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American Express (AXP) Dips More Than Broader Markets: What You Should Know
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American Express (AXP - Free Report) closed the most recent trading day at $144.01, moving -1.63% from the previous trading session. This change lagged the S&P 500's daily loss of 1.2%. At the same time, the Dow lost 1.1%, and the tech-heavy Nasdaq lost 2.86%.
Prior to today's trading, shares of the credit card issuer and global payments company had lost 5.2% over the past month. This has lagged the Finance sector's loss of 4.1% and the S&P 500's loss of 4.77% in that time.
Wall Street will be looking for positivity from American Express as it approaches its next earnings report date. On that day, American Express is projected to report earnings of $2.19 per share, which would represent year-over-year growth of 0.46%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $14.26 billion, up 17.39% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $9.96 per share and revenue of $52.94 billion. These totals would mark changes of -0.6% and +24.92%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for American Express. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.41% higher. American Express is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, American Express currently has a Forward P/E ratio of 14.7. This valuation marks a premium compared to its industry's average Forward P/E of 10.04.
We can also see that AXP currently has a PEG ratio of 1.24. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Financial - Miscellaneous Services was holding an average PEG ratio of 0.69 at yesterday's closing price.
The Financial - Miscellaneous Services industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 86, which puts it in the top 35% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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American Express (AXP) Dips More Than Broader Markets: What You Should Know
American Express (AXP - Free Report) closed the most recent trading day at $144.01, moving -1.63% from the previous trading session. This change lagged the S&P 500's daily loss of 1.2%. At the same time, the Dow lost 1.1%, and the tech-heavy Nasdaq lost 2.86%.
Prior to today's trading, shares of the credit card issuer and global payments company had lost 5.2% over the past month. This has lagged the Finance sector's loss of 4.1% and the S&P 500's loss of 4.77% in that time.
Wall Street will be looking for positivity from American Express as it approaches its next earnings report date. On that day, American Express is projected to report earnings of $2.19 per share, which would represent year-over-year growth of 0.46%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $14.26 billion, up 17.39% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $9.96 per share and revenue of $52.94 billion. These totals would mark changes of -0.6% and +24.92%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for American Express. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.41% higher. American Express is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, American Express currently has a Forward P/E ratio of 14.7. This valuation marks a premium compared to its industry's average Forward P/E of 10.04.
We can also see that AXP currently has a PEG ratio of 1.24. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Financial - Miscellaneous Services was holding an average PEG ratio of 0.69 at yesterday's closing price.
The Financial - Miscellaneous Services industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 86, which puts it in the top 35% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.