Insights

Why did the AMP (ASX:AMP) share price have such a great month in October?

We take a look at what sparked the financial services company’s shares last month
The post Why did the AMP (ASX:AMP) share price have such a great month in October? appeared first on The Motley Fool Australia. –

The AMP Ltd (ASX: AMP) share price kicked up a notch in October. After hitting a multi-decade low of 88.5 cents the month before, it appears the company’s shares are bouncing back.

At Monday’s closing bell, the financial services company’s shares edged 1.85% higher to $1.10.

How did AMP shares fare in October?

Investors pushed the AMP share price higher last month. This came on the back of a positive third-quarter trading update from the company on 21 October. Its shares rose 4.02% that day to reach a 4-month high of $1.18.

For the month, AMP shares rose by just over 9%, which fared much better than the S&P/ASX 200 Index (ASX: XJO). The benchmark index fell by 0.12% in value over the period.

The company’s financial scorecard produced a largely positive performance.

The demerger program is scheduled for completion by the middle of FY22. This will see the transition of the Multi-Asset Group (MAG) from AMP Capital to AMP Australia, creating a superannuation and investment platform business.

AMP advised it will provide a further update on its progress regarding the demerger at an Investor Day on 30 November. In addition, the company will also lay out what’s ahead for the remaining financial year as well as FY22.

What do the brokers say?

Analysts at Citi last month reiterated their outlook to a neutral (high risk) rating for the AMP share price. The broker slapped a price target of $1.25 apiece, implying an upside of 13.6% on the current price.

However, the most recent note came from multinational investment bank, Macquarie Group Ltd (ASX: MQG). The firm put AMP shares on a neutral footing, with a price target of $1.10. Interestingly, investors seem to agree with Macquarie’s latest assessment based on the current AMP share price.

AMP share price review

Over the past 12 months, the AMP share price has fallen around 34% in value. It is also down by around 29% this year to date. When looking over a 5-year time frame, AMP shares are down by a sizable 75%.

AMP has a price-to-earnings (P/E) ratio of 33.90 and commands a market capitalisation of roughly $3.72 billion.

The post Why did the AMP (ASX:AMP) share price have such a great month in October? appeared first on The Motley Fool Australia.

Should you invest $1,000 in AMP right now?

Before you consider AMP, you’ll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and AMP wasn’t one of them.

The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of August 16th 2021

More reading

Why has the AMP (ASX:AMP) share price leapt 17% in a month?

What this broker thinks of the AMP (ASX:AMP) share price after its update

Why AMP, Aristocrat, Brainchip, and Healius shares are racing higher

AMP (ASX:AMP) share price gains 3% despite FUM falling by $7b

Can the AMP (ASX:AMP) share price hit $1.25 by Christmas?

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of and has recommended Macquarie Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!