American Express (NYSE:AXP) has received an average rating of “Buy” from the twenty-eight brokerages that are covering the stock, MarketBeat Ratings reports. One equities research analyst has rated the stock with a sell recommendation, ten have assigned a hold recommendation and sixteen have issued a buy recommendation on the company. The average 12-month target price among brokerages that have covered the stock in the last year is $109.93.
Several equities research analysts have recently weighed in on AXP shares. DZ Bank upgraded American Express from a “hold” rating to a “buy” rating in a research report on Friday, July 20th. UBS Group upgraded American Express from a “hold” rating to a “buy” rating in a research report on Friday, July 20th. Zacks Investment Research upgraded American Express from a “hold” rating to a “buy” rating and set a $120.00 price target on the stock in a research report on Tuesday, October 9th. Buckingham Research upgraded American Express from a “neutral” rating to a “buy” rating and upped their price target for the company from $111.00 to $112.00 in a research report on Friday, June 29th. Finally, Oppenheimer set a $113.00 price target on American Express and gave the company a “buy” rating in a research report on Wednesday, July 18th.
Shares of AXP traded up $1.42 during midday trading on Thursday, hitting $104.04. 122,867 shares of the company traded hands, compared to its average volume of 3,539,479. American Express has a one year low of $87.54 and a one year high of $111.77. The stock has a market cap of $91.69 billion, a PE ratio of 17.71, a P/E/G ratio of 1.47 and a beta of 1.16. The company has a quick ratio of 1.92, a current ratio of 1.92 and a debt-to-equity ratio of 2.67.
American Express (NYSE:AXP) last announced its quarterly earnings results on Wednesday, July 18th. The payment services company reported $1.84 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $1.83 by $0.01. American Express had a return on equity of 30.08% and a net margin of 9.23%. The firm had revenue of $10 billion for the quarter, compared to analysts’ expectations of $10.05 billion. During the same period in the prior year, the business posted $1.47 earnings per share. The company’s revenue was up 9.0% on a year-over-year basis. Analysts expect that American Express will post 7.24 earnings per share for the current fiscal year.
The business also recently disclosed a quarterly dividend, which will be paid on Friday, November 9th. Investors of record on Friday, October 5th will be given a $0.39 dividend. This represents a $1.56 annualized dividend and a dividend yield of 1.50%. This is a boost from American Express’s previous quarterly dividend of $0.35. The ex-dividend date of this dividend is Thursday, October 4th. American Express’s dividend payout ratio is 26.58%.
American Express declared that its board has authorized a stock buyback program on Thursday, June 28th that authorizes the company to repurchase $3.40 billion in outstanding shares. This repurchase authorization authorizes the payment services company to repurchase up to 4.1% of its stock through open market purchases. Stock repurchase programs are typically an indication that the company’s management believes its shares are undervalued.
In other American Express news, CFO Jeffrey C. Campbell sold 9,000 shares of the company’s stock in a transaction that occurred on Wednesday, August 1st. The stock was sold at an average price of $99.73, for a total value of $897,570.00. Following the completion of the sale, the chief financial officer now owns 66,568 shares of the company’s stock, valued at $6,638,826.64. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, major shareholder Ventures Fund Vii L.P. Vivo bought 20,142,123 shares of the business’s stock in a transaction on Thursday, August 30th. The stock was purchased at an average cost of $0.17 per share, with a total value of $3,424,160.91. The disclosure for this purchase can be found here. Over the last 90 days, insiders sold 47,448 shares of company stock worth $4,942,168. 0.20% of the stock is owned by company insiders.
A number of institutional investors and hedge funds have recently modified their holdings of the business. BlackRock Inc. boosted its stake in American Express by 1.4% in the second quarter. BlackRock Inc. now owns 44,131,020 shares of the payment services company’s stock worth $4,324,840,000 after buying an additional 626,323 shares in the last quarter. Fisher Asset Management LLC boosted its stake in shares of American Express by 3.7% during the second quarter. Fisher Asset Management LLC now owns 10,110,872 shares of the payment services company’s stock valued at $990,866,000 after purchasing an additional 360,596 shares during the period. FMR LLC boosted its stake in shares of American Express by 969.9% during the second quarter. FMR LLC now owns 9,585,669 shares of the payment services company’s stock valued at $939,396,000 after purchasing an additional 8,689,714 shares during the period. American Century Companies Inc. boosted its stake in shares of American Express by 5.4% during the second quarter. American Century Companies Inc. now owns 5,522,458 shares of the payment services company’s stock valued at $541,201,000 after purchasing an additional 282,496 shares during the period. Finally, Boston Partners boosted its stake in shares of American Express by 2.2% during the second quarter. Boston Partners now owns 4,911,540 shares of the payment services company’s stock valued at $481,331,000 after purchasing an additional 103,576 shares during the period. 82.85% of the stock is owned by institutional investors and hedge funds.
About American Express
American Express Company, together with its subsidiaries, provides charge and credit payment card products and travel-related services to consumers and businesses worldwide. It operates through four segments: U.S. Consumer Services, International Consumer and Network Services, Global Commercial Services, and Global Merchant Services.
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