Morningstar says AMP's turnaround strategy bearing fruit, raises fair value estimate
Updates share moves, milestones
** Analysts at Morningstar raise fair value estimate on Australian money manager AMP AMP.AX to A$1.25 from A$1.20, reflecting stronger flows in company's, both, platforms and trusts businesses
** AMP shares rise as much as 3.7% to A$1.328, hitting its highest level since Feb. 14, 2023
** Brokerage says AMP's first-half results surpassed expectations reflecting better-than-expected flows, improvement in advice business productivity and variable cost savings
** Shares have risen lately and are currently fairly valued - Morningstar
** Brokerage says signs of earnings recovery are now clearer and feels AMP can reach a maintainable earnings base of around A$287 mln ($189.08 mln) per year from 2024 to 2028
** Strong recovery in product flows and increased inflows from non-AMP advisors, despite cost-control measures, were impressive - brokerage
** Over 21 mln shares change hands, compared with the 30-day average volume of 9.3 mln shares
** Stock eyes best week since Feb. 16 having risen over 8% so far this week
** Stock up 37.6% this year, as of last close
($1 = 1.5179 Australian dollars)
Reporting by Rishav Chatterjee & Rajasik Mukherjee in Bengaluru
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