We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
American Express (AXP) Declines More Than Market: Some Information for Investors
Read MoreHide Full Article
American Express (AXP - Free Report) closed at $295.49 in the latest trading session, marking a -1.82% move from the prior day. This change lagged the S&P 500's 1.76% loss on the day. On the other hand, the Dow registered a loss of 1.48%, and the technology-centric Nasdaq decreased by 2.64%.
The credit card issuer and global payments company's stock has dropped by 5.19% in the past month, falling short of the Finance sector's gain of 0.83% and the S&P 500's loss of 1.26%.
Investors will be eagerly watching for the performance of American Express in its upcoming earnings disclosure. The company is expected to report EPS of $3.48, up 4.5% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $17.05 billion, up 7.92% from the prior-year quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $15.32 per share and a revenue of $71.66 billion, indicating changes of +14.76% and +8.65%, respectively, from the former year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for American Express. Such recent modifications usually signify the changing landscape of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. American Express currently has a Zacks Rank of #2 (Buy).
From a valuation perspective, American Express is currently exchanging hands at a Forward P/E ratio of 19.64. This signifies a premium in comparison to the average Forward P/E of 9.84 for its industry.
Meanwhile, AXP's PEG ratio is currently 1.44. 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 1.05 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 36, which puts it in the top 15% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
American Express (AXP) Declines More Than Market: Some Information for Investors
American Express (AXP - Free Report) closed at $295.49 in the latest trading session, marking a -1.82% move from the prior day. This change lagged the S&P 500's 1.76% loss on the day. On the other hand, the Dow registered a loss of 1.48%, and the technology-centric Nasdaq decreased by 2.64%.
The credit card issuer and global payments company's stock has dropped by 5.19% in the past month, falling short of the Finance sector's gain of 0.83% and the S&P 500's loss of 1.26%.
Investors will be eagerly watching for the performance of American Express in its upcoming earnings disclosure. The company is expected to report EPS of $3.48, up 4.5% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $17.05 billion, up 7.92% from the prior-year quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $15.32 per share and a revenue of $71.66 billion, indicating changes of +14.76% and +8.65%, respectively, from the former year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for American Express. Such recent modifications usually signify the changing landscape of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. American Express currently has a Zacks Rank of #2 (Buy).
From a valuation perspective, American Express is currently exchanging hands at a Forward P/E ratio of 19.64. This signifies a premium in comparison to the average Forward P/E of 9.84 for its industry.
Meanwhile, AXP's PEG ratio is currently 1.44. 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 1.05 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 36, which puts it in the top 15% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.