Why Ameriprise's latest quarter is getting attention
Ameriprise Financial (AMP) just paired a third quarter earnings update that beat analyst expectations on revenue and adjusted profit with a fresh US$5.5b buyback plan running through 2028.
The company reported US$5,191 million in revenue and US$1,126 million in net income for the quarter, alongside a program that authorizes further share repurchases after already buying back 9.47% of its stock since 2025.
Ameriprise Financial's latest update arrived as the share price has slipped roughly 8.8% over the past 90 days, while the stock delivered a 1-year total shareholder return of 11.1% and a 5-year total shareholder return of 74.6%. This suggests that shorter term momentum has cooled, whereas longer term holders have still seen solid value creation.
Scan other wealth and asset managers that are showing similar buyback and earnings momentum with our curated list of 30 high quality undervalued stocks .
Ameriprise Financial now trades at a sizeable discount to both analyst targets and some fair value estimates after that recent pullback. Is the market prudently cautious, or is it mispricing a stock that is buying back heavily?
Most Popular Narrative: 10% Undervalued
Ameriprise Financial closed at $497.90, while the most followed narrative places fair value nearer $554.64. This frames the fresh buyback against a model that uses an 8.07% discount rate and modest growth and margin assumptions.
The practice of returning approximately 85% to 90% of adjusted operating earnings to shareholders over time, as illustrated by capital return of 88% and 91% of operating earnings in Q1 and Q2 2026 and a 6% dividend increase, together with repurchases of 3.3 million shares in the first half of 2026, could continue to support EPS and total shareholder return even if revenue growth moderates.
See why 26 investors see Ameriprise Financial as 10% undervalued .
Result: Fair Value of $554.64 (UNDERVALUED)
Still, adviser attrition and asset outflows, including lost client assets from relationships such as Comerica, could pressure Ameriprise Financial's fee base and challenge the bullish thesis.
Find out about the key risks to this Ameriprise Financial narrative .
Next Steps
If the mix of buybacks, valuation estimates and fee pressure around Ameriprise Financial feels finely balanced, treat that as your cue to look under the hood yourself and move quickly while sentiment is split. To see how those trade offs show up in the data, including both the concerns and the potential upside, take a direct look at the 5 key rewards and 1 important warning sign .
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This article by Simply Wall St is general in nature. We provide commentary 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. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include AMP .
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