AMERIPRISE FINANCIAL INC (AMP) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:AMP - US03076C1062 - Common Stock
490.34 USD
-4.13 (-0.84%)
490.34 USD
0 (0%)
AMP gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 235 industry peers in the Capital Markets industry. There are concerns on the financial health of AMP while its profitability can be described as average. AMP has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
AMP had positive earnings in the past year.
AMP had a positive operating cash flow in the past year.
Each year in the past 5 years AMP has been profitable.
In the past 5 years AMP always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.91%, AMP is in line with its industry, outperforming 45.11% of the companies in the same industry.
AMP's Return On Equity of 56.17% is amongst the best of the industry. AMP outperforms 98.30% of its industry peers.
AMP has a Return On Invested Capital of 2.39%. This is in the lower half of the industry: AMP underperforms 62.13% of its industry peers.
AMP had an Average Return On Invested Capital over the past 3 years of 2.01%. This is significantly below the industry average of 7.07%.
The 3 year average ROIC (2.01%) for AMP is below the current ROIC(2.39%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.91% | ||
| ROE | 56.17% | ||
| ROIC | 2.39% |
ROA(3y)1.65%
ROA(5y)1.49%
ROE(3y)62.13%
ROE(5y)51.8%
ROIC(3y)2.01%
ROIC(5y)1.73%
1.3 Margins
AMP has a Profit Margin (19.59%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of AMP has grown nicely.
Looking at the Operating Margin, with a value of 30.50%, AMP is in line with its industry, outperforming 59.15% of the companies in the same industry.
AMP's Operating Margin has improved in the last couple of years.
The Gross Margin of AMP (52.46%) is comparable to the rest of the industry.
AMP's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 30.5% | ||
| PM (TTM) | 19.59% | ||
| GM | 52.46% |
OM growth 3Y3.43%
OM growth 5Y10.96%
PM growth 3Y-2.6%
PM growth 5Y5.26%
GM growth 3Y-0.51%
GM growth 5Y3.31%
2. Health
2.1 Basic Checks
Compared to 1 year ago, AMP has less shares outstanding
AMP has less shares outstanding than it did 5 years ago.
AMP has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.47, we must say that AMP is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.47, AMP is not doing good in the industry: 61.70% of the companies in the same industry are doing better.
The Debt to FCF ratio of AMP is 6.74, which is on the high side as it means it would take AMP, 6.74 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of AMP (6.74) is better than 65.53% of its industry peers.
A Debt/Equity ratio of 6.12 is on the high side and indicates that AMP has dependencies on debt financing.
AMP has a Debt to Equity ratio of 6.12. This is amonst the worse of the industry: AMP underperforms 87.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.12 | ||
| Debt/FCF | 6.74 | ||
| Altman-Z | 0.47 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
AMP has a Current Ratio of 0.68. This is a bad value and indicates that AMP is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.68, AMP is not doing good in the industry: 68.94% of the companies in the same industry are doing better.
A Quick Ratio of 0.68 indicates that AMP may have some problems paying its short term obligations.
AMP has a Quick ratio of 0.68. This is in the lower half of the industry: AMP underperforms 68.51% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.68 |
3. Growth
3.1 Past
AMP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 16.75%, which is quite good.
AMP shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 16.30% yearly.
Looking at the last year, AMP shows a small growth in Revenue. The Revenue has grown by 6.12% in the last year.
AMP shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.82% yearly.
EPS 1Y (TTM)16.75%
EPS 3Y14.95%
EPS 5Y16.3%
EPS Q2Q%21.85%
Revenue 1Y (TTM)6.12%
Revenue growth 3Y10.07%
Revenue growth 5Y6.82%
Sales Q2Q%8.93%
3.2 Future
AMP is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.97% yearly.
AMP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.94% yearly.
EPS Next Y13.03%
EPS Next 2Y10.8%
EPS Next 3Y9.68%
EPS Next 5Y6.97%
Revenue Next Year6.4%
Revenue Next 2Y6.3%
Revenue Next 3Y5.56%
Revenue Next 5Y5.94%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 12.96, which indicates a correct valuation of AMP.
AMP's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 26.51. AMP is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 11.55 indicates a reasonable valuation of AMP.
Based on the Price/Forward Earnings ratio, AMP is valued a bit cheaper than 63.83% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.13, AMP is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.96 | ||
| Fwd PE | 11.55 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, AMP is valued a bit cheaper than 80.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.77 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of AMP may justify a higher PE ratio.
PEG (NY)0.99
PEG (5Y)0.8
EPS Next 2Y10.8%
EPS Next 3Y9.68%
5. Dividend
5.1 Amount
AMP has a Yearly Dividend Yield of 1.28%. Purely for dividend investing, there may be better candidates out there.
AMP's Dividend Yield is slightly below the industry average, which is at 6.65.
Compared to the average S&P500 Dividend Yield of 2.00, AMP is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.28% |
5.2 History
The dividend of AMP is nicely growing with an annual growth rate of 8.56%!
AMP has paid a dividend for at least 10 years, which is a reliable track record.
AMP has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)8.56%
Div Incr Years19
Div Non Decr Years19
5.3 Sustainability
16.30% of the earnings are spent on dividend by AMP. This is a low number and sustainable payout ratio.
The dividend of AMP is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP16.3%
EPS Next 2Y10.8%
EPS Next 3Y9.68%
490.34
-4.13 (-0.84%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners89.16%
Inst Owner Change0.16%
Ins Owners0.2%
Ins Owner Change1.63%
Market Cap45.56B
Revenue(TTM)18.51B
Net Income(TTM)3.63B
Analysts73
Price Target551.41 (12.45%)
Short Float %3.28%
Short Ratio4.76
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.28% |
Yearly Dividend5.85
Dividend Growth(5Y)8.56%
DP16.3%
Div Incr Years19
Div Non Decr Years19
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)0.4%
Min EPS beat(2)0.34%
Max EPS beat(2)0.47%
EPS beat(4)4
Avg EPS beat(4)1.7%
Min EPS beat(4)0.34%
Max EPS beat(4)3.55%
EPS beat(8)6
Avg EPS beat(8)-1.02%
EPS beat(12)7
Avg EPS beat(12)-0.96%
EPS beat(16)11
Avg EPS beat(16)0.54%
Revenue beat(2)1
Avg Revenue beat(2)1.31%
Min Revenue beat(2)-0.85%
Max Revenue beat(2)3.48%
Revenue beat(4)1
Avg Revenue beat(4)-0.27%
Min Revenue beat(4)-3.02%
Max Revenue beat(4)3.48%
Revenue beat(8)2
Avg Revenue beat(8)-0.4%
Revenue beat(12)6
Avg Revenue beat(12)0.62%
Revenue beat(16)9
Avg Revenue beat(16)0.81%
PT rev (1m)0.23%
PT rev (3m)-3.33%
EPS NQ rev (1m)1.62%
EPS NQ rev (3m)5.66%
EPS NY rev (1m)1.2%
EPS NY rev (3m)2.4%
Revenue NQ rev (1m)1.01%
Revenue NQ rev (3m)3.52%
Revenue NY rev (1m)1.06%
Revenue NY rev (3m)2.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.96 | ||
| Fwd PE | 11.55 | ||
| P/S | 2.46 | ||
| P/FCF | 7.77 | ||
| P/OCF | 7.55 | ||
| P/B | 7.06 | ||
| P/tB | 7.06 | ||
| EV/EBITDA | N/A |
EPS(TTM)37.84
EY7.72%
EPS(NY)42.44
Fwd EY8.65%
FCF(TTM)63.08
FCFY12.87%
OCF(TTM)64.98
OCFY13.25%
SpS199.26
BVpS69.48
TBVpS69.48
PEG (NY)0.99
PEG (5Y)0.8
Graham Number243.21
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.91% | ||
| ROE | 56.17% | ||
| ROCE | 3.68% | ||
| ROIC | 2.39% | ||
| ROICexc | 2.52% | ||
| ROICexgc | 5.89% | ||
| OM | 30.5% | ||
| PM (TTM) | 19.59% | ||
| GM | 52.46% | ||
| FCFM | 31.66% |
ROA(3y)1.65%
ROA(5y)1.49%
ROE(3y)62.13%
ROE(5y)51.8%
ROIC(3y)2.01%
ROIC(5y)1.73%
ROICexc(3y)2.11%
ROICexc(5y)1.81%
ROICexgc(3y)4.74%
ROICexgc(5y)4.4%
ROCE(3y)3.2%
ROCE(5y)2.66%
ROICexgc growth 3Y4.22%
ROICexgc growth 5Y9.43%
ROICexc growth 3Y12.92%
ROICexc growth 5Y14.97%
OM growth 3Y3.43%
OM growth 5Y10.96%
PM growth 3Y-2.6%
PM growth 5Y5.26%
GM growth 3Y-0.51%
GM growth 5Y3.31%
F-Score9
Asset Turnover0.1
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.12 | ||
| Debt/FCF | 6.74 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 0.95% | ||
| Interest Coverage | 6.89 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 161.64% | ||
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.68 | ||
| Altman-Z | 0.47 |
F-Score9
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)1.13%
Cap/Sales(5y)1.1%
Profit Quality(3y)176.65%
Profit Quality(5y)187.57%
High Growth Momentum
Growth
EPS 1Y (TTM)16.75%
EPS 3Y14.95%
EPS 5Y16.3%
EPS Q2Q%21.85%
EPS Next Y13.03%
EPS Next 2Y10.8%
EPS Next 3Y9.68%
EPS Next 5Y6.97%
Revenue 1Y (TTM)6.12%
Revenue growth 3Y10.07%
Revenue growth 5Y6.82%
Sales Q2Q%8.93%
Revenue Next Year6.4%
Revenue Next 2Y6.3%
Revenue Next 3Y5.56%
Revenue Next 5Y5.94%
EBIT growth 1Y21.6%
EBIT growth 3Y13.84%
EBIT growth 5Y18.53%
EBIT Next Year24.65%
EBIT Next 3Y8.03%
EBIT Next 5YN/A
FCF growth 1Y64.22%
FCF growth 3Y26.05%
FCF growth 5Y23.9%
OCF growth 1Y60.6%
OCF growth 3Y25.64%
OCF growth 5Y23.02%
AMERIPRISE FINANCIAL INC / AMP FAQ
What is the ChartMill fundamental rating of AMERIPRISE FINANCIAL INC (AMP) stock?
ChartMill assigns a fundamental rating of 4 / 10 to AMP.
What is the valuation status for AMP stock?
ChartMill assigns a valuation rating of 6 / 10 to AMERIPRISE FINANCIAL INC (AMP). This can be considered as Fairly Valued.
What is the profitability of AMP stock?
AMERIPRISE FINANCIAL INC (AMP) has a profitability rating of 6 / 10.
What are the PE and PB ratios of AMERIPRISE FINANCIAL INC (AMP) stock?
The Price/Earnings (PE) ratio for AMERIPRISE FINANCIAL INC (AMP) is 12.96 and the Price/Book (PB) ratio is 7.06.
How financially healthy is AMERIPRISE FINANCIAL INC?
The financial health rating of AMERIPRISE FINANCIAL INC (AMP) is 2 / 10.