.13. The company has a quick ratio of 0.71, a current ratio of 0.68 and a debt-to-equity ratio of 1.13.

Ameriprise Financial (NYSE:AMP - Get Free Report) last released its earnings results on Thursday, October 29th. The financial services provider reported $11.26 EPS for the quarter, missing analysts' consensus estimates of $11.77 by ($0.51). The firm had revenue of $5.08 billion for the quarter, compared to the consensus estimate of $5.10 billion. Ameriprise Financial had a return on equity of 69.94% and a net margin of 20.99%. The company's quarterly revenue was up 6.8% on a year-over-year basis. During the same period in the prior year, the business earned $9.92 EPS. On average, sell-side analysts forecast that Ameriprise Financial, Inc. will post 46.08 earnings per share for the current fiscal year.

Ameriprise Financial announced that its Board of Directors has authorized a share repurchase plan on Tuesday, September 29th that allows the company to repurchase $5.50 billion in outstanding shares. This buyback authorization allows the financial services provider to buy up to 12.3% of its stock through open market purchases. Share buyback plans are typically a sign that the company's management believes its stock is undervalued.

Ameriprise Financial Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, November 27th. Investors of record on Monday, November 9th will be given a dividend of $1.70 per share. This represents a $6.80 annualized dividend and a dividend yield of 1.3%. The ex-dividend date of this dividend is Monday, November 9th. Ameriprise Financial's dividend payout ratio is currently 15.30%.

Insider Activity at Ameriprise Financial

In related news, EVP Deirdre Mcgraw sold 2,400 shares of the firm's stock in a transaction on Thursday, August 6th. The stock was sold at an average price of $558.28, for a total transaction of $1,339,872.00. Following the transaction, the executive vice president directly owned 3,373 shares in the company, valued at $1,883,078.44. This trade represents a 41.57% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, SVP Dawn Brockman sold 472 shares of Ameriprise Financial stock in a transaction on Monday, August 10th. The stock was sold at an average price of $558.93, for a total transaction of $263,814.96. Following the completion of the transaction, the senior vice president directly owned 713 shares of the company's stock, valued at approximately $398,517.09. This represents a 39.83% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Corporate insiders own 0.60% of the company's stock.

Wall Street Analyst Weigh In

Several equities research analysts have issued reports on AMP shares. Argus lifted their price objective on Ameriprise Financial from $534.00 to $590.00 and gave the stock a "buy" rating in a report on Friday, July 31st. Zacks Research lowered Ameriprise Financial from a "strong-buy" rating to a "hold" rating in a research report on Monday, September 21st. Piper Sandler increased their target price on Ameriprise Financial from $518.00 to $561.00 in a research note on Thursday, July 23rd. Bank of America downgraded shares of Ameriprise Financial from a "buy" rating to an "underperform" rating and decreased their price target for the stock from $570.00 to $445.00 in a research report on Monday, October 19th. Finally, Jefferies Financial Group dropped their price target on shares of Ameriprise Financial from $645.00 to $638.00 in a research note on Monday, October 12th. One investment analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, five have assigned a Hold rating and two have given a Sell rating to the company's stock. According to data from MarketBeat, Ameriprise Financial currently has a consensus rating of "Hold" and an average target price of $557.00.

Ameriprise Financial Profile

Ameriprise Financial, Inc NYSE: AMP is a diversified financial services company that provides advice, wealth management, asset management, insurance and retirement solutions. Through its network of financial advisors and digital platforms, the company serves individuals, families, businesses and institutions with financial planning, investment management and related services.

Its products and services include brokerage and advisory accounts, mutual funds and exchange-traded funds, retirement plans, annuities, life and long-term care insurance, banking services and financial planning.

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