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Why did the AMP share price surge 8% in November?

The stock hit numerous 52-week highs last month.

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Brooke Cooper
Brooke has been a Motley Fool contributor since early 2021. She holds a Bachelor of Communication with specialisations in journalism and international studies from Charles Sturt University. Brooke aims to inform and excite Aussies keen to grow their wealth by investing in ASX companies. When not writing or researching, you'll likely find Brooke gallivanting around South East Queensland.
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Key points
  • The AMP share price launched 8% in November to close the month at $1.36
  • That was despite no price-sensitive news released by the financial services company
  • The company did release some notable updates during the month, however

November was a good month for AMP Ltd (ASX: AMP) share price. Indeed, it hit many 52-week highs throughout the course of the month.

After closing October at $1.26, shares in the financial services company rose 7.94% to finish November trading at $1.36.

Over the period, it hit a low of $1.245 and a high of $1.365. At the time, that marked the stock's highest point since March 2021.  

So, what helped drive the AMP share price to outperform in November? Let's take a look.

a man sits at his computer screen scrolling with his fingers with a satisfied smile on his face as though he is very content with the news he is receiving.

Image source: Getty Images

What went right for the AMP share price last month?

Shares in AMP took off alongside the broader market last month. While the stock soared 8%, the S&P/ASX 200 Index (ASX: XJO) lifted 6.13%, and the S&P/ASX 200 Financials Index (ASX: XFJ) – AMP's home sector – rose 1.14%.

Interestingly, there was no price-sensitive word from AMP. Though, some non-price-sensitive news from the company might have pricked the ears of investors.

AMP revealed the sale of its Collimate Capital businesses would miss their previously predicted November completion due to regulatory delays on 15 November.

The company announced Collimate's domestic business would be sold to Dexus Property Group (ASX: DXS) and its international business to DigitalBridge way back in April.

AMP shareholders are expected to receive most of the proceeds from the sales in the form of capital returns.

November also saw the company reveal the appointment of its new chief financial officer (CFO), Peter Fredricson. Fredricson has previously held CFO roles at former ASX 200 energy giant Oil Search and APA Group (ASX: APA).

Finally, as of the end of November, AMP has snapped up nearly $230 million worth of its own shares as part of the $350 million on-market buyback announced in August. The buyback is part of a $1.1 billion capital return.

Share price snapshot

Including last month's positive momentum, the AMP share price is trading 33% higher year to date. It has also gained 45% since this time last year. The embattled stock is still 75% lower than it was five years ago, however.

For comparison, the ASX 200 has fallen 4% year to date, gained 1% over the last 12 months, and lifted 22% over the last five years.

Motley Fool contributor Brooke Cooper 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 has positions in and has recommended Apa Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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