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American Express (AXP) Outpaces Stock Market Gains: What You Should Know
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In the latest trading session, American Express (AXP - Free Report) closed at $168.93, marking a +1.19% move from the previous day. This change outpaced the S&P 500's 0.31% gain on the day. At the same time, the Dow added 0.1%, and the tech-heavy Nasdaq gained 0.48%.
Coming into today, shares of the credit card issuer and global payments company had lost 7.18% in the past month. In that same time, the Finance sector lost 2.1%, while the S&P 500 lost 0.04%.
Wall Street will be looking for positivity from American Express as it approaches its next earnings report date. The company is expected to report EPS of $1.75, down 0.57% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $11.38 billion, up 21.67% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $9.53 per share and revenue of $41.57 billion. These totals would mark changes of +78.46% and +15.19%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for American Express. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.68% higher. American Express currently has a Zacks Rank of #3 (Hold).
Investors should also note American Express's current valuation metrics, including its Forward P/E ratio of 17.51. Its industry sports an average Forward P/E of 11.55, so we one might conclude that American Express is trading at a premium comparatively.
Meanwhile, AXP's PEG ratio is currently 0.88. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Financial - Miscellaneous Services was holding an average PEG ratio of 0.86 at yesterday's closing price.
The Financial - Miscellaneous Services industry is part of the Finance sector. This group has a Zacks Industry Rank of 105, putting it in the top 42% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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American Express (AXP) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, American Express (AXP - Free Report) closed at $168.93, marking a +1.19% move from the previous day. This change outpaced the S&P 500's 0.31% gain on the day. At the same time, the Dow added 0.1%, and the tech-heavy Nasdaq gained 0.48%.
Coming into today, shares of the credit card issuer and global payments company had lost 7.18% in the past month. In that same time, the Finance sector lost 2.1%, while the S&P 500 lost 0.04%.
Wall Street will be looking for positivity from American Express as it approaches its next earnings report date. The company is expected to report EPS of $1.75, down 0.57% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $11.38 billion, up 21.67% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $9.53 per share and revenue of $41.57 billion. These totals would mark changes of +78.46% and +15.19%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for American Express. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.68% higher. American Express currently has a Zacks Rank of #3 (Hold).
Investors should also note American Express's current valuation metrics, including its Forward P/E ratio of 17.51. Its industry sports an average Forward P/E of 11.55, so we one might conclude that American Express is trading at a premium comparatively.
Meanwhile, AXP's PEG ratio is currently 0.88. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Financial - Miscellaneous Services was holding an average PEG ratio of 0.86 at yesterday's closing price.
The Financial - Miscellaneous Services industry is part of the Finance sector. This group has a Zacks Industry Rank of 105, putting it in the top 42% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.