RBC cuts target for American Express stock to USD 400.00
π RBC lowered its American Express stock target from USD 415.00 to USD 400.00 on October 9, 2026.
π American Express is scheduled to release third-quarter 2026 results and hold an earnings call on October 23, 2026.
π° The company has a market capitalization of USD 209.7 billion and a P/E ratio of 18.78 as of October 13, 2026.
π American Express trades at a lower valuation multiple than peers Visa and Mastercard, which both have P/E ratios above 33.
π― The current RBC target price sits approximately 28% above the stock's trading price of USD 310.57.
π Analysts are closely watching the upcoming earnings report for signals on spending trends and credit quality.
Bullish Signals
- American Express trades at a P/E ratio of 18.78, which is materially lower than peers Visa (33.40) and Mastercard (33.05), suggesting potential relative value.
- The RBC analyst target price of USD 400.00 represents significant upside from the current trading level of approximately USD 310.57.
Risk Factors
- Royal Bank of Canada lowered its price target for American Express stock from USD 415.00 to USD 400.00, indicating a reduction in near-term valuation expectations.
Full Analysis
Royal Bank of Canada (RBC) lowered its price target for American Express stock from USD 415.00 to USD 400.00 on October 9, 2026, while maintaining an Outperform rating. This adjustment occurred as American Express shares traded around USD 310.57, reflecting a slight decline of 0.31% against the prior close.
The company is scheduled to report its third-quarter 2026 results on October 23, 2026, with financial materials expected at 7:00 a.m. ET followed by an earnings call at 8:30 a.m. ET. Analysts view this upcoming report as a critical test for the company's spending trends, credit quality, and the returns generated from its premium-card strategy.
As of October 13, 2026, American Express holds a market capitalization of USD 209.7 billion and a P/E ratio of 18.78. This valuation presents a lower multiple compared to peers Visa (P/E 33.40) and Mastercard (P/E 33.05), positioning the stock near the lower end of its 52-week trading range.
The current analyst consensus places the USD 400.00 target price significantly above the current market quotation, suggesting potential upside if the upcoming earnings report validates the company's growth trajectory and premium segment performance.