Ameriprise Financial Inc. Fourth Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component Ameriprise Financial, Inc. (NYSE:AMP) will unveil its latest earnings on Wednesday, February 1, 2012. Ameriprise Financial provides financial planning, products, and services through its subsidiaries. The company offers solutions for its clients’ cash and liquidity, asset accumulation, income protection, and estate and wealth transfer needs.

Ameriprise Financial, Inc. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of $1.36 per share, a rise of 12.4% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved down from $1.38. Between one and three months ago, the average estimate moved down. It has been unchanged at $1.36 during the last month. Analysts are projecting profit to rise by 13% versus last year to $5.05.

Past Earnings Performance: The company is looking to top analyst estimates this quarter after trailing for the two previous quarters. Last quarter, it missed estimates by reporting profit of $1.04 per share against an estimate of net income of $1.22 per share. The quarter before that, it missed expectations by 2 cents.

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Wall St. Revenue Expectations: On average, analysts predict $2.53 billion in revenue this quarter, a decline of 3.8% from the year ago quarter. Analysts are forecasting total revenue of $10.2 billion for the year, a rise of 6.5% from last year’s revenue of $9.58 billion.

Analyst Ratings: Analysts are bullish on this stock with nine analysts rating it as a buy, none rating it as a sell and two rating it as a hold.

A Look Back: In the third quarter, profit fell 20.6% to $273 million ($1.13 a share) from $344 million ($1.32 a share) the year earlier, missing analyst expectations. Revenue was unchanged at $2.47 billion.

Key Stats:

The decrease in profit in the third quarter broke a streak of three consecutive quarters of year-over-year profit increases. Net income rose 19.3% in the second quarter, 12.6% in the first quarter and 18.1% in the fourth quarter of the last fiscal year.

Revenue has risen the past four quarters. Revenue rose 1.4% in the second quarter from the year earlier, climbed 15.8% in the first quarter from the year-ago quarter and 16.1% in the fourth quarter of the last fiscal year.

Competitors to Watch: Financial Engines Inc (NASDAQ:FNGN), Oppenheimer Hldgs. Inc. (NYSE:OPY), Raymond James Financial, Inc. (NYSE:RJF), LPL Investment Hldgs. Inc. (NASDAQ:LPLA), Principal Financial Group, Inc. (NYSE:PFG), Stifel Financial Corp. (NYSE:SF), Prudential Financial, Inc. (NYSE:PRU), MetLife, Inc. (NYSE:MET), Bank of America Corp. (NYSE:BAC), and TD Ameritrade Holding Corp. (NASDAQ:AMTD).

Stock Price Performance: During November 28, 2011 to January 26, 2012, the stock price had risen $11.65 (27.1%) from $43.03 to $54.68. The stock price saw one of its best stretches over the last year between March 22, 2011 and March 30, 2011 when shares rose for seven-straight days, rising 3.2% (+$1.88) over that span. It saw one of its worst periods between July 29, 2011 and August 8, 2011 when shares fell for seven-straight days, falling 23.3% (-$12.46) over that span.

(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

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