Why Ameriprise Financial Services (AMP) is a Top Value Stock for the Long-Term

Core Insights - Zacks Premium provides tools for investors to enhance their stock market engagement and confidence through various resources like daily updates, research reports, and stock screens [1] Zacks Style Scores - Zacks Style Scores categorize stocks into four types: Value Score, Growth Score, Momentum Score, and VGM Score, each designed to help investors identify stocks with the potential to outperform the market [2][3][4] - The Value Score focuses on identifying undervalued stocks using financial ratios such as P/E and Price/Sales [2] - The Growth Score assesses a company's financial health and future growth potential based on earnings and sales projections [2] - The Momentum Score capitalizes on price trends and earnings outlook changes to identify favorable investment opportunities [3] - The VGM Score combines all three styles to provide a comprehensive evaluation of stocks based on value, growth, and momentum [4] Zacks Rank and Style Scores Integration - The Zacks Rank is a proprietary model that uses earnings estimate revisions to identify stocks with high potential, with 1 (Strong Buy) stocks historically yielding an average annual return of +25.41% since 1988 [5] - To maximize investment success, it is recommended to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B [6] Company Spotlight: Ameriprise Financial Services (AMP) - Ameriprise Financial, headquartered in Minneapolis, MN, manages assets worth $1.36 trillion as of December 31, 2023 [7] - AMP holds a Zacks Rank of 2 (Buy) and a VGM Score of B, indicating strong investment potential [7] - The company has a Value Style Score of B, supported by a forward P/E ratio of 12.47, making it attractive for value investors [7] - Recent upward revisions in earnings estimates have increased the Zacks Consensus Estimate for AMP to $34.46 per share, with an average earnings surprise of 1.5% [7]