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American Express (AXP) Laps the Stock Market: Here's Why
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American Express (AXP - Free Report) ended the recent trading session at $324.69, demonstrating a +1.24% change from the preceding day's closing price. The stock exceeded the S&P 500, which registered a gain of 0.86% for the day. Meanwhile, the Dow gained 0.98%, and the Nasdaq, a tech-heavy index, added 0.96%.
Shares of the credit card issuer and global payments company witnessed a loss of 6.68% over the previous month, trailing the performance of the Finance sector with its loss of 1.79%, and the S&P 500's loss of 1.96%.
The upcoming earnings release of American Express will be of great interest to investors. The company's earnings report is expected on October 23, 2026. On that day, American Express is projected to report earnings of $4.58 per share, which would represent year-over-year growth of 10.63%. Meanwhile, the latest consensus estimate predicts the revenue to be $20.09 billion, indicating a 9.05% increase compared to the same quarter of the previous year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $17.68 per share and revenue of $79.46 billion, indicating changes of +14.95% and +10.02%, respectively, compared to the previous year.
Any recent changes to analyst estimates for American Express should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional 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 0.1% higher. American Express is currently a Zacks Rank #3 (Hold).
From a valuation perspective, American Express is currently exchanging hands at a Forward P/E ratio of 18.14. For comparison, its industry has an average Forward P/E of 11.71, which means American Express is trading at a premium to the group.
Investors should also note that AXP has a PEG ratio of 1.36 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Financial - Miscellaneous Services was holding an average PEG ratio of 1.1 at yesterday's closing price.
The Financial - Miscellaneous Services industry is part of the Finance sector. This group has a Zacks Industry Rank of 103, putting it in the top 42% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. 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.
View the Zacks #1 Rank List
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American Express (AXP) Laps the Stock Market: Here's Why
American Express (AXP - Free Report) ended the recent trading session at $324.69, demonstrating a +1.24% change from the preceding day's closing price. The stock exceeded the S&P 500, which registered a gain of 0.86% for the day. Meanwhile, the Dow gained 0.98%, and the Nasdaq, a tech-heavy index, added 0.96%.
Shares of the credit card issuer and global payments company witnessed a loss of 6.68% over the previous month, trailing the performance of the Finance sector with its loss of 1.79%, and the S&P 500's loss of 1.96%.
The upcoming earnings release of American Express will be of great interest to investors. The company's earnings report is expected on October 23, 2026. On that day, American Express is projected to report earnings of $4.58 per share, which would represent year-over-year growth of 10.63%. Meanwhile, the latest consensus estimate predicts the revenue to be $20.09 billion, indicating a 9.05% increase compared to the same quarter of the previous year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $17.68 per share and revenue of $79.46 billion, indicating changes of +14.95% and +10.02%, respectively, compared to the previous year.
Any recent changes to analyst estimates for American Express should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional 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 0.1% higher. American Express is currently a Zacks Rank #3 (Hold).
From a valuation perspective, American Express is currently exchanging hands at a Forward P/E ratio of 18.14. For comparison, its industry has an average Forward P/E of 11.71, which means American Express is trading at a premium to the group.
Investors should also note that AXP has a PEG ratio of 1.36 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Financial - Miscellaneous Services was holding an average PEG ratio of 1.1 at yesterday's closing price.
The Financial - Miscellaneous Services industry is part of the Finance sector. This group has a Zacks Industry Rank of 103, putting it in the top 42% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. 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.