Last updated: Jan 08, '18

The analysis below may be helpful to you if you have any of the following questions about AMP stock:

  • Is AMP a buy or a sell?
  • Should I sell or hold AMP stock today?
  • Is AMP a good buy / a good investment?
  • What are AMP analyst opinions, recommendations, ratings?

Here are AMP stock buy reasons/signals:

1. The acquisition of Columbia Asset Management doubled Ameriprise's assets under management and administration, further increasing the size and scale of its asset management operations.

2. The advisory and wealth management unit offers quality service and product expertise to its affluent clientele and has one of the best retention rates in the industry.

3. A two-pillar model allows Ameriprise to enjoy attractive returns from its asset management business and stable cash flows from its insurance operations.

4. AMP forward dividend yield is 1.96%, higher than the industry (1.54%) and sector (1.27%) forward dividend yields.

5. AMP PEG ratio (P/E adjusted for growth) is 0.95, and it’s low compared to its industry peers’ PEG ratios.

6. AMP average analyst rating is Buy.

Here are AMP stock sell reasons/signals:

1. The life insurance business is a commodity business that suffers from poor industry dynamics.

2. The company's investment portfolio has a larger-than-average commitment to mortgage-backed and asset-backed securities.

3. Ameriprise's wide use of independent advisors means the company has no direct control over customers, making it vulnerable to competitors.

4. AMP stock price ($172.05) is close to the 52-week high ($172.13). Perhaps now is a good time to sell?

5. AMP quarterly revenue growth was -0.60%, lower than the industry and sector average revenue growth (6.53% and 6.91%, respectively).

6. AMP profitability is declining. The YoY profit margin change was -1.61pp.

7. AMP average analyst price target ($160.40) is below its current price ($172.05).

What are your thoughts on AMP?

If you liked this analysis, check out Buy or Sell Stock Guides for other stocks.

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