Ameriprise Financial (NYSE:AMP) Shares Break Above 50-Day Moving Average - Time to Sell?

Key Points

• Ameriprise shares moved above their 50-day moving average of $513.81, trading as high as $522.11 and last at about $518.81.
• Analyst opinion is mixed: the consensus rating is Hold, with an average price target of $557; ratings range from Strong Buy to Sell.
• Quarterly EPS of $11.26 missed the $11.77 consensus, while revenue rose 6.8% year over year to $5.08 billion. The company also declared a $1.70 quarterly dividend and authorized up to $5.5 billion in share repurchases.

Shares of Ameriprise Financial, Inc. (NYSE:AMP - Get Free Report) crossed above its 50-day moving average during trading on Monday. The stock has a 50-day moving average of $513.81 and traded as high as $522.11. Ameriprise Financial shares last traded at $518.8070, with a volume of 548,827 shares changing hands.

Wall Street Analyst Weigh In

Several equities analysts have weighed in on the company. Argus lifted their target price on Ameriprise Financial from $534.00 to $590.00 and gave the company a "buy" rating in a research note on Friday, July 31st. Zacks Research downgraded shares of Ameriprise Financial from a "strong-buy" rating to a "hold" rating in a research report on Monday, September 21st. Weiss Ratings upgraded Ameriprise Financial from a "buy (b-)" rating to a "buy (b)" rating in a report on Thursday, September 3rd. Royal Bank Of Canada raised their price target on Ameriprise Financial from $560.00 to $595.00 in a research report on Friday, July 24th. Finally, Piper Sandler boosted their target price on shares of Ameriprise Financial from $518.00 to $561.00 in a research report on Thursday, July 23rd. One equities research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, five have issued a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Hold" and an average target price of $557.00.

Ameriprise Financial Stock Up 3.5%

The firm's fifty day moving average is $513.81 and its 200-day moving average is $493.23. The company has a current ratio of 0.68, a quick ratio of 0.71 and a debt-to-equity ratio of 1.13. The stock has a market capitalization of $45.04 billion, a P/E ratio of 11.67, a P/E/G ratio of 1.12 and a beta of 1.13.

Ameriprise Financial (NYSE:AMP - Get Free Report) last released its quarterly 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 business 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 firm's revenue was up 6.8% on a year-over-year basis. During the same quarter last year, the company earned $9.92 earnings per share. As a group, equities research analysts predict that Ameriprise Financial, Inc. will post 46.24 earnings per share for the current year.

Ameriprise Financial Dividend Announcement

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

Ameriprise Financial announced that its board has approved a stock buyback plan on Tuesday, September 29th that authorizes the company to buy back $5.50 billion in shares. This buyback authorization authorizes the financial services provider to repurchase up to 12.3% of its shares through open market purchases. Share buyback plans are usually a sign that the company's board of directors believes its shares are undervalued.

Hedge Funds Weigh In On Ameriprise Financial

Hedge funds have recently added to or reduced their stakes in the company. Twin Lakes Capital Management LLC bought a new position in Ameriprise Financial in the second quarter valued at approximately $25,000. Balance Wealth Partners LLC acquired a new position in Ameriprise Financial in the third quarter valued at about $27,000. University of Texas Texas AM Investment Management Co. acquired a new position in Ameriprise Financial in the second quarter valued at about $28,000. City State Bank increased its holdings in shares of Ameriprise Financial by 264.7% in the third quarter. City State Bank now owns 62 shares of the financial services provider's stock worth $31,000 after acquiring an additional 45 shares in the last quarter. Finally, Cassaday & Co Wealth Management LLC bought a new stake in shares of Ameriprise Financial in the first quarter worth about $28,000. Institutional investors own 83.95% of the company's stock.

About Ameriprise Financial

Ameriprise Financial is a financial services company focused on helping individuals and institutions plan for and manage their finances. Its offerings include financial planning and investment advice, brokerage services, asset management, insurance and annuity products.

The company traces its roots to Investors Syndicate, founded in Minneapolis in 1894. It became an independent public company in 2005 after separating from American Express, and remains headquartered in Minneapolis.

Ameriprise serves clients primarily in the United States through its network of financial advisors.

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