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American Express (AXP) Stock Moves -0.06%: What You Should Know

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American Express (AXP - Free Report) closed at $157.50 in the latest trading session, marking a -0.06% move from the prior day. This change was narrower than the S&P 500's daily loss of 0.09%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, added 0.22%.

Coming into today, shares of the credit card issuer and global payments company had gained 9.82% in the past month. In that same time, the Finance sector gained 6.59%, while the S&P 500 gained 5.55%.

Wall Street will be looking for positivity from American Express as it approaches its next earnings report date. On that day, American Express is projected to report earnings of $2.15 per share, which would represent a year-over-year decline of 1.38%. Our most recent consensus estimate is calling for quarterly revenue of $14.17 billion, up 16.68% from the year-ago period.

AXP's full-year Zacks Consensus Estimates are calling for earnings of $9.91 per share and revenue of $52.76 billion. These results would represent year-over-year changes of -1.1% and +24.49%, respectively.

It is also important to note the recent changes to analyst estimates for American Express. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. Over the past month, the Zacks Consensus EPS estimate has moved 0.14% lower. American Express is holding a Zacks Rank of #3 (Hold) right now.

Looking at its valuation, American Express is holding a Forward P/E ratio of 15.9. This valuation marks a premium compared to its industry's average Forward P/E of 10.49.

We can also see that AXP currently has a PEG ratio of 1.34. 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. AXP's industry had an average PEG ratio of 0.81 as of yesterday's close.

The Financial - Miscellaneous Services industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 132, which puts it in the bottom 48% 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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