The AMP Ltd (ASX: AMP) share price was a standout performer in August.
Shares in the S&P/ASX 200 Index (ASX: XJO) financial stock closed out July trading for $1.13 apiece. On 31 August, the AMP share price closed at $1.265, up 11.5%.
That represents an exceptionally strong run when you consider the ASX 200 fell 1.4% over the month.
So, what helped boost the stock over the month gone by?
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What were ASX 200 investors considering over the month?
The biggest factor that helped push the financial stock higher even as the ASX slid in August was the strength of the company's half-year results, released on 10 August.
Although the AMP share price slid in early trade on the day, the stock finished its reporting day up 4.5% and gained another 8.3% the following trading day.
Among the highlights of those results, the company reported $1.4 billion in revenue, up 31% from the prior corresponding half year. And underlying net profit after tax (NPAT) leapt 23.9% from 1H FY22 to $57 million.
This saw management declare an interim dividend of 2.5 cents per share, franked at 20%. With a full-year payout of 5.0 cents per share, the financial stock trades at a partly franked trailing yield of 4.0%, which likely saw it receive some support from passive income investors in August.
The AMP share price also got some tailwinds from management's ongoing share buyback program.
When a company engages in buying back its own shares, it can often boost the share price as the same number of investors will be pursuing a smaller quantity of shares.
Commenting on the dividend payouts and share buyback at AMP's half-year earning's release, CEO Alexis George said:
As part of our capital management program, we have returned $610 million in capital to shareholders through the share buyback and dividends in the past 12 months, and we have a remaining $140 million to be returned by the end of October 2023, through the interim dividend we have announced today and further share buybacks.
This works out to $750 million of capital returned to shareholders over the period.
AMP share price snapshot
With a strong month behind it, and despite slipping 1% in September, the AMP share price is back into the green over the past 12 months, up 11%.
