- Ameriprise 1Q net revenue beat estimates, coming in at $4.15 billion against an estimate of $4.1 billion.
- Assets under management were $1.13 trillion, slightly lower than the estimated $1.14 trillion.
- Advice & Wealth Management AUM was at $518.08 billion, less than the estimated $526.35 billion.
- The firm’s Asset Management assets under management were also reported to be $652.08 billion, lower than the estimated $654.25 billion.
- A significant jump in adjusted operating EPS was observed at $8.39.
- Advice & Wealth Management net revenue was $2.56 billion.
- Retirement & Protection Solutions brought in net revenue of $912 million, surpassing the estimate of $889.4 million.
- Asset management net revenue was $855 million, slightly lower than the estimated $862.6 million.
- Pretax operating earnings via Asset Management adjusted were $206 million, surpassing the estimate of $205.5 million.
- Advice and Wealth Management brought in adjusted pretax operating earnings of $762 million, slightly lower than the estimated $764.6 million.
- The total number of financial advisors was 10,364, a bit lower than the anticipated 10,396.
- Adjusted operating return on equity, ex AOCI, was reported as 49%, slightly lower than the estimated 49.6%.
- Advice & Wealth Management saw new flows of +$6.52 billion, exceeding the estimate of +$5.99 billion.
- The company expects a mid-single digit growth in general and administrative expenses for the entire year.
- The company’s stock rating report is mixed with 8 buys, 6 holds and 1 sell.
Ameriprise Financial on Smartkarma
Analyst coverage of Ameriprise Financial on Smartkarma showcases positive sentiment from Baptista Research. In their research report titled “Ameriprise Financial Inc.: Wealth Management Wins & Other Key Factors Catalyzing Growth! – Financial Forecasts,” Ameriprise Financial is highlighted for exceeding revenue and earnings expectations. Despite external challenges, the company has demonstrated strong guidance to clients, resulting in favorable outcomes. With $587 billion in assets under management in the Asset Management segment, Ameriprise is focused on enhancing flows and investment performance.
A look at Ameriprise Financial Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 2 | |
| Growth | 4 | |
| Resilience | 4 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
The long-term outlook for Ameriprise Financial looks promising based on the Smartkarma Smart Scores. With a strong Growth, Resilience, and Momentum score of 4 each, Ameriprise Financial is positioned well for future success and expansion. This indicates that the company is expected to experience solid growth, demonstrate resilience in challenging market conditions, and maintain positive momentum in its operations.
While the Value and Dividend scores are moderate at 2, Ameriprise Financial still shows potential for value appreciation and steady dividend payouts. Overall, Ameriprise Financial presents a balanced profile with a focus on sustainable growth, operational strength, and shareholder returns, making it an attractive prospect for investors seeking long-term stability and performance.
Summary: Ameriprise Financial, Inc. is a financial planning and services firm that offers comprehensive solutions for clients’ financial needs, including cash management, asset accumulation, income planning, protection, and estate and wealth transfer. With favorable Smart Scores in Growth, Resilience, and Momentum, Ameriprise Financial is poised for continued success in the long term.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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