American Express (AXP) Upgraded to Buy by Monness with $250 Price Target

Monness Upgrades American Express (AXP:NYSE) to Buy

On Friday, April 19, 2024, Monness upgraded American Express (AXP) to Buy from a previous hold position, setting a new price target of $250, up from $245. This upgrade came on the heels of American Express's impressive first-quarter performance in 2024, where the company not only surpassed earnings estimates but also reaffirmed its positive financial outlook for the year. The announcement by Monness Crespi, as detailed by TheFly, reflects growing confidence in American Express's financial health and its ability to sustain growth, with the stock price at the time of the announcement standing at $228.63.

Impressive First-Quarter Performance

American Express reported a robust first-quarter performance, with earnings per share (EPS) of $3.33, which exceeded the Zacks Consensus Estimate by 12.1% and marked a significant year-over-year increase of 38.8%. This performance was underpinned by a total revenue, net of interest expense, of $15.8 billion, slightly above expectations and demonstrating a growth of 10.6% compared to the same period last year. The company's success was largely driven by an uptick in card member spending and net interest income, alongside growth in its U.S. Consumer Services Billed business, particularly among Millennials and Gen-Z customers. However, it's important to note that this growth came with increased expenses related to customer engagement and compensation.

Stock Price Momentum and Full-Year Earnings Forecast

The positive momentum in American Express's stock price, which saw a 4% increase following the earnings report, can be attributed to the company's performance exceeding top and bottom-line expectations. The full-year earnings forecast, which anticipates an EPS range of $12.67 to $13.15, surpasses Wall Street predictions and signals confidence in the company's financial trajectory for the remainder of the year. This optimism is further bolstered by CEO Stephen J. Squeri's remarks on the company's success in attracting high-spending, high credit-quality customers, with new card acquisitions accelerating to 3.4 million in the quarter.

Financial Resilience and Strategic Prowess

American Express's financial results for the first quarter of 2024 not only exceeded analyst expectations in terms of revenue and profit but also showcased a higher net interest income than anticipated, setting it apart from its peers in the finance industry. With a revenue of $15.8 billion and a net income of $2.44 billion, American Express has demonstrated its resilience and strategic prowess in navigating the financial landscape. The company's reaffirmed full-year growth guidance, projecting a revenue growth of 9% to 11% and an EPS in the range of $12.65 to $13.15, reflects its continued confidence in its business strategy and its ability to maintain strong financial results.

Market Reception and Future Prospects

Following the announcement of its first-quarter earnings, American Express's stock price experienced a notable increase, closing at $231.04, which represents a gain of approximately 6.23%. This movement not only highlights the stock's positive trajectory but also places it near its 52-week high, underscoring the market's positive reception to American Express's financial performance and future prospects. With a market capitalization of approximately $167.24 billion and a trading volume of about 6.88 million shares on the New York Stock Exchange (NYSE), American Express continues to demonstrate its strength and appeal to investors.

Symbol Price %chg
V.BA 24900 -1.1
MA.BA 21650 1.5
AXP.BA 27175 -0.74
MFIN.JK 3050 -0.33
AXP Ratings Summary
AXP Quant Ranking
Related Analysis

American Express (NYSE: AXP) Surpasses Earnings and Revenue Estimates

  • Earnings Per Share (EPS) of $3.64, beating the estimated $3.47.
  • Revenue reached approximately $16.97 billion, slightly above the forecast of $16.94 billion.
  • Shares rose by less than 1% post-announcement, despite a 15% decline year-to-date.

American Express (NYSE: AXP) is a leading global financial services company known for its credit card, charge card, and travel-related services. Competing with giants like Visa and Mastercard, American Express reported an EPS of $3.64 on April 17, 2025, surpassing the estimated $3.47. The company also reported a revenue of approximately $16.97 billion, slightly exceeding the estimated $16.94 billion.

The company's quarterly earnings reveal a profit of $3.64 per share, surpassing the Zacks Consensus Estimate of $3.45. This marks an improvement from the previous year's earnings of $3.33 per share. The positive growth trajectory is driven by robust consumer spending, as highlighted by CEO Stephen Squeri. He noted that consumer spending in the first quarter was consistent with, and often better than, 2024 levels.

American Express's revenue increased by 7% year-over-year to $16.97 billion, exceeding analysts' predictions. Net interest income also slightly surpassed expectations, reaching $4.17 billion compared to the consensus of $4.10 billion. 

Despite the positive earnings report, American Express shares rose by less than 1% immediately following the announcement. The stock had been down approximately 15% for the year. Recently, Bank of America analysts upgraded the stock's rating to "buy," citing the company's "high-quality customer base" as a factor that would support its resilience.

American Express maintains a price-to-earnings (P/E) ratio of approximately 17.76, indicating the market's valuation of its earnings. The company's price-to-sales ratio stands at about 2.52, and the enterprise value to sales ratio is around 2.67. The debt-to-equity ratio is about 1.69, indicating the company's leverage level.

American Express (NYSE: AXP) Surpasses Earnings and Revenue Estimates

  • Earnings Per Share (EPS) of $3.64, beating the estimated $3.47.
  • Revenue reached approximately $16.97 billion, slightly above the forecast of $16.94 billion.
  • Shares rose by less than 1% post-announcement, despite a 15% decline year-to-date.

American Express (NYSE: AXP) is a leading global financial services company known for its credit card, charge card, and travel-related services. Competing with giants like Visa and Mastercard, American Express reported an EPS of $3.64 on April 17, 2025, surpassing the estimated $3.47. The company also reported a revenue of approximately $16.97 billion, slightly exceeding the estimated $16.94 billion.

The company's quarterly earnings reveal a profit of $3.64 per share, surpassing the Zacks Consensus Estimate of $3.45. This marks an improvement from the previous year's earnings of $3.33 per share. The positive growth trajectory is driven by robust consumer spending, as highlighted by CEO Stephen Squeri. He noted that consumer spending in the first quarter was consistent with, and often better than, 2024 levels.

American Express's revenue increased by 7% year-over-year to $16.97 billion, exceeding analysts' predictions. Net interest income also slightly surpassed expectations, reaching $4.17 billion compared to the consensus of $4.10 billion. 

Despite the positive earnings report, American Express shares rose by less than 1% immediately following the announcement. The stock had been down approximately 15% for the year. Recently, Bank of America analysts upgraded the stock's rating to "buy," citing the company's "high-quality customer base" as a factor that would support its resilience.

American Express maintains a price-to-earnings (P/E) ratio of approximately 17.76, indicating the market's valuation of its earnings. The company's price-to-sales ratio stands at about 2.52, and the enterprise value to sales ratio is around 2.67. The debt-to-equity ratio is about 1.69, indicating the company's leverage level.

American Express (NYSE:AXP) Earnings Preview and Analyst Insights

  • Analysts have initiated a Buy rating for American Express (NYSE:AXP) with a price target of $289, anticipating strong growth in premium card fees and consumer spending.
  • The company is expected to report an 11% growth in net income for 2025, driven by significant growth in net card fees and resilient consumer spending.
  • Despite anticipated growth, lower profits are expected from its Global Merchant and Network Services division, with an increase in network volumes during the first quarter.

American Express (NYSE:AXP), a leading global financial services company, is gearing up to release its quarterly earnings on April 17, 2025. Analysts are closely monitoring the company's performance, with Wall Street estimates projecting an earnings per share (EPS) of $3.46 and a revenue of approximately $16.93 billion.

The analysis of American Express (NYSE:AXP) has led to a Buy rating with a price target of $289, underlining strong growth in premium card fees and consumer spending. The company is poised for an 11% growth in net income for 2025, fueled by mid-to-high teens growth in net card fees and resilient consumer spending, surpassing consensus expectations and indicating a positive outlook.

American Express's closed-loop model and premium customer base are considered undervalued by the market, supporting an 18x forward price-to-earnings multiple. The company's P/E ratio is approximately 18.22, showcasing the market's valuation of its earnings, while the price-to-sales ratio stands at about 2.58, reflecting its revenue valuation.

Despite the anticipated growth, AXP is expected to report lower profits from its Global Merchant and Network Services division. However, an increase in network volumes during the first quarter is anticipated. These factors are crucial for investors as the company approaches its Q1 earnings release.

The company's financial leverage is highlighted by a debt-to-equity ratio of approximately 1.69. The enterprise value to sales ratio is around 2.74, and the enterprise value to operating cash flow ratio is approximately 13.64, providing insights into the company's valuation relative to its cash flow. The earnings yield is about 5.49%, offering a perspective on the return on investment.

American Express (NYSE:AXP) Earnings Preview and Analyst Insights

  • Analysts have initiated a Buy rating for American Express (NYSE:AXP) with a price target of $289, anticipating strong growth in premium card fees and consumer spending.
  • The company is expected to report an 11% growth in net income for 2025, driven by significant growth in net card fees and resilient consumer spending.
  • Despite anticipated growth, lower profits are expected from its Global Merchant and Network Services division, with an increase in network volumes during the first quarter.

American Express (NYSE:AXP), a leading global financial services company, is gearing up to release its quarterly earnings on April 17, 2025. Analysts are closely monitoring the company's performance, with Wall Street estimates projecting an earnings per share (EPS) of $3.46 and a revenue of approximately $16.93 billion.

The analysis of American Express (NYSE:AXP) has led to a Buy rating with a price target of $289, underlining strong growth in premium card fees and consumer spending. The company is poised for an 11% growth in net income for 2025, fueled by mid-to-high teens growth in net card fees and resilient consumer spending, surpassing consensus expectations and indicating a positive outlook.

American Express's closed-loop model and premium customer base are considered undervalued by the market, supporting an 18x forward price-to-earnings multiple. The company's P/E ratio is approximately 18.22, showcasing the market's valuation of its earnings, while the price-to-sales ratio stands at about 2.58, reflecting its revenue valuation.

Despite the anticipated growth, AXP is expected to report lower profits from its Global Merchant and Network Services division. However, an increase in network volumes during the first quarter is anticipated. These factors are crucial for investors as the company approaches its Q1 earnings release.

The company's financial leverage is highlighted by a debt-to-equity ratio of approximately 1.69. The enterprise value to sales ratio is around 2.74, and the enterprise value to operating cash flow ratio is approximately 13.64, providing insights into the company's valuation relative to its cash flow. The earnings yield is about 5.49%, offering a perspective on the return on investment.

American Express (NYSE:AXP) Earnings Preview: What to Expect

  • American Express is expected to report an EPS of $3.03 for Q4 2024, indicating a 15.7% year-over-year growth.
  • Revenue for Q4 2024 is projected at $17.18 billion, showcasing an 8.7% increase from the previous year.
  • The company's stock has surged over 70% in the past year, significantly outperforming its peers.

American Express (NYSE:AXP) is a leading global financial services company known for its credit card, charge card, and travel-related services. Competing with giants like Capital One and Mastercard, American Express is gearing up to release its fourth-quarter 2024 earnings on January 24, 2025, before the market opens.

Analysts are optimistic, expecting American Express to report an EPS of $3.03, slightly above the Wall Street estimate of $3. This represents a 15.7% increase from the previous year, highlighting the company's robust performance. Revenue is projected to reach $17.18 billion, reflecting an 8.7% year-over-year growth, as highlighted by Zacks.

The company's network volumes are anticipated to have increased, continuing the positive trend from previous quarters. For the entire year, American Express is expected to achieve revenues of $65.95 billion, marking a 9% increase from the prior year. The consensus estimate for the company's EPS for the current year is $13.40, indicating a substantial 19.5% year-over-year growth.

American Express has seen its stock price soar over 70% in the past year, reaching fresh 52-week highs of $319 per share. This performance significantly outpaces its peers, with Capital One rising 49% and Mastercard increasing by 20%. Investors are eager to see if this momentum can be maintained with the upcoming earnings report.

Despite a mixed track record in earnings, American Express has shown consistent growth throughout 2024. The company's premium valuation is supported by its strong brand and a customer base that leans towards higher-tier clients. With a price-to-earnings (P/E) ratio of 23.06 and a debt-to-equity ratio of 1.85, American Express maintains a balanced financial position.

American Express (NYSE:AXP) Earnings Preview: What to Expect

  • American Express is expected to report an EPS of $3.03 for Q4 2024, indicating a 15.7% year-over-year growth.
  • Revenue for Q4 2024 is projected at $17.18 billion, showcasing an 8.7% increase from the previous year.
  • The company's stock has surged over 70% in the past year, significantly outperforming its peers.

American Express (NYSE:AXP) is a leading global financial services company known for its credit card, charge card, and travel-related services. Competing with giants like Capital One and Mastercard, American Express is gearing up to release its fourth-quarter 2024 earnings on January 24, 2025, before the market opens.

Analysts are optimistic, expecting American Express to report an EPS of $3.03, slightly above the Wall Street estimate of $3. This represents a 15.7% increase from the previous year, highlighting the company's robust performance. Revenue is projected to reach $17.18 billion, reflecting an 8.7% year-over-year growth, as highlighted by Zacks.

The company's network volumes are anticipated to have increased, continuing the positive trend from previous quarters. For the entire year, American Express is expected to achieve revenues of $65.95 billion, marking a 9% increase from the prior year. The consensus estimate for the company's EPS for the current year is $13.40, indicating a substantial 19.5% year-over-year growth.

American Express has seen its stock price soar over 70% in the past year, reaching fresh 52-week highs of $319 per share. This performance significantly outpaces its peers, with Capital One rising 49% and Mastercard increasing by 20%. Investors are eager to see if this momentum can be maintained with the upcoming earnings report.

Despite a mixed track record in earnings, American Express has shown consistent growth throughout 2024. The company's premium valuation is supported by its strong brand and a customer base that leans towards higher-tier clients. With a price-to-earnings (P/E) ratio of 23.06 and a debt-to-equity ratio of 1.85, American Express maintains a balanced financial position.

American Express (NYSE:AXP) Price Target and Strategic Acquisition

  • Jeff Adelson from Morgan Stanley sets a price target of $252 for American Express (NYSE:AXP), indicating a potential downside of approximately -8.46%.
  • American Express is set to become the sole owner of Swisscard as UBS sells its 50% stake, aiming to strengthen its position in the Swiss market.
  • Despite the recent price target, AXP's current price is $271.81, with a market capitalization of approximately $193.23 billion, reflecting its significant presence in the financial sector.

On October 21, 2024, Jeff Adelson from Morgan Stanley set a price target of $252 for American Express (NYSE:AXP). At the time, the stock was trading at $275.29, indicating a potential downside of approximately -8.46%. American Express is a major player in the financial services industry, competing with companies like Visa and Mastercard.

American Express is set to become the sole owner of Swisscard, as UBS sells its 50% stake in the credit card provider. This strategic move aligns with UBS's plan to divest parts of the Credit Suisse business it acquired last year. The acquisition will allow American Express to strengthen its position in the Swiss market.

Despite the recent price target set by Morgan Stanley, AXP's current price is $271.81, reflecting a decrease of 1.80%. The stock has dropped by $4.99 today, with a trading range between $271.51 and $276.16. Over the past year, AXP has experienced a high of $286.36 and a low of $140.91.

American Express has a market capitalization of approximately $193.23 billion, indicating its significant presence in the financial sector. The trading volume for AXP today is 712,781 shares, showing active investor interest. The company's acquisition of Swisscard is expected to enhance its growth prospects in the European market.