AMP (AMP) AI Stock Analysis

• Market Cap: $3.14B
• Dividend Yield: 1.53%
• Average Volume (3M): 5.15M
• Price to Earnings (P/E): 17.5
• Beta (1Y): 1.32
• Revenue Growth: 19.36%
• EPS Growth: 1261.54%
• Country: AU
• Employees: 2,366
• Sector: Financial
• Sector Strength: 79
• Industry: Asset Management
• EPS (TTM): 0.04
• Shares Outstanding: 2,531,739,700
• 10 Day Avg. Volume: 5,038,920
• 30 Day Avg. Volume: 5,154,868
• PEG Ratio: 2.84
• Price to Book (P/B): 1.02
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 4.55
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $1.37
• Price Target Upside: 10.54% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8

• Rating: 51 Neutral
• Price Target: AU$1.50 ▲(20.97%Upside)

AMP Limited's stock score is primarily influenced by its financial performance, which shows some recovery but is hindered by high leverage and operational challenges. Technical analysis provides mixed signals, and valuation is fair but not overly attractive. The absence of impactful earnings call data or corporate events keeps the focus on fundamental and technical analysis.

Positive Factors

Capital Management

Capital management opportunities outside of dividends provide potential for additional value.

Platform Trends

Stable positive net flows in Platforms with improving trends.

Negative Factors

Bank Performance

The bank appears to be structurally challenged, despite potential to perform better with lower interest rates.

Platform Risk

There is a risk to platform flows due to the sale of the advice business, with uncertainty in markets.

AMP Business Overview & Revenue Model

Company Description

AMP Limited operates as a wealth management company in Australia and internationally. It operates through Australian wealth management (AWM), AMP Bank, AMP Capital, and New Zealand wealth management segments. The AWM segment provides advice, retirement income, and managed investments products, as well as offers superannuation, retirement, and investment solutions; wealth management solutions for retail and corporate; and financial advice and equity investments services. The AMP Bank segment provides residential mortgages, deposits, and transaction banking; and focuses on investing in technology. The AMP Capital segment offers real estate, equities, fixed interest, diversified, multi-manager, and multi-asset funds. The New Zealand wealth management segment provides wealth management solutions, such as KiwiSaver, corporate superannuation, retail investments, and operates wrap investment management platform. AMP Limited was founded in 1849 and is based in Sydney, Australia.

How the Company Makes Money

AMP Limited generates revenue through multiple streams, primarily driven by its wealth management, banking, and investment management services. The wealth management division earns fees and commissions from advising and managing client portfolios, providing superannuation, and retirement products. The banking segment contributes to income via interest earned on loans, mortgages, and other financial products, as well as through transaction fees. Additionally, AMP's investment management services generate income from management fees related to the administration of investment funds. The company also benefits from strategic partnerships and alliances that enhance its product offerings and market reach, further bolstering its earnings.

AMP Financial Statement Overview

Summary

AMP Limited shows signs of recovery with improved net profit margin and free cash flow. However, high leverage and operational inefficiencies persist, along with vulnerabilities in revenue growth and cash flow stability.

Income Statement

AMP Limited's income statement shows fluctuating revenue with a significant decline in recent years. The net profit margin improved from a negative value to a positive 17.52% in 2024, indicating some recovery. However, the EBIT margin dropped to zero, which suggests operational inefficiencies. The gross profit margin remained strong at 100% in 2024, but the revenue growth rate has been negative, reflecting challenges in top-line growth.

Balance Sheet

The balance sheet indicates a high debt-to-equity ratio of 7.86 in 2024, pointing to substantial leverage. The equity ratio remains low at 11.01%, suggesting limited financial cushioning. Although there was a slight increase in stockholders' equity, the high leverage poses a financial risk. Return on equity improved to 4.11% in 2024, reflecting better profitability compared to previous years, but overall stability is a concern.

Cash Flow

AMP's cash flow position shows some improvement with positive free cash flow in 2024. However, the operating cash flow remains volatile, previously showing negative values. The free cash flow growth rate is notable from negative to positive, indicating better cash management. Despite this improvement, the overall cash flow stability is weak due to past negative trends.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
856.00M	2.98B	1.55B	1.65B	2.50B
	Gross Profit
856.00M	2.16B	1.43B	2.25B	2.41B
	EBIT
-141.00M	1.71B	572.00M	15.00M	480.00M
	EBITDA
1.92B	1.11B	547.00M	179.00M	590.00M
	Net Income Common Stockholders
150.00M	265.00M	-16.00M	-252.00M	177.00M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
7.18B	1.44B	1.82B	2.92B	2.43B
	Total Assets
33.16B	33.88B	34.95B	32.20B	32.15B
	Total Debt
28.71B	28.92B	29.53B	26.25B	25.13B
	Net Debt
27.34B	27.48B	27.71B	23.34B	22.70B
	Total Liabilities
29.51B	30.00B	30.77B	28.22B	27.88B
	Stockholders Equity
3.65B	3.87B	4.17B	3.98B	4.27B
Cash Flow		Free Cash Flow
169.00M	-137.00M	933.00M	1.63B	-2.83B
	Operating Cash Flow
216.00M	-105.00M	963.00M	1.68B	-2.74B
	Investing Cash Flow
-478.00M	1.25B	-1.32B	-565.00M	3.21B
	Financing Cash Flow
201.00M	-1.74B	-511.00M	-722.00M	-1.99B

AMP Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.24
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:AMP, the sentiment is Negative. The current price of 1.24 is below the 20-day moving average (MA) of 1.28, above the 50-day MA of 1.24, and below the 200-day MA of 1.40, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 41.42 is Neutral, neither overbought nor oversold. The STOCH value of 25.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:AMP.

AMP Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	64 Neutral	$12.85B	9.81	7.79%	78.20%	12.23%	-7.93%
AMP	51 Neutral	$3.14B	17.49	4.84%	1.53%	19.36%	1261.54%
IOOFF		$1.53B	―	-7.21%	2.65%	―	―
NNA		€849.24M	6.24	23.27%	7.85%	―	―
PVQ		€1.21B	―	-24.47%	6.75%	―	―
PNI	74 Outperform	AU$4.38B	29.97	20.18%	3.24%	36.76%	70.74%
CNI	70 Outperform	AU$1.43B	19.62	4.97%	6.03%	13.48%	-8.15%

AMP Corporate Events

AMP Director Increases Shareholding in Strategic Move

AMP Limited announced a change in the interest of its director, Kathleen Anne Bailey-Lord, who acquired 23,390 ordinary shares, increasing her total holding to 98,701 shares. This transaction, conducted as an on-market trade, reflects a strategic move within the company’s governance structure, potentially impacting shareholder confidence and market perception of AMP’s leadership stability.

Pinnacle Investment Acquires Significant Stake in AMP Limited

Pinnacle Investment Management Group Limited has become a substantial holder in AMP Limited, acquiring a 5.10% voting power through 129,070,526 ordinary fully paid shares. This acquisition marks a significant stake in AMP Limited, potentially influencing the company’s strategic decisions and impacting stakeholders by altering the dynamics of shareholder voting power.

AMP Limited Reports Strong Q1 2025 Cashflows Amid Market Volatility

AMP Limited reported strong growth in its Q1 2025 cashflows, with notable increases in platform net cashflows and a reduction in superannuation and investment outflows. Despite market volatility impacting assets under management, AMP continues to enhance its offerings with new digital solutions and innovative products like the MyNorth Lifetime platform. The company also launched a new digital bank to diversify its funding mix, which has received positive customer feedback. These strategic initiatives aim to strengthen AMP’s market position and drive future growth.

AMP Limited Announces Change in Shareholding Interest

AMP Limited has announced a change in its interest in its own shares, with a slight decrease in the percentage of voting shares it controls. The company’s current interest in its shares is now at 1.04%, down from 1.06% as previously reported. This adjustment reflects changes in the voting power and derivative exposure of AMP’s controlled entities, which may impact the company’s strategic decisions and stakeholder interests.

AMP Limited AGM Results: Strong Shareholder Support for Leadership

AMP Limited held its Annual General Meeting on April 11, 2025, where several resolutions were put to shareholders and successfully carried. The meeting included the re-election of directors and approval of the CEO’s long-term incentive plan, indicating strong shareholder support for the company’s current leadership and strategic direction.

AMP Limited’s Strategic Focus and Resilience Amid Market Volatility

At the 2025 Annual General Meeting, AMP Limited’s Chair highlighted the company’s strategic focus on financial confidence and its successful financial performance in 2024. Despite market volatility due to geopolitical challenges, AMP remains committed to capital management, having returned $1.1 billion to shareholders through dividends and share buybacks. The Board aims to maintain a stable dividend policy and continues to enhance its capabilities in digital transformation and cyber risk, emphasizing diversity and renewal within its leadership.

AMP Limited Announces Cessation of Securities

AMP Limited announced the cessation of 286,099 securities due to the lapse of conditional rights, as the conditions were not met or became incapable of being satisfied. This cessation may impact AMP’s issued capital and could have implications for stakeholders, reflecting on the company’s operational adjustments and market strategies.

State Street Alters Voting Power in AMP Limited

AMP Limited has announced a change in the interests of a substantial holder, with State Street Corporation and its subsidiaries having altered their voting power in the company. This change reflects State Street’s ongoing management of its investment interests, impacting the voting dynamics within AMP Limited and potentially influencing future shareholder decisions.

AMP Limited Announces New Dividend Distribution for AMPPB Security

AMP Limited has announced a new dividend distribution for its security, AMPPB, with a distribution amount of AUD 1.978 per unit. The distribution is related to a quarterly period ending on June 15, 2025, with the record date set for June 6, 2025, and payment to be made on June 16, 2025. This announcement reflects AMP’s ongoing commitment to providing returns to its stakeholders and may influence investor sentiment and market positioning.