Expert Outlook: Ameriprise Finl Through The Eyes Of 4 Analysts

Ratings for Ameriprise Finl AMP were provided by 4 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

Analysts have set 12-month price targets for Ameriprise Finl, revealing an average target of $402.5, a high estimate of $452.00, and a low estimate of $365.00. Surpassing the previous average price target of $362.50, the current average has increased by 11.03%.

Breaking Down Analyst Ratings: A Detailed Examination

An in-depth analysis of recent analyst actions unveils how financial experts perceive Ameriprise Finl. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Ameriprise Finl. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Ameriprise Finl compared to the broader market.
• Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of Ameriprise Finl's stock. This examination reveals shifts in analysts' expectations over time.

Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Ameriprise Finl's market standing. Stay informed and make well-considered decisions with our Ratings Table.

Stay up to date on Ameriprise Finl analyst ratings.

Get to Know Ameriprise Finl Better

Ameriprise Financial has emerged is a major player in the U.S. market for asset and wealth management, with around $1.3 trillion in total assets under management and advisement at the end of the second quarter of 2023. Ameriprise has one of the largest branded advisor networks in the industry, and about 80% of the company's revenue comes from its asset and wealth management segments. Ameriprise has reduced its exposure to insurance with the sale of its auto and home insurance business in 2019 and discontinuing the sale of its proprietary fixed annuities in 2020. Around 90% of the company's pretax earnings are from the United States.

Unraveling the Financial Story of Ameriprise Finl

Market Capitalization Analysis: With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.

Revenue Growth: Over the 3 months period, Ameriprise Finl showcased positive performance, achieving a revenue growth rate of 12.66% as of 30 September, 2023. This reflects a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Financials sector.

Net Margin: Ameriprise Finl's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of 22.22%, the company may encounter challenges in effective cost control.

Return on Equity (ROE): Ameriprise Finl's ROE stands out, surpassing industry averages. With an impressive ROE of 22.06%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Ameriprise Finl's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of 0.52%, the company may encounter challenges in delivering satisfactory returns from its assets.

Debt Management: Ameriprise Finl's debt-to-equity ratio is notably higher than the industry average. With a ratio of 1.56, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

What Are Analyst Ratings?

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

This article was generated by Benzinga's automated content engine and reviewed by an editor.