DCF Valuation
Base-case fair value
$2370.85
Intrinsic $3161.14 · 25% MOS
Current price: $471.97
Base-case summary
Our base-case DCF for Ameriprise Financial Inc (AMP) projects 10 years of free cash flow growth at 16.7% for years 1–5 and 8.4% for years 6–10, anchored to 16.7% historical FCF growth, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $6.9B in trailing free cash flow, this produces an intrinsic value of $3161.14 per share. A 25% safety margin gives a fair value of $2370.85, suggesting the stock is currently 402% undervalued against the $471.97 market price.
See 3 scenarios side by side
Conservative, Base, and Optimistic fair values, plus the sensitivity matrix and FCF history. Free account.
Model inputs
TTM Free Cash Flow
$6.9B
Cash & equivalents
$9.4B
Total debt
$0
Shares outstanding
95M