Ameriprise Financial Valuation

AMP Stock  USD 570.21  1.86  0.33%   
At this time, the firm appears to be overvalued. Ameriprise Financial shows a prevailing Real Value of $500.42 per share. The current price of the firm is $570.21. Our model approximates the value of Ameriprise Financial from analyzing the firm fundamentals such as return on equity of 0.57, and Profit Margin of 0.16 % as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Ameriprise Financial's valuation include:
Price Book
9.7111
Enterprise Value
50.7 B
Price Sales
3.1814
Forward PE
14.9477
Trailing PE
21.8849
Overvalued
Today
570.21
Please note that Ameriprise Financial's price fluctuation is very steady at this time. Calculation of the real value of Ameriprise Financial is based on 3 months time horizon. Increasing Ameriprise Financial's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Ameriprise Financial's intrinsic value may or may not be the same as its current market price of 570.21, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  570.21 Real  500.42 Target  367.6 Hype  573.5 Naive  570.55
The intrinsic value of Ameriprise Financial's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Ameriprise Financial's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
498.72
Downside
500.42
Real Value
629.28
Upside
Estimating the potential upside or downside of Ameriprise Financial helps investors to forecast how Ameriprise stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Ameriprise Financial more accurately as focusing exclusively on Ameriprise Financial's fundamentals will not take into account other important factors:
Earnings
Estimates (0)
LowProjectedHigh
8.519.169.34
Details
Hype
Prediction
LowEstimatedHigh
571.80573.50575.20
Details
Potential
Annual Dividend
LowForecastedHigh
3.663.703.74
Details
14 Analysts
Consensus
LowTarget PriceHigh
334.52367.60408.04
Details
Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Ameriprise Financial's intrinsic value based on its ongoing forecasts of Ameriprise Financial's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Ameriprise Financial's closest peers.

Ameriprise Financial Cash

4.18 Billion

Ameriprise Valuation Trend

Ameriprise Financial's real value is important for investors to make better decisions and a more accurate overall view of Ameriprise Financial's financial worth over time. Using both Ameriprise Financial's enterprise value as well as its market capitalization is the best way to gauge the value of the company and is usually enough for investors to make market timing conclusions.

Ameriprise Revenue by Product

Ameriprise Financial Total Value Analysis

Ameriprise Financial is presently expected to have company total value of 50.67 B with market capitalization of 55.5 B, debt of 5.75 B, and cash on hands of 6.96 B. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Ameriprise Financial fundamentals before making security assessment based on enterprise value of the company
  Takeover PriceMarket CapDebt ObligationsCash
50.67 B
55.5 B
5.75 B
6.96 B

Ameriprise Financial Investor Information

About 87.0% of the company shares are held by institutions such as insurance companies. The company has Price/Earnings To Growth (PEG) ratio of 1.13. Ameriprise Financial recorded earning per share (EPS) of 26.14. The entity last dividend was issued on the 4th of November 2024. The firm had 2:1 split on the December 28, 2011. Based on the analysis of Ameriprise Financial's profitability, liquidity, and operating efficiency, Ameriprise Financial may be sliding down financialy. It has an above-average probability of going through some form of financial hardship next quarter.
Current ValueLast YearChange From Last Year 10 Year Trend
Operating Profit Margin0.220.21
Sufficiently Up
Slightly volatile
Total Cash From Operating Activities4.9 B4.7 B
Sufficiently Up
Slightly volatile
Operating Income7.5 B7.1 B
Sufficiently Up
Slightly volatile

Ameriprise Financial Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Ameriprise Financial has an asset utilization ratio of 9.19 percent. This connotes that the Company is making $0.0919 for each dollar of assets. An increasing asset utilization means that Ameriprise Financial is more efficient with each dollar of assets it utilizes for everyday operations.
 
Housing Crash
 
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Covid

Ameriprise Financial Ownership Allocation

Ameriprise Financial holds a total of 97.01 Million outstanding shares. The majority of Ameriprise Financial outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to acquire positions in Ameriprise Financial to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Ameriprise Financial. Please pay attention to any change in the institutional holdings of Ameriprise Financial as this could imply that something significant has changed or is about to change at the company. Please note that on August 14, 2024, Representative Greg Landsman of US Congress acquired under $15k worth of Ameriprise Financial's common stock.

Ameriprise Financial Profitability Analysis

The company reported the last year's revenue of 16.1 B. Total Income to common stockholders was 2.56 B with profit before taxes, overhead, and interest of 7.84 B.

Ameriprise Financial Past Distributions to stockholders

About Ameriprise Financial Valuation

The stock valuation mechanism determines Ameriprise Financial's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Ameriprise Financial based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Ameriprise Financial. We calculate exposure to Ameriprise Financial's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Ameriprise Financial's related companies.
Last ReportedProjected for Next Year
Gross Profit9.4 B7.5 B
Pretax Profit Margin 0.20  0.11 
Operating Profit Margin 0.21  0.22 
Net Profit Margin 0.16  0.10 
Gross Profit Margin 0.59  0.65 

Ameriprise Financial Quarterly Retained Earnings

23.79 Billion

Ameriprise Financial's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Ameriprise Financial's value is low or high relative to the company's performance and growth projections. Determining the market value of Ameriprise Financial can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Ameriprise Financial represents a small ownership stake in the entity. As a stockholder of Ameriprise, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

Ameriprise Financial Dividends Analysis For Valuation

At this time, Ameriprise Financial's Dividend Yield is relatively stable compared to the past year. As of 11/25/2024, Dividend Payout Ratio is likely to grow to 0.23, while Dividends Paid is likely to drop slightly above 394.3 M. . At this time, Ameriprise Financial's Retained Earnings are relatively stable compared to the past year. As of 11/25/2024, Price Earnings To Growth Ratio is likely to grow to 1.48, while Retained Earnings Total Equity is likely to drop slightly above 11.9 B.
Last ReportedProjected for Next Year
Dividends Paid550 M394.3 M
Dividend Yield 0.01  0.02 
Dividend Payout Ratio 0.22  0.23 
Dividend Paid And Capex Coverage Ratio 6.38  3.26 
There are various types of dividends Ameriprise Financial can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Ameriprise shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Ameriprise Financial directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Ameriprise pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Ameriprise Financial by the value of the dividends paid out.

Ameriprise Financial Growth Indicators

Investing in growth stocks can be very risky. If the company such as Ameriprise Financial does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Common Stock Shares Outstanding107.8 M
Quarterly Earnings Growth Y O Y-0.386
Forward Price Earnings14.9477

Ameriprise Financial Current Valuation Indicators

Ameriprise Financial's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Ameriprise Financial's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Ameriprise Financial, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Ameriprise Financial's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Ameriprise Financial's worth.

Additional Tools for Ameriprise Stock Analysis

When running Ameriprise Financial's price analysis, check to measure Ameriprise Financial's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Ameriprise Financial is operating at the current time. Most of Ameriprise Financial's value examination focuses on studying past and present price action to predict the probability of Ameriprise Financial's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Ameriprise Financial's price. Additionally, you may evaluate how the addition of Ameriprise Financial to your portfolios can decrease your overall portfolio volatility.