Should I Buy AMP Stock in 2025? South Africa Investor Guide

What is AMP?

How much is the AMP stock?

The price of AMP stock is declining this week. Currently, AMP is trading at $509.92, reflecting a slight 24-hour drop of -0.04%. The weekly performance data is not specifically available, but the stock maintains a market capitalization of $48.57 billion and an average daily volume of 535,311 shares over the past three months.

The P/E ratio stands at 17.33, with a dividend yield of 1.25%, and a beta of 1.27, indicating moderate volatility.

Investors in South Africa should note that while the stock shows resilience and solid fundamentals, its moderate volatility suggests potential price swings in line with broader market movements.

Our full analysis on AMP stock

Having thoroughly reviewed Ameriprise Financial (AMP)'s latest quarterly earnings, assessed its multi-year share price evolution, and synthesised proprietary insights from advanced financial, technical, and peer-competitive algorithms, the case for a bullish stance on AMP has grown increasingly compelling. With a robust operational trajectory and clear outperformance against consensus, AMP’s combination of fundamentals and technical structure signals renewed investor confidence. So, why might AMP stock once again become a strategic entry point into the global asset management sector in 2025?

Recent Performance and Market Context

Ameriprise Financial has delivered a stellar performance over the past year, outpacing both its sector and many broad market indices. As of 30 May 2025, AMP trades at $509.92, after a modest -0.04% daily move but a significant one-year gain of +19.15%. Notably, the past six months have seen a temporary correction (-11.16%), reflecting sector-wide volatility rather than company-specific weaknesses. This pullback followed the stock’s previous high of $582.05, positioning the current valuation nearer to support levels and setting the stage for a renewed upward move.

The broader financial services landscape remains constructive. As persistent inflationary concerns ease and global interest rates stabilise, asset and wealth management firms are experiencing a stronger flow of client assets. Regulatory backdrops in North America and Europe are largely favourable, promoting transparency and competitive practices. In this environment, Ameriprise’s business model—anchored by recurring fee-based revenue and scale-driven operational leverage—positions it advantageously.

Critical recent events underpin this favourable context:

• Q1 2025 earnings surpassed consensus, catalysing renewed optimism among analysts.
• The firm’s wealth management division reported robust net asset inflows, validating client trust in turbulent periods.
• Strategic focus on core US and global asset management businesses minimised exposure to legacy insurance risks.
• Enhanced global positioning via accretive acquisitions (e.g., Columbia Management, BMO’s EMEA operations) have expanded both reach and AUM, further strengthening future earnings resilience.

Technical Analysis

A close examination of AMP’s chart reveals an increasingly attractive technical setup:

• Momentum Indicators:
• RSI (14) at 56.33 implies healthy, non-overheated momentum.
• MACD (12,26,9) at 9.64 delivers a clear buy signal.
• Williams %R at -35.49 and ADX at 17.38 both confirm strengthening bullish momentum, while tempering against overextension risk.
• Moving Averages:
• Short-term (20-day) and medium-term (50-day, 100-day) moving averages have recently converged, with the current price sitting above all major exponential and simple averages ($503-505 range). These crossovers typically precede more pronounced upside.
• The 200-day MA serves as strong technical support at $501.25, suggesting robust investor interest on any dip.
• Support & Resistance:
• Key support: $501.76—recently tested, and holding firm.
• Pivotal resistance: $524.16—should a breakout occur, technical projections allow for a rapid run toward higher consensus targets.
• Overall technical consensus is skewed bullish, with 13 out of 22 surveyed technical models issuing ‘buy’ ratings and only four registering as ‘bearish’.

Current structure highlights a security consolidating at a higher low, rarely an accident: such base-building often precedes new uptrends, particularly when reinforced by fundamental catalysts.

Fundamental Analysis

Ameriprise’s underlying drivers remain world-class:

• Revenue and Profitability:
• Trailing-twelve-month (TTM) revenue stands at $18.08 billion, with net income of $2.99 billion and an industry-leading profit margin of 16.56%.
• Adjusted Q1 2025 EPS hit $9.50 (up 13% y/y), outpacing analyst forecasts—underscoring a management team adept at driving operational leverage in both up and down markets.
• Return on Equity (ROE) is an exceptional 58.11%, a testament to efficient capital allocation and strong returns for shareholders.
• Valuation:
• With a TTM P/E ratio of 17.33, AMP sits at an attractive discount to many pure-play asset managers, considering its superior profit metrics.
• The PEG and price-to-sales multiples remain justified by anticipated double-digit earnings growth and above-average sector ROEs.
• Dividend yield (1.25%) is moderate but sustainable, balancing shareholder returns with strategic growth investments.
• Structural Strengths:
• Scale matters, and AMP now commands approximately $1.5 trillion in AUM and administration.
• The company operates one of the largest branded advisor networks globally (about 10,500).
• The revenue mix—roughly 80% from asset/wealth management—ensures a recurring, highly predictable income stream, decreasing earnings volatility.
• Strategic M&A, notably Columbia Management and BMO EMEA, have substantially expanded its addressable market, improving both cross-cycle resilience and growth runway.

In sum, these characteristics collectively underline an organisation not only well-positioned, but arguably underappreciated relative to larger global peers.

Volume and Liquidity

Trading volume consistently signals market confidence:

• AMP averages over 535,000 shares traded daily (3-month average), delivering consistently deep and efficient liquidity for both institutional and retail participants.
• Market cap at $48.57 billion reflects its blue-chip status in the sector; current float and share structure maintain the conditions necessary for ongoing valuation dynamism.
• The sustained, healthy liquidity profile suggests AMP is less prone to erratic moves, offering a measure of stability during market rotations and supporting efficient execution strategies for ZA-based investors looking to participate via global brokerage platforms.

Catalysts and Positive Outlook

Several bullish catalysts favour an optimistic medium-term outlook:

• Strategic Product Expansion: AMP’s shift toward fee-based financial advice and portfolio solutions answers clear demand trends in global wealth management.
• M&A Integration and Globalisation: Past acquisitions’ accretive effects are still playing out through cost, technology, and distribution synergies. Future bolt-on deals remain possible, leveraging the company’s strong balance sheet ($7.98B in cash).
• ESG and Digital Initiatives: AMP has doubled down on digital platforms and ESG offerings, catering to a new generation of investors while sustaining regulatory compliance.
• Sector Tailwinds: As baby boomers retire and transfer wealth, demand for trusted, scale players in asset/wealth management accelerates—Ameriprise’s focus squarely aligns with this demographic supercycle.
• Favourable Regulatory/Interest Rate Environment: Gradual rate normalisation and more transparent fee models in developed markets support continued margin expansion.

These drivers—when combined with heightened earnings visibility and near-term upside to consensus price targets ($522 average, $663 bullish scenario)—suggest AMP could be entering a new upcycle.

Investment Strategies

Several entry strategies seem supported by current price structure and news flow:

• Short-Term: The consolidation just above multi-month support ($501-503) provides an attractive technical base for tactical traders seeking a reversal toward resistance ($524+).
• Medium-Term: Bulls may accumulate on modest pullbacks toward the 50- and 100-day averages, aiming for an initial move to re-test recent highs near $582 and, ultimately, higher median analyst targets.
• Long-Term: Investors prioritising compounding can leverage AMP’s rare combination of recurring revenue and strong capital stewardship, with additional upside tied to global expansion and continued industry consolidation.
• ZA Perspective: Given rand volatility and South Africa’s increasing appetite for offshore exposure, AMP serves as a high-quality, “currency hedge” play anchored in developed market growth.

Timing appears particularly favourable with momentum stabilising and significant catalysts ahead (next earnings, further integration of acquired assets, strategic product launches).

Is It the Right Time to Buy AMP?

In summary, Ameriprise Financial demonstrates a rare confluence of strengths: double-digit earnings growth, a fortress balance sheet, one of the industry’s broadest advisor platforms, and a track record of value accretive expansion. Recent earnings beats and strong technical underpinnings point to an inflection in market sentiment, while the share price’s current pullback offers a potentially attractive entry around major support.

The structural advantages—recurring revenues, diversified product set, and strategic global positioning—form a compelling base for medium- and long-term capital appreciation. With consensus price targets substantially above the current trading level and volumes confirming strong investor interest, AMP stock seems to represent an excellent opportunity for those seeking to reposition or add exposure to a leading global asset management franchise.

For investors in South Africa looking to participate in resilient, developed-market growth stories, Ameriprise Financial may be entering a new bullish phase—supported by both the numbers and the narrative—making a strong case for renewed portfolio consideration at this juncture.

AMP’s impressive operational execution, attractive valuation, and positive technical dynamics combine to build a conviction case for strategic entry as the company embarks on its next growth cycle.

How to buy AMP stock in South Africa?

Buying AMP (Ameriprise Financial) stock online is straightforward and secure when you use a regulated broker in South Africa. Investors typically choose between two main methods: buying real shares ("spot buying") or trading Contracts for Difference (CFDs), which allow speculation on price movements without holding the shares. Both paths can be managed entirely online, often through user-friendly platforms. Next, we’ll walk you through each method and show how they work in practice, before guiding you to the broker comparison table further down this page.

Spot Buying

Spot buying means you become the legal owner of genuine AMP shares, with your holdings recorded in your broker account. You can hold these shares for as long as you wish, benefit from potential dividends, and access full voting rights if issued. In South Africa, brokers that provide access to US stocks usually charge a fixed commission per order—typically around R100–R150 (roughly $5–$8 USD), plus a conversion fee if you fund your account in rand.

Example

If the AMP share price is $509.92 and the rand/dollar rate is R18/USD, with a $1,000 deposit, you could buy about 1.95 shares ($1,000/$509.92), factoring in a $5 commission, leaving $995 for the shares. That’s about 1.95 shares in total.

• ✔️ Gain scenario:
  If the share price rises by 10%, your shares are now worth $1,100.
  Result: +$100 gross gain, i.e., +10% on your investment.

Trading via CFD

CFD trading lets you speculate on the AMP share price without owning the shares, using leverage to magnify your exposure. With CFDs, your fees are mostly the spread (the small difference between the buy/sell price) and an overnight financing charge if you keep positions open beyond one day. Leverage allows you to control a larger position with a smaller deposit.

Example

You open a CFD position on AMP shares with $1,000 and 5x leverage, meaning your actual market exposure is $5,000. If the AMP price moves up by 8%:

• ✔️ Gain scenario:
  Your position earns 8% × 5 = 40%.
  Result: +$400 gain on a $1,000 stake (excluding fees).

CFD trading is best for short- to medium-term strategies, as overnight fees can reduce long-term returns. Always be aware of the higher risks from leverage.

Final Advice

Before you start, carefully compare broker fees, account types and currency conversion rates—these can all impact your returns. Ultimately, the right choice depends on your goals: buy-and-hold investors may prefer spot buying, while active traders might favour CFDs for increased flexibility. Our broker comparison table below will help you pinpoint the platform that best suits your needs. Happy investing!

Our 7 tips for buying AMP stock

The latest news about AMP

Ameriprise Financial beat Q1 2025 analyst earnings estimates, posting 13% growth in adjusted operating EPS. On May 30, 2025, Ameriprise reported an adjusted operating earnings per share of $9.50, significantly above consensus expectations of $9.08–$9.14 and up from $8.39 a year earlier. This result reflects robust underlying momentum in Ameriprise’s core businesses and is indicative of its ability to generate consistent profit growth even in challenging market conditions. Such performance not only reassures existing shareholders but is likely to attract international institutional interest from regions like South Africa, where asset managers seek reliable global partners.

Technical indicators and global sentiment present a bullish outlook for AMP, with consensus ‘Buy’ signals prevailing across key momentum metrics. As of May 30, technical analysis shows numerous buy signals: the 20-, 50-, 100-, and 200-day moving averages all trend positively, while the MACD, Williams %R, and ADX further validate upside momentum. Thirteen technical indicators on aggregate rate the stock as bullish, and the consensus analyst price target remains moderately above the current level at $522, with upside projections calculated at over $600. For South African wealth managers and portfolio allocators, these signals are particularly relevant when seeking to diversify offshore allocations into established, growth-oriented US financial stocks.

AMP’s wealth and asset management divisions, which drive over 80% of revenues, are achieving strong organic and strategic growth, underpinning long-term value. The first quarter’s performance was led by improved operational efficiency, asset growth, and a 17% rise in pretax operating earnings within the asset management segment. With approximately $1.5 trillion in assets under management and administration, Ameriprise’s advisor network also remains one of the largest globally. For South African pension funds and institutional investors, this stability and global scale are attractive, especially as local retirement schemes increasingly require globally diversified products often managed by companies like AMP.

Ameriprise maintains superior financial fundamentals, including a 58.11% return on equity and healthy profitability metrics. Latest figures reveal high profitability with a 16.56% margin and a robust balance sheet supported by $7.98 billion in cash. Market capitalization stands at $48.57 billion, while moderate leverage and continued operational strength mitigate downside risks. Such fundamentals are key differentiators for foreign investors in SA evaluating global financial equities for resilience and capital efficiency.

AMP’s international reach, progressive acquisition strategy, and global distribution partnerships enhance its relevance for South African allocators and multi-asset strategies. While Ameriprise does not operate direct retail channels in South Africa, its asset management products (notably via Columbia Threadneedle) are distributed on local investment platforms and used by SA asset consultants. The company’s international acquisitions—particularly in Europe and EMEA—expand access for South African investors to strategies that can be integrated into domestic portfolios, supporting both regulatory diversification requirements and demand for US-dollar-denominated offshore investments.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.