Ameriprise Financial (NYSE:AMP) Price Target Raised to $601.00 at Royal Bank Of Canada

Key Points

• Royal Bank Of Canada has raised its target price for Ameriprise Financial from $595.00 to $601.00, indicating a potential upside of 14.48% from the stock's current price.
• The company reported an earnings per share (EPS) of $9.11 for the last quarter, exceeding analyst expectations, with revenue growth of 2.2% year-over-year.
• Ameriprise Financial has authorized a stock buyback plan worth $4.50 billion, reflecting the board's belief that its shares are undervalued.

Ameriprise Financial (NYSE:AMP - Free Report) had its target price lifted by Royal Bank Of Canada from $595.00 to $601.00 in a report published on Wednesday morning,Benzinga reports. Royal Bank Of Canada currently has an outperform rating on the financial services provider's stock.

Several other equities analysts have also recently weighed in on the company. Morgan Stanley cut Ameriprise Financial from an "equal weight" rating to an "underweight" rating and raised their price target for the company from $462.00 to $530.00 in a report on Tuesday, July 15th. William Blair cut Ameriprise Financial from an "outperform" rating to a "market perform" rating in a report on Friday, July 25th. Keefe, Bruyette & Woods lifted their target price on Ameriprise Financial from $520.00 to $550.00 and gave the stock a "market perform" rating in a report on Wednesday, July 9th. Raymond James Financial raised their price target on Ameriprise Financial from $518.00 to $582.00 and gave the stock a "strong-buy" rating in a research note on Friday, July 25th. Finally, Wall Street Zen raised Ameriprise Financial from a "sell" rating to a "hold" rating in a research note on Friday, May 30th. Two equities research analysts have rated the stock with a sell rating, five have assigned a hold rating, one has given a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat, the stock presently has an average rating of "Hold" and an average price target of $534.71.

Ameriprise Financial Trading Down 3.3%

AMP stock traded down $17.08 during midday trading on Wednesday, hitting $501.12. The company had a trading volume of 85,513 shares, compared to its average volume of 513,917. The company has a current ratio of 0.62, a quick ratio of 0.60 and a debt-to-equity ratio of 0.95. Ameriprise Financial has a 52 week low of $385.74 and a 52 week high of $582.05. The stock's 50 day moving average price is $522.58 and its 200 day moving average price is $511.26. The stock has a market cap of $47.72 billion, a price-to-earnings ratio of 15.61, a PEG ratio of 1.11 and a beta of 1.23.

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

Ameriprise Financial Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, August 18th. Shareholders of record on Monday, August 4th will be given a dividend of $1.60 per share. The ex-dividend date of this dividend is Monday, August 4th. This represents a $6.40 dividend on an annualized basis and a yield of 1.3%. Ameriprise Financial's payout ratio is 19.91%.

Ameriprise Financial announced that its Board of Directors 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 purchase up to 9.9% of its shares through open market purchases. Shares buyback plans are often an indication that the company's leadership believes its stock is undervalued.

Institutional Investors Weigh In On Ameriprise Financial

Institutional investors and hedge funds have recently bought and sold shares of the company. GAMMA Investing LLC raised its position in Ameriprise Financial by 1.9% during the 1st quarter. GAMMA Investing LLC now owns 4,367 shares of the financial services provider's stock valued at $2,114,000 after purchasing an additional 83 shares in the last quarter. Spire Wealth Management increased its holdings in shares of Ameriprise Financial by 91.6% in the 1st quarter. Spire Wealth Management now owns 1,429 shares of the financial services provider's stock valued at $692,000 after acquiring an additional 683 shares during the period. Exchange Traded Concepts LLC increased its holdings in shares of Ameriprise Financial by 488.5% in the 1st quarter. Exchange Traded Concepts LLC now owns 971 shares of the financial services provider's stock valued at $470,000 after acquiring an additional 806 shares during the period. Wealth Enhancement Advisory Services LLC increased its holdings in shares of Ameriprise Financial by 6.1% in the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 24,902 shares of the financial services provider's stock valued at $12,055,000 after acquiring an additional 1,433 shares during the period. Finally, Cambridge Investment Research Advisors Inc. increased its holdings in shares of Ameriprise Financial by 7.6% in the 1st quarter. Cambridge Investment Research Advisors Inc. now owns 5,917 shares of the financial services provider's stock valued at $2,864,000 after acquiring an additional 420 shares during the period. 83.95% of the stock is owned by institutional investors.

Ameriprise Financial Company Profile

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.