Q4 Preview: American Express (AXP) Looks to Charge Forward
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Price: $239.12 +0.07%
Revenue Growth %: +10.5%
Financial Fact:
Income from continuing operations: 1.14B
Today's EPS Names:
NLY, CP, RUSHA, More
Revenue Growth %: +10.5%
Financial Fact:
Income from continuing operations: 1.14B
Today's EPS Names:
NLY, CP, RUSHA, More
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American Express Co. (NYSE: AXP) shares are down 12 cents to $45.88 in midday market movement on Monday heading into the company's fourth-quarter earnings scheduled for after the close.
The credit card payment company is expected to report fourth-quarter earnings of 94 cents per share on sales of $7.29 billion.
In the third-quarter, American Express bested the Street with earnings of 90 cents per share, 5 cents better than the analyst estimate. The company also reported revenue of $7 billion last quarter, topping the Street's view of $6.79 billion.
Since the start of the fourth quarter, shares of American Express are up $6.84 or 17.52 percent. Over the last year the stock is up $7.28 or 18.86 percent.
A valuation shows that American Express is going for a forward P/E of 14.97x full year estimates. This compares to 20.20x for Visa Inc. (NYSE: V) and MasterCard Inc. (NYSE: MA) at 18.18x.
Data from Bloomberg shows that 18 analysts have a Buy rating on the stock, 7 have a Hold and 2 have a Sell. The average analyst price target on American Express is $51.50 with a target range of $35 to $64.
Analyst comments:
JPMorgan has maintains an Overweight rating and $50 price target on American Express.
JPMorgan analyst says, "Shares declined in reaction to the news given recent upward revisions to the consensus view and momentum within the group. We continue to favor AXP for its exposure to the rebound in consumer spending and believe this provides an opportunity to add to positions."
The credit card payment company is expected to report fourth-quarter earnings of 94 cents per share on sales of $7.29 billion.
In the third-quarter, American Express bested the Street with earnings of 90 cents per share, 5 cents better than the analyst estimate. The company also reported revenue of $7 billion last quarter, topping the Street's view of $6.79 billion.
Since the start of the fourth quarter, shares of American Express are up $6.84 or 17.52 percent. Over the last year the stock is up $7.28 or 18.86 percent.
A valuation shows that American Express is going for a forward P/E of 14.97x full year estimates. This compares to 20.20x for Visa Inc. (NYSE: V) and MasterCard Inc. (NYSE: MA) at 18.18x.
Data from Bloomberg shows that 18 analysts have a Buy rating on the stock, 7 have a Hold and 2 have a Sell. The average analyst price target on American Express is $51.50 with a target range of $35 to $64.
Analyst comments:
JPMorgan has maintains an Overweight rating and $50 price target on American Express.
JPMorgan analyst says, "Shares declined in reaction to the news given recent upward revisions to the consensus view and momentum within the group. We continue to favor AXP for its exposure to the rebound in consumer spending and believe this provides an opportunity to add to positions."
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