American Express Company (AXP) Expected to Post Quarterly Sales of $8.57 Billion
Equities analysts forecast that American Express Company (NYSE:AXP) will announce sales of $8.57 billion for the current quarter, Zacks Investment Research reports. Six analysts have issued estimates for American Express’ earnings, with estimates ranging from $8.43 billion to $8.88 billion. American Express posted sales of $8.02 billion during the same quarter last year, which would suggest a positive year over year growth rate of 6.9%. The firm is scheduled to announce its next quarterly earnings report on Thursday, January 18th.
On average, analysts expect that American Express will report full-year sales of $8.57 billion for the current fiscal year, with estimates ranging from $32.89 billion to $33.56 billion. For the next financial year, analysts anticipate that the business will report sales of $35.02 billion per share, with estimates ranging from $34.54 billion to $35.76 billion. Zacks’ sales averages are a mean average based on a survey of research analysts that that provide coverage for American Express.
American Express (NYSE:AXP) last announced its quarterly earnings results on Wednesday, October 18th. The payment services company reported $1.50 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $1.47 by $0.03. The firm had revenue of $8.44 billion for the quarter, compared to analyst estimates of $8.31 billion. American Express had a net margin of 14.48% and a return on equity of 22.75%. The business’s revenue for the quarter was up 8.5% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.24 EPS.
Several brokerages recently weighed in on AXP. Jefferies Group LLC lifted their price objective on shares of American Express from $64.75 to $93.35 and gave the company a “hold” rating in a research report on Friday. Royal Bank Of Canada lifted their price objective on shares of American Express to $68.00 and gave the company an “underperform” rating in a research report on Thursday. Piper Jaffray Companies reiterated a “hold” rating and issued a $98.00 price objective on shares of American Express in a research report on Thursday. Barclays PLC set a $93.00 price objective on shares of American Express and gave the company a “hold” rating in a research report on Thursday. Finally, Bank of America Corporation lifted their price objective on shares of American Express from $102.00 to $106.00 and gave the company a “buy” rating in a research report on Thursday. Three investment analysts have rated the stock with a sell rating, sixteen have given a hold rating and thirteen have issued a buy rating to the company’s stock. The stock currently has an average rating of “Hold” and an average target price of $90.66.
Shares of American Express (NYSE:AXP) opened at 92.09 on Monday. The firm has a 50-day moving average of $89.20 and a 200 day moving average of $83.54. The company has a market cap of $81.41 billion, a price-to-earnings ratio of 18.89 and a beta of 1.21. American Express has a one year low of $65.03 and a one year high of $93.35.
The company also recently announced a quarterly dividend, which will be paid on Friday, November 10th. Stockholders of record on Friday, October 6th will be given a $0.35 dividend. This is an increase from American Express’s previous quarterly dividend of $0.32. This represents a $1.40 annualized dividend and a dividend yield of 1.52%. The ex-dividend date of this dividend is Thursday, October 5th. American Express’s dividend payout ratio (DPR) is 26.97%.
American Express declared that its board has authorized a stock repurchase program on Wednesday, June 28th that permits the company to repurchase $4.40 billion in outstanding shares. This repurchase authorization permits the payment services company to purchase up to 5.9% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company’s board of directors believes its stock is undervalued.
In related news, insider James Peter Bush sold 10,230 shares of the business’s stock in a transaction that occurred on Monday, October 2nd. The shares were sold at an average price of $90.55, for a total transaction of $926,326.50. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. Also, insider Susan Sobbott sold 6,000 shares of the business’s stock in a transaction that occurred on Thursday, September 7th. The shares were sold at an average price of $84.39, for a total transaction of $506,340.00. The disclosure for this sale can be found here. Over the last three months, insiders sold 164,133 shares of company stock worth $14,056,033. 0.67% of the stock is currently owned by insiders.
Institutional investors and hedge funds have recently made changes to their positions in the stock. MCF Advisors LLC grew its position in American Express by 0.3% during the second quarter. MCF Advisors LLC now owns 1,286 shares of the payment services company’s stock valued at $108,000 after purchasing an additional 4 shares in the last quarter. Farmers & Merchants Trust Co of Chambersburg PA grew its position in American Express by 30.4% during the second quarter. Farmers & Merchants Trust Co of Chambersburg PA now owns 1,288 shares of the payment services company’s stock valued at $109,000 after purchasing an additional 300 shares in the last quarter. Capital Analysts LLC purchased a new position in American Express during the second quarter valued at approximately $115,000. MV Capital Management Inc. grew its position in American Express by 3.5% during the second quarter. MV Capital Management Inc. now owns 1,448 shares of the payment services company’s stock valued at $122,000 after purchasing an additional 49 shares in the last quarter. Finally, SRS Capital Advisors Inc. grew its position in American Express by 10.3% during the first quarter. SRS Capital Advisors Inc. now owns 1,476 shares of the payment services company’s stock valued at $116,000 after purchasing an additional 138 shares in the last quarter. 82.77% of the stock is currently owned by hedge funds and other institutional investors.
About American Express
American Express Company, together with its subsidiaries, is a global services company. The Company’s principal products and services are charge and credit card products, and travel-related services, which are offered to consumers and businesses around the world. Its segments include the U.S. Consumer Services (USCS), International Consumer and Network Services (ICNS), Global Commercial Services (GCS) and Global Merchant Services (GMS).
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