AMERIPRISE FINANCIAL INC (AMP) Stock Fundamental Analysis
USA - NYSE:AMP - US03076C1062 - Common Stock
458 USD
-1.42 (-0.31%)
458 USD
0 (0%)
Taking everything into account, AMP scores 4 out of 10 in our fundamental rating. AMP was compared to 237 industry peers in the Capital Markets industry. AMP has a medium profitability rating, but doesn't score so well on its financial health evaluation. AMP has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
AMP had positive earnings in the past year.
In the past year AMP had a positive cash flow from operations.
AMP had positive earnings in each of the past 5 years.
In the past 5 years AMP always reported a positive cash flow from operatings.
1.2 Ratios
AMP has a Return On Assets (1.91%) which is comparable to the rest of the industry.
AMP has a better Return On Equity (56.17%) than 98.31% of its industry peers.
With a Return On Invested Capital value of 2.39%, AMP is not doing good in the industry: 62.03% of the companies in the same industry are doing better.
The Average Return On Invested Capital over the past 3 years for AMP is significantly below the industry average of 7.47%.
The last Return On Invested Capital (2.39%) for AMP is above the 3 year average (2.01%), which is a sign of increasing profitability.
| 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 in line with its industry peers.
In the last couple of years the Profit Margin of AMP has grown nicely.
AMP has a Operating Margin (30.50%) which is in line with its industry peers.
AMP's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 52.46%, AMP is in the better half of the industry, outperforming 62.45% of the companies in the same industry.
In the last couple of years the Gross Margin of AMP has grown nicely.
| 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
The number of shares outstanding for AMP has been reduced compared to 1 year ago.
The number of shares outstanding for AMP has been reduced compared to 5 years ago.
The debt/assets ratio for AMP has been reduced compared to a year ago.
2.2 Solvency
AMP has an Altman-Z score of 0.46. This is a bad value and indicates that AMP is not financially healthy and even has some risk of bankruptcy.
AMP has a worse Altman-Z score (0.46) than 64.56% of its industry peers.
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 67.51% of its industry peers.
AMP has a Debt/Equity ratio of 6.12. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 6.12, AMP is doing worse than 87.34% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.12 | ||
| Debt/FCF | 6.74 | ||
| Altman-Z | 0.46 |
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.
Looking at the Current ratio, with a value of 0.68, AMP is doing worse than 70.89% of the companies in the same industry.
A Quick Ratio of 0.68 indicates that AMP may have some problems paying its short term obligations.
The Quick ratio of AMP (0.68) is worse than 70.46% 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.
The Revenue has been growing slightly by 6.12% in the past year.
The Revenue has been growing slightly by 6.82% on average over the past years.
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
Based on estimates for the next years, AMP will show a small growth in Earnings Per Share. The EPS will grow by 6.97% on average per year.
Based on estimates for the next years, AMP will show a small growth in Revenue. The Revenue will grow by 6.38% on average per year.
EPS Next Y11.69%
EPS Next 2Y9.83%
EPS Next 3Y9.16%
EPS Next 5Y6.97%
Revenue Next Year5.29%
Revenue Next 2Y5.56%
Revenue Next 3Y5.16%
Revenue Next 5Y6.38%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
AMP is valuated correctly with a Price/Earnings ratio of 12.10.
60.76% of the companies in the same industry are more expensive than AMP, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of AMP to the average of the S&P500 Index (25.89), we can say AMP is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 10.98, the valuation of AMP can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AMP indicates a somewhat cheap valuation: AMP is cheaper than 63.29% of the companies listed in the same industry.
AMP is valuated cheaply when we compare the Price/Forward Earnings ratio to 34.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.1 | ||
| Fwd PE | 10.98 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, AMP is valued a bit cheaper than the industry average as 77.64% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.37 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
AMP's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
AMP has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.04
PEG (5Y)0.74
EPS Next 2Y9.83%
EPS Next 3Y9.16%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.39%, AMP has a reasonable but not impressive dividend return.
AMP's Dividend Yield is slightly below the industry average, which is at 8.45.
Compared to an average S&P500 Dividend Yield of 2.42, AMP's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.39% |
5.2 History
On average, the dividend of AMP grows each year by 8.56%, which is quite nice.
AMP has paid a dividend for at least 10 years, which is a reliable track record.
AMP has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
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 2Y9.83%
EPS Next 3Y9.16%
458
-1.42 (-0.31%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners87.64%
Inst Owner Change-1.91%
Ins Owners0.2%
Ins Owner Change1.63%
Market Cap43.18B
Revenue(TTM)18.51B
Net Income(TTM)3.63B
Analysts73
Price Target563.73 (23.09%)
Short Float %2.59%
Short Ratio4.84
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.39% |
Yearly Dividend5.85
Dividend Growth(5Y)8.56%
DP16.3%
Div Incr Years19
Div Non Decr Years19
Ex-Date
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)-1.17%
PT rev (3m)-1.17%
EPS NQ rev (1m)0.86%
EPS NQ rev (3m)3.98%
EPS NY rev (1m)1.19%
EPS NY rev (3m)2.82%
Revenue NQ rev (1m)1.22%
Revenue NQ rev (3m)2.48%
Revenue NY rev (1m)1.01%
Revenue NY rev (3m)1.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.1 | ||
| Fwd PE | 10.98 | ||
| P/S | 2.33 | ||
| P/FCF | 7.37 | ||
| P/OCF | 7.15 | ||
| P/B | 6.69 | ||
| P/tB | 6.69 | ||
| EV/EBITDA | N/A |
EPS(TTM)37.84
EY8.26%
EPS(NY)41.7
Fwd EY9.1%
FCF(TTM)62.17
FCFY13.57%
OCF(TTM)64.04
OCFY13.98%
SpS196.38
BVpS68.47
TBVpS68.47
PEG (NY)1.04
PEG (5Y)0.74
Graham Number241.45
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 | 0.46 |
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 Y11.69%
EPS Next 2Y9.83%
EPS Next 3Y9.16%
EPS Next 5Y6.97%
Revenue 1Y (TTM)6.12%
Revenue growth 3Y10.07%
Revenue growth 5Y6.82%
Sales Q2Q%8.93%
Revenue Next Year5.29%
Revenue Next 2Y5.56%
Revenue Next 3Y5.16%
Revenue Next 5Y6.38%
EBIT growth 1Y21.6%
EBIT growth 3Y13.84%
EBIT growth 5Y18.53%
EBIT Next Year23.38%
EBIT Next 3Y8.62%
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.
Can you provide the valuation status for AMERIPRISE FINANCIAL INC?
ChartMill assigns a valuation rating of 5 / 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 12.1 and the Price/Book (PB) ratio is 6.69.
What is the financial health of AMERIPRISE FINANCIAL INC (AMP) stock?
The financial health rating of AMERIPRISE FINANCIAL INC (AMP) is 2 / 10.