In the preceding three months, 11 analysts have released ratings for American Express AXP, presenting a wide array of perspectives from bullish to bearish.
The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 2 | 4 | 5 | 0 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 0 | 0 | 1 | 0 | 0 |
| 2M Ago | 2 | 1 | 0 | 0 | 0 |
| 3M Ago | 0 | 3 | 3 | 0 | 0 |
The 12-month price targets, analyzed by analysts, offer insights with an average target of $261.27, a high estimate of $285.00, and a low estimate of $223.00. This current average reflects an increase of 3.51% from the previous average price target of $252.40.
Analyzing Analyst Ratings: A Detailed Breakdown
The analysis of recent analyst actions sheds light on the perception of American Express by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Kenneth Bruce | B of A Securities | Raises | Neutral | $265.00 | $263.00 |
| Kenneth Bruce | B of A Securities | Maintains | Neutral | $263.00 | $263.00 |
| Gus Gala | Monness, Crespi, Hardt | Raises | Buy | $265.00 | $260.00 |
| Kenneth Bruce | B of A Securities | Raises | Buy | $263.00 | $247.00 |
| Jon Arfstrom | RBC Capital | Raises | Outperform | $267.00 | $265.00 |
| David Rochester | Compass Point | Announces | Neutral | $260.00 | - |
| John Hecht | Jefferies | Raises | Hold | $235.00 | $225.00 |
| Terry Ma | Barclays | Raises | Equal-Weight | $223.00 | $221.00 |
| Donald Fandetti | Wells Fargo | Raises | Overweight | $285.00 | $275.00 |
| Richard Shane | JP Morgan | Raises | Overweight | $268.00 | $240.00 |
| Sanjay Sakhrani | Keefe, Bruyette & Woods | Raises | Outperform | $280.00 | $265.00 |
Key Insights:
- Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to American Express. This information offers a snapshot of how analysts perceive the current state of the company.
- Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of American Express compared to the broader market.
- Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of American Express's stock. This examination reveals shifts in analysts' expectations over time.
For valuable insights into American Express's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.
Stay up to date on American Express analyst ratings.
Unveiling the Story Behind American Express
American Express is a global financial institution, operating in about 130 countries, that provides consumers and businesses charge and credit card payment products. The company also operates a highly profitable merchant payment network. Since 2018, it has operated in three segments: global consumer services, global commercial services, and global merchant and network services. In addition to payment products, the company's commercial business offers expense management tools, consulting services, and business loans.
Financial Milestones: American Express's Journey
Market Capitalization: Exceeding industry standards, the company's market capitalization places it above industry average in size relative to peers. This emphasizes its significant scale and robust market position.
Positive Revenue Trend: Examining American Express's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 8.5% as of 30 June, 2024, showcasing a substantial increase in top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Financials sector.
Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 18.23%, the company showcases strong profitability and effective cost control.
Return on Equity (ROE): American Express's ROE excels beyond industry benchmarks, reaching 10.21%. This signifies robust financial management and efficient use of shareholder equity capital.
Return on Assets (ROA): American Express's ROA excels beyond industry benchmarks, reaching 1.1%. This signifies efficient management of assets and strong financial health.
Debt Management: American Express's debt-to-equity ratio is below the industry average. With a ratio of 1.8, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.
The Basics of Analyst Ratings
Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.
Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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