Market Overview - U.S. stocks ended nearly flat on Friday, with all three major indexes posting losses for the week as the fourth-quarter earnings season began [9][10] - The S&P 500 was down 0.38% for the week, the Nasdaq declined 0.66%, and the Dow fell 0.29% [5][10] Sector Performance - Healthcare sector fell 0.8%, leading declines among S&P 500 sectors [10] - Shares of chipmakers rose, with the semiconductor index gaining 1.2% [10] - The financial sector ended up 0.1% on Friday but experienced its largest weekly percentage decline since October due to concerns over a proposed cap on credit card interest rates [10] Earnings Season Insights - Big U.S. banks reported mostly solid results, indicating a generally favorable economic backdrop [4][10] - Upcoming earnings reports from major companies like Netflix, Johnson & Johnson, and Intel are anticipated to provide further insights into fundamental conditions [5][10] Market Dynamics - Investors showed caution ahead of the long weekend, with the stock market closed on Monday [6][10] - There was a shift of money from heavyweight tech stocks to more undervalued areas, with mid- and small-cap stocks outperforming the S&P 500 [7][10] - The small-cap Russell 2000 reached a record closing high, gaining 2.04% for the week [7][10] Trading Activity - Declining issues outnumbered advancers by a 1.19-to-1 ratio on the NYSE, with 423 new highs and 64 new lows [8][10] - On the Nasdaq, 2,034 stocks rose while 2,719 fell, resulting in a 1.34-to-1 ratio of declining issues to advancers [9][10] - U.S. exchanges saw a trading volume of 18.77 billion shares, above the 20-day average of 16.85 billion shares [9][10]

Core Viewpoint - Zacks Premium provides various tools and resources to help investors make informed decisions and maximize their stock market investments Group 1: Zacks Style Scores - Zacks Style Scores are indicators that rate stocks based on value, growth, and momentum methodologies, aiding investors in selecting stocks likely to outperform the market in the next 30 days [3] - Each stock receives an alphabetic rating from A to F, with A indicating the highest potential for outperformance [4] - The Style Scores are categorized into four types: Value Score, Growth Score, Momentum Score, and VGM Score, which combines all three styles [4][5][6][7] Group 2: Zacks Rank - The Zacks Rank is a proprietary model that uses earnings estimate revisions to assist investors in building successful portfolios [8] - Stocks rated 1 (Strong Buy) have historically produced an average annual return of +23.9% since 1988, significantly outperforming the S&P 500 [9] - To optimize returns, investors should focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B [10] Group 3: Company Spotlight - Ameriprise Financial Services - Ameriprise Financial, headquartered in Minneapolis, has total assets under management of $1.66 trillion as of September 30, 2025 [12] - The company holds a Zacks Rank of 3 (Hold) and a VGM Score of A, indicating solid performance potential [12] - Ameriprise has a Value Style Score of A, with a forward P/E ratio of 12.2, and has seen positive earnings estimate revisions, increasing the Zacks Consensus Estimate by $0.35 to $38.75 per share [13]

Core Thesis - Ameriprise Financial, Inc. is positioned as a leading wealth management and financial services firm in the U.S., with a strong focus on comprehensive advisory and asset management solutions [2][3] Business Model - The company's business model integrates advisory, asset management, and insurance solutions, allowing clients to access a full suite of financial services [2] - 60% of Ameriprise's revenue is derived from its wealth management segment, which has historically driven earnings growth [3] - Growth is supported by rising assets under management (AUM), increased adoption of new products, and an expanding client base, rather than solely relying on advisor headcount growth [3] Financial Performance - Ameriprise has achieved a return on equity of 59.6% and a three-year EPS growth rate of 15% [4] - The current P/E ratio stands at 12.4, with EBITDA growth of 8% bolstered by share repurchases [4] Market Position and Strategy - The transition to a wrap-fee advisory model aligns advisor and client interests, which helps mitigate risks associated with industry trends toward passive investing [4] - The company leverages its integrated service offering and independent advisor model to capture underserved clients and adapt to industry shifts [5] Investment Outlook - Ameriprise is viewed as a well-run, high-quality compounder with resilient growth and modest current undervaluation, making it an attractive long-term investment [5]

Core Insights - Artificial intelligence (AI) is identified as the greatest investment opportunity of the current era, with a strong emphasis on the urgency to invest now [1][13] - The energy demands of AI technologies are significant, with data centers consuming as much energy as small cities, leading to concerns about power grid capacity and rising electricity prices [2][3] Investment Opportunity - A specific company is highlighted as a critical player in the AI energy sector, owning essential energy infrastructure assets that are poised to benefit from the increasing energy demands of AI [3][7] - This company is not a chipmaker or cloud platform but is positioned as a "toll booth" operator in the AI energy boom, collecting fees from energy exports [5][6] Financial Position - The company is noted for being debt-free and holding a substantial cash reserve, which is nearly one-third of its market capitalization, providing a strong financial foundation [8][10] - It is trading at less than 7 times earnings, indicating a potentially undervalued investment opportunity compared to its peers in the energy and utility sectors [10][12] Market Trends - The company is strategically aligned with several market trends, including the onshoring boom driven by tariffs, a surge in U.S. LNG exports, and a unique position in nuclear energy [14][6] - The influx of talent into the AI sector is expected to drive continuous innovation and advancements, further solidifying the importance of investing in AI-related infrastructure [12][11]

Core Viewpoint - Ameriprise Financial, Inc. is set to release its fourth quarter 2025 results on January 29, 2026, at 6:30 a.m. (ET) and will host an investor conference call at 8:00 a.m. (ET) on the same day [1] Group 1 - The company has been providing financial confidence for over 130 years [2] - Ameriprise offers extensive investment advice, global asset management capabilities, and insurance solutions [2] - The company has a nationwide network of more than 10,000 financial advisors [2]

Core Insights - Ameriprise Financial, Inc. was recognized as the highest ranked diversified financial services firm on TIME's list of "America's Most Iconic Companies" for 2026, reflecting its enduring legacy and industry leadership [1] - The recognition emphasizes the positive impact of Ameriprise on clients, advisors, employees, and communities [1] - Jim Cracchiolo, Chairman and CEO of Ameriprise Financial, expressed honor in receiving this prestigious recognition [1]

Core Insights - Loveday Caruso Wealth Management Group has transitioned to the independent channel of Ameriprise Financial, Inc. from LPL Financial, bringing with them $120 million in assets [1] Group 1 - The practice is based in Littleton, Colorado, and is led by private wealth advisor Sean Loveday, along with financial advisor Sarah Caruso and administrative assistant Lori O'Halloran [1] - The decision to join Ameriprise was motivated by a commitment to enhancing their services [1]

Core Viewpoint - Ameriprise Financial, Inc. is poised for growth with optimistic earnings projections ahead of its fourth-quarter results for fiscal 2025, despite recent stock underperformance compared to the broader market and its sector [2][3][4]. Financial Performance - The company is expected to report a profit of $10.33 per share for Q4, reflecting a 10.4% year-over-year increase [3]. - For the full fiscal year 2025, analysts anticipate a diluted EPS growth of 12.8% to $38.75, followed by a 7.5% increase to $41.64 in fiscal 2026 [3]. - Ameriprise's adjusted operating net revenues for Q3 were $4.61 billion, a 6% year-over-year growth, exceeding analyst expectations of $4.52 billion [6]. - The adjusted EPS for Q3 was $9.92, up 12% year-over-year, surpassing the expected $9.60 [7]. Market Performance - Over the past 52 weeks, Ameriprise's stock has declined by 5.8%, and by 7.2% over the past six months, underperforming the S&P 500 Index, which increased by 17.1% and 11.1% respectively [4]. - Compared to its sector, represented by the State Street Financial Select Sector SPDR ETF, which gained 15.1% over the past 52 weeks and 5.6% over the past six months, Ameriprise has also underperformed [5]. Assets Under Management - Ameriprise reported a record high of $1.70 trillion in assets under management, administration, and advisement, marking an 8% increase [7].

Core Insights - Zacks Premium offers tools for investors to enhance their stock market strategies, including daily updates, research reports, and stock screens [1] - The Zacks Style Scores provide a framework for evaluating stocks based on value, growth, and momentum characteristics, aiding investors in selecting securities likely to outperform the market [2] Zacks Style Scores Overview - Stocks are rated A, B, C, D, or F based on their value, growth, and momentum, with higher scores indicating a better chance of outperforming the market [3] - The Value Score focuses on identifying undervalued stocks using financial ratios like P/E and Price/Sales [3] - The Growth Score emphasizes a company's financial health and future growth potential, analyzing projected and historical earnings and cash flow [4] - The Momentum Score assesses trends in stock prices and earnings estimates to identify favorable investment opportunities [5] - The VGM Score combines all three Style Scores, providing a comprehensive indicator for investors seeking attractive value, growth, and momentum [6] Integration with Zacks Rank - The Zacks Rank utilizes earnings estimate revisions to help investors build successful portfolios, with 1 (Strong Buy) stocks achieving an average annual return of +23.9% since 1988 [7] - There are typically over 800 stocks rated 1 or 2, making it essential for investors to use Style Scores to narrow down choices [8] - For optimal returns, stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B are recommended, while 3 (Hold) stocks should also have A or B scores for potential upside [9] - Stocks rated 4 (Sell) or 5 (Strong Sell) should be avoided, even if they have high Style Scores, due to negative earnings outlooks [10] Company Spotlight: Ameriprise Financial Services - Ameriprise Financial, headquartered in Minneapolis, has total assets under management of $1.66 trillion as of September 30, 2025 [11] - The company holds a Zacks Rank of 3 (Hold) and a VGM Score of A, making it a potential candidate for growth investors [12] - Ameriprise is forecasted to achieve year-over-year earnings growth of 12.8% for the current fiscal year, with recent earnings estimates revised upward [12]

Core Insights - Artificial intelligence (AI) is identified as the greatest investment opportunity of the current era, with a strong emphasis on the urgent need for energy to support its growth [1][2][3] Group 1: AI and Energy Demand - AI technologies, particularly large language models like ChatGPT, are extremely energy-intensive, with data centers consuming as much energy as small cities [2] - The increasing demand for AI is straining global power grids, leading to rising electricity prices and a need for utilities to expand capacity [2] - Industry leaders, including Sam Altman and Elon Musk, have highlighted the critical link between AI development and energy availability, warning of potential shortages [2] Group 2: Investment Opportunity - A specific company is positioned as a key player in the AI energy sector, owning critical energy infrastructure assets that will benefit from the anticipated surge in energy demand from AI data centers [3][7] - This company is not a chipmaker or cloud platform but is described as a "toll booth" operator in the energy market, profiting from the increasing need for electricity [5][6] - The company is debt-free and has significant cash reserves, equating to nearly one-third of its market capitalization, making it an attractive investment option [8] Group 3: Market Position and Growth Potential - The company is involved in large-scale engineering, procurement, and construction (EPC) projects across various energy sectors, including nuclear energy, which is crucial for America's future power strategy [7] - It has a substantial equity stake in another AI-related company, providing investors with indirect exposure to multiple growth opportunities without high premiums [9] - The stock is currently undervalued, trading at less than seven times earnings, which presents a compelling investment case given its ties to the booming AI and energy sectors [10] Group 4: Future Trends - The ongoing trends of AI infrastructure development, onshoring due to tariffs, and a surge in U.S. LNG exports are expected to create significant growth opportunities for the company [14] - The influx of talent into the AI sector is anticipated to drive rapid advancements and innovation, further solidifying the importance of investing in AI-related companies [12]