American Express Company

New York Stock Exchange
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Bullish +72

Josh Brown’s Best Stock Idea: American Express (AXP)- Says Stock Can Hit $400

📈 Josh Brown projects American Express (AXP) stock could rise to $400 due to its wealthy client base and lack of natural sellers at current all-time highs.

💰 GreensKeeper Asset Management saw AXP as the top portfolio contributor in Q2 2025, gaining 18.6% driven by an 8% revenue increase from affluent customers.

🎓 American Express is upgrading its US Consumer and Business Platinum cards later this year to capture spending from younger Millennials and Gen Z consumers.

🏢 The company is expanding commercial card use cases with new products for working capital and expense management to increase transaction volume.

🤝 GreensKeeper notes that these product investments will strengthen AXP's network effect and lock in young consumers as their incomes rise.

📊 AXP represents a significant holding for Berkshire Hathaway, comprising 16% of its portfolio with 152 million shares valued at $50 billion.

Bullish Signals
  • Josh Brown identifies American Express as a top stock idea with a price target of $400, citing the company's unique position to capitalize on spending from the top 10% of households.
  • GreensKeeper Asset Management reported an 18.6% gain for AXP in Q2 2025, making it the top contributor to their portfolio during that period.
  • American Express achieved an 8% revenue increase at constant currency in Q1, driven by continued spending from its affluent customer base.
  • The company is upgrading its Platinum cards later this year and targeting Millennials and Gen Z, who now account for 35% of total US consumer spending.
  • New commercial products focused on working capital and expense management are expected to expand transaction participation and increase switching costs.
Full Analysis
Josh Brown, CEO of Ritholtz Wealth Management, identifies American Express (AXP) as a top stock idea, projecting the share price could reach $400. He attributes this potential to the company's wealthy client base, noting that half of US spending comes from the top 10% of households who predominantly hold Amex Platinum cards. Brown highlights that AXP is currently trading at all-time highs with no natural sellers remaining, suggesting a fresh breakout. GreensKeeper Asset Management reported an 18.6% gain for AXP in its second quarter of 2025, driven by an 8% revenue increase at constant currency from affluent customers. The firm notes that upgrades to US Consumer and Business Platinum cards are scheduled for release later in the year. Additionally, the company is targeting younger demographics, with Millennials and Gen Z now accounting for 35% of total US consumer spending. Beyond consumer segments, American Express is expanding its commercial offerings with new products focused on working capital and expense management. GreensKeeper believes these initiatives will strengthen network effects and increase switching costs for commercial card users. While the article mentions AI stocks as a potential alternative, it primarily focuses on AXP's strong performance and strategic product developments.