Ameriprise Financial's Excess Returns model estimates the company's intrinsic value substantially above its current share price of US$500.51, suggesting the stock may be 42% undervalued despite a new US$5.5 billion share repurchase authorization. The model uses a Book Value of $71.97 per share and a Stable Book Value of $95.98 per share, with a Stable EPS of $51.87 per share, a Cost of Equity of $8.97 per share, and an Excess Return of $42.91 per share. That implies an Average Return on Equity of 54.05%, far above the model's required return. The buyback authorization signals management is prepared to commit significant capital to repurchasing equity. A top community narrative on Simply Wall St values Ameriprise Financial at 14% undervalued, citing a continued shift in its Advice & Wealth Management mix toward durable fee-based earnings.
Ameriprise Financial IncExcess Returns model estimates Ameriprise 42% undervalued and the new $5.5B buyback authorization signals significant capital committed to repurchasing equity.
CTBC Financial Holding Co Ltd