American Express Company

New York Stock Exchange
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Somewhat Bullish +45

American Express Company $AXP Shares Bought by Alberta Investment ...

📈 Alberta Investment Management Corp raised its AXP stake by 2.1% to 158,200 shares worth $58.5 million in Q4.

📊 American Express reported Q4 EPS of $4.28, beating estimates of $4.01, with revenue reaching $14.21 billion.

📉 Revenue missed analyst expectations of $18.60 billion despite an 11.4% year-over-year growth rate.

💰 The company declared a quarterly dividend of $0.95 per share payable on August 10th with a 1.1% yield.

🏦 DZ Bank upgraded AXP to 'buy' with a $375 price target, while Morgan Stanley lowered its target to $385.

📉 The average analyst rating is currently 'Hold' with an average price target of $360.80.

🏢 Hedge funds and institutional investors collectively own 84.33% of the company's outstanding stock.

Bullish Signals
  • American Express beat earnings per share estimates by $0.27, reporting $4.28 EPS compared to the consensus of $4.01.
  • The company achieved a robust return on equity of 33.95% and maintained a healthy net margin of 15.13%.
  • Revenue grew 11.4% year-over-year to reach $14.21 billion, demonstrating continued business expansion.
  • DZ Bank upgraded the stock rating from 'hold' to 'buy' with a price target of $375.00.
  • Royal Bank of Canada set a high price target of $415.00 on American Express shares.
  • The company has a low dividend payout ratio of 23.71%, indicating significant capacity for future dividend growth or buybacks.
  • Bank of America raised its price objective to $387.00 and reaffirmed a 'buy' rating.
Risk Factors
  • American Express reported revenue of $14.21 billion, which was significantly below the analyst consensus estimate of $18.60 billion.
  • Morgan Stanley reduced its price target from $395.00 to $385.00 and downgraded the rating to 'equal weight'.
  • The average analyst price target of $360.80 is below the recent high targets set by other institutions like Royal Bank of Canada.
  • One investment analyst has issued a 'Sell' rating on the stock, contributing to a mixed sentiment profile.
Full Analysis
Alberta Investment Management Corp increased its stake in American Express Company (NYSE:AXP) by 2.1% during the fourth quarter, purchasing an additional 3,200 shares to bring its total holding to 158,200 shares valued at $58.5 million. While Alberta's position grew, several other institutional investors took new positions or adjusted holdings, including Evolution Wealth Management Inc., which significantly increased its share count to 67 shares valued at $25,000, and multiple smaller funds like Joseph Group Capital Management and Sfam LLC acquiring stakes worth approximately $26,000 each. American Express recently reported quarterly earnings on April 23rd, delivering $4.28 per share which beat analyst consensus estimates of $4.01 by $0.27. Despite the positive earnings surprise, revenue came in at $14.21 billion, falling short of the $18.60 billion expected by analysts, though it represented an 11.4% year-over-year increase compared to the prior year's $3.64 EPS. The company maintains a strong financial profile with a return on equity of 33.95% and a net margin of 15.13%, while setting full-year 2026 guidance between $17.30 and $17.90 per share. Analyst sentiment remains mixed with varying price targets, as DZ Bank upgraded the stock to a 'buy' with a $375 target and Royal Bank of Canada set a $415 target, while Morgan Stanley lowered its target to $385 and assigned an 'equal weight' rating. The company is also preparing to pay a quarterly dividend of $0.95 per share on August 10th for shareholders of record on July 2nd, offering a yield of 1.1% based on an annualized payout of $3.80 and a current payout ratio of 23.71%.