Fort Point Capital Partners LLC has significantly reduced its stake in Ameriprise Financial, Inc. (NYSE: AMP), selling 1,605 shares during the third quarter of 2023. This sale represents a 50.1% decrease in the fund’s holdings, bringing its total ownership to 1,601 shares, valued at approximately $787,000, according to the latest Form 13F filing with the Securities and Exchange Commission.
A number of other institutional investors have also adjusted their positions in Ameriprise Financial. Notably, Norges Bank acquired a new stake in the company during the second quarter, valued at around $693.7 million. Meanwhile, JPMorgan Chase & Co. increased its holdings by 7.7%, now owning 6,270,995 shares worth approximately $3.35 billion after purchasing an additional 446,080 shares.
In a notable surge, Man Group plc raised its position in Ameriprise Financial by an impressive 687.4% in the third quarter, acquiring 276,822 shares valued at $136 million. Federated Hermes Inc. also increased its stake by 29.3%, bringing its total to 966,163 shares worth nearly $475 million. Close Asset Management Ltd. lifted its stake by 78.2%, now owning 463,149 shares valued at about $228 million. Collectively, these hedge funds and institutional investors control 83.95% of Ameriprise Financial’s stock.
In related insider trading news, Chief Financial Officer Walter Stanley Berman sold 7,000 shares on February 5, 2024, at an average price of $544.22, totaling $3.81 million. This transaction reduced his ownership to 5,609 shares, valued at roughly $3.05 million, reflecting a decrease of 55.52%. Additionally, CEO William F. Truscott sold 5,000 shares on February 10, 2024, at an average price of $532.08, amounting to $2.66 million. Following the sale, Truscott retained 12,149 shares, valued at approximately $6.46 million, which is a 29.16% reduction in his ownership.
Over the past 90 days, company insiders have sold a total of 16,658 shares, valued at nearly $9 million. Currently, insiders hold 0.57% of the company’s stock.
Ameriprise Financial’s Recent Performance
Ameriprise Financial recently reported its quarterly earnings on January 29, 2024. The company announced earnings per share of $10.83, surpassing analysts’ expectations of $10.33 by $0.50. Revenue for the quarter reached $4.92 billion, exceeding the consensus estimate of $4.75 billion. Ameriprise demonstrated a net margin of 19.28% and a return on equity of 63.04%. Revenue increased by 10.2% compared to the same quarter last year, when the firm reported earnings of $9.54 per share.
Analysts project that Ameriprise Financial will post an earnings per share figure of $38.64 for the current year.
Dividend and Analyst Ratings
The company has also declared a quarterly dividend of $1.60 per share, which was paid on February 27, 2024. Shareholders of record as of February 9, 2024 received this dividend, marking an annualized total of $6.40 and a yield of 1.4%. The payout ratio stands at 17.60%.
Several analysts have recently updated their ratings on Ameriprise shares. Piper Sandler upgraded the company from an “underweight” to a “neutral” rating, increasing the target price from $434.00 to $530.00 as of January 30, 2024. Raymond James set a price target of $582.00 and assigned a “strong-buy” rating on February 11, 2024. Weiss Ratings reaffirmed a “buy (B-)” rating, while Morgan Stanley raised its price objective slightly from $484.00 to $485.00. Royal Bank of Canada also reiterated an “outperform” rating, adjusting its target price to $605.00, up from $580.00.
Currently, one analyst rates the stock as a Strong Buy, four as Buy, five as Hold, and one as Sell. The consensus rating remains “Hold” with an average target price of $555.67, according to MarketBeat.com.
Ameriprise Financial, based in Minneapolis, Minnesota, offers a diverse array of financial services, including wealth management, asset management, and insurance products. The firm focuses on providing tailored financial planning and investment advice through its network of financial advisors, catering to both individual and institutional clients.
