AMERIPRISE FINANCIAL INC (AMP) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:AMP - US03076C1062 - Common Stock
447.56 USD
+5.93 (+1.34%)
447.56 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to AMP. AMP was compared to 237 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 is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year AMP was profitable.
AMP had a positive operating cash flow in the past year.
Each year in the past 5 years AMP has been profitable.
AMP had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
AMP's Return On Assets of 1.91% is in line compared to the rest of the industry. AMP outperforms 43.46% of its industry peers.
AMP has a Return On Equity of 56.17%. This is amongst the best in the industry. AMP outperforms 98.31% of its industry peers.
AMP has a worse Return On Invested Capital (2.39%) than 62.03% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AMP is significantly below the industry average of 7.11%.
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
With a Profit Margin value of 19.59%, AMP perfoms like the industry average, outperforming 54.85% of the companies in the same industry.
In the last couple of years the Profit Margin of AMP has grown nicely.
AMP has a Operating Margin (30.50%) which is comparable to the rest of the industry.
AMP's Operating Margin has improved in the last couple of years.
The Gross Margin of AMP (52.46%) is better than 62.45% of its industry peers.
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
Compared to 1 year ago, AMP has less shares outstanding
The number of shares outstanding for AMP has been reduced compared to 5 years ago.
Compared to 1 year ago, AMP has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.46, we must say that AMP is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.46, AMP is not doing good in the industry: 64.13% 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.
AMP has a Debt to FCF ratio of 6.74. This is in the better half of the industry: AMP outperforms 66.67% 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 87.34% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.12 | ||
| Debt/FCF | 6.74 | ||
| Altman-Z | 0.46 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 0.68 indicates that AMP may have some problems paying its short term obligations.
AMP has a worse Current ratio (0.68) than 70.46% of its industry peers.
A Quick Ratio of 0.68 indicates that AMP may have some problems paying its short term obligations.
With a Quick ratio value of 0.68, AMP is not doing good in the industry: 70.04% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.68 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 16.75% over the past year.
The Earnings Per Share has been growing by 16.30% on average over the past years. This is quite good.
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.
The Revenue is expected to grow by 6.38% on average over the next years.
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.
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
AMP is valuated reasonably with a Price/Earnings ratio of 11.83.
AMP's Price/Earnings ratio is a bit cheaper when compared to the industry. AMP is cheaper than 62.03% of the companies in the same industry.
AMP's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.45.
A Price/Forward Earnings ratio of 10.73 indicates a reasonable valuation of AMP.
63.71% of the companies in the same industry are more expensive than AMP, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.46, AMP is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.83 | ||
| Fwd PE | 10.73 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of AMP indicates a somewhat cheap valuation: AMP is cheaper than 76.79% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.2 | ||
| 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)1.01
PEG (5Y)0.73
EPS Next 2Y9.83%
EPS Next 3Y9.16%
5. Dividend
5.1 Amount
AMP has a Yearly Dividend Yield of 1.45%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 8.61, AMP is paying slightly less dividend.
With a Dividend Yield of 1.45, AMP pays less dividend than the S&P500 average, which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.45% |
5.2 History
On average, the dividend of AMP grows each year by 8.56%, which is quite nice.
AMP has been paying a dividend for at least 10 years, so it has 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
AMP pays out 16.30% of its income as dividend. This is a sustainable payout ratio.
AMP's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP16.3%
EPS Next 2Y9.83%
EPS Next 3Y9.16%
447.56
+5.93 (+1.34%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners87.64%
Inst Owner Change0.81%
Ins Owners0.2%
Ins Owner Change2.53%
Market Cap42.19B
Revenue(TTM)18.51B
Net Income(TTM)3.63B
Analysts73
Price Target550.13 (22.92%)
Short Float %2.34%
Short Ratio3.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.45% |
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 | 11.83 | ||
| Fwd PE | 10.73 | ||
| P/S | 2.28 | ||
| P/FCF | 7.2 | ||
| P/OCF | 6.99 | ||
| P/B | 6.54 | ||
| P/tB | 6.54 | ||
| EV/EBITDA | N/A |
EPS(TTM)37.84
EY8.45%
EPS(NY)41.7
Fwd EY9.32%
FCF(TTM)62.17
FCFY13.89%
OCF(TTM)64.04
OCFY14.31%
SpS196.38
BVpS68.47
TBVpS68.47
PEG (NY)1.01
PEG (5Y)0.73
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 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 11.83 and the Price/Book (PB) ratio is 6.54.
What is the financial health of AMERIPRISE FINANCIAL INC (AMP) stock?
The financial health rating of AMERIPRISE FINANCIAL INC (AMP) is 2 / 10.