American Express Earnings Preview: Analysts Expect Falling Revenue, Rising EPS Over Last Quarter

American Express Company AXP unveils its next round of earnings this Wednesday, July 20, 2011. Get the latest predictions in Benzinga's essential guide to the company's second quarter.

Earnings and Revenue:

Based on estimates, investors are readying for a positive EPS reading of 99 cents per share and revenues of $7.35 billion. Can American Express Company manage the estimated 17.9% rise in EPS and 7.1% increase in revenues as analysts are predicting? We'll have to wait until Wednesday to find out.

Here's how the company's reported EPS has stacked up against analyst estimates in the past:

Quarter	Q1	Q4	Q3	Q2
EPS Estimate	$0.93	$0.90	$0.85	$0.79
EPS Actual	$0.97	$0.94	$0.90	$0.84

Stock Performance:

Shares of American Express Company were trading at $51.81 as of July 19, 2011. Shares are up 22.1% year to date. For a full 12 months, the return has risen by 36%. Given that these returns are generally positive, long-term shareholders are probably satisfied going into this earnings release.

• Long-term shareholders are already enjoying 12-month gains prior to the announcement

Average Stock Rating:

The average rating by analysts for American Express Company is a Moderate Buy. This rating hasn't budged over the past three months.

Competitors:

Wondering how some of the other financials companies are doing? Here are a few of American Express Company's peers in that sector.

• Bank of America BAC: Hold with a $0.17 recent quarter EPS
• Citigroup C: Moderate Buy with a $1.09 recent quarter EPS
• Capital One COF: Hold with a $2.04 recent quarter EPS
• Discover Financial Services DFS: Moderate Buy with a $1.09 recent quarter EPS

American Express Company is in the financial services industry, which has experienced price/earnings growth of 2%.

Finally, a description of the company's main areas of operation: American Express Company is a global payments, network and travel company, which offers credit card products and travel-related services to consumers and businesses on an international scale.

Take Action:

Now that you have reviewed all the numbers, be ready to move if the upcoming American Express Company earnings report has any surprises. Also, come back to Benzinga after the announcement for a full recap and a guide to your next steps.

• To see up-to-date news on American Express Company, click here
• To see other trading ideas, click here
• To see other company earnings recaps, click here