American Express (NYSE:AXP) Cut to Hold at ValuEngine

ValuEngine lowered shares of American Express (NYSE:AXP) from a buy rating to a hold rating in a research note published on Thursday, ValuEngine reports.

Several other equities research analysts also recently issued reports on AXP. Morgan Stanley upgraded shares of American Express from an equal weight rating to an overweight rating and set a $140.00 price objective for the company in a research note on Friday, May 3rd. Jefferies Financial Group set a $130.00 price objective on shares of American Express and gave the stock a hold rating in a research note on Friday, July 19th. JPMorgan Chase & Co. decreased their price objective on shares of American Express from $135.00 to $132.00 and set a neutral rating for the company in a research note on Monday, July 22nd. Royal Bank of Canada upped their target price on shares of American Express from $120.00 to $125.00 and gave the company a sector perform rating in a research note on Monday, July 22nd. They noted that the move was a valuation call. Finally, Wells Fargo & Co upped their target price on shares of American Express from $135.00 to $140.00 and gave the company an outperform rating in a research note on Wednesday, July 10th. One investment analyst has rated the stock with a sell rating, ten have issued a hold rating and nine have issued a buy rating to the stock. The company presently has a consensus rating of Hold and a consensus target price of $124.38.

AXP traded up $0.22 during trading on Thursday, hitting $124.31. 3,268,755 shares of the company’s stock were exchanged, compared to its average volume of 3,066,818. The company has a current ratio of 1.84, a quick ratio of 1.84 and a debt-to-equity ratio of 2.50. American Express has a 1 year low of $89.05 and a 1 year high of $129.34. The stock’s 50 day moving average is $125.41. The stock has a market capitalization of $103.19 billion, a price-to-earnings ratio of 16.96, a P/E/G ratio of 1.40 and a beta of 1.05.

American Express (NYSE:AXP) last released its quarterly earnings data on Friday, July 19th. The payment services company reported $2.07 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.05 by $0.02. American Express had a net margin of 16.60% and a return on equity of 29.75%. The company had revenue of $10.84 billion during the quarter, compared to the consensus estimate of $10.82 billion. During the same period in the previous year, the firm earned $1.84 earnings per share. American Express’s revenue for the quarter was up 8.4% on a year-over-year basis. Sell-side analysts forecast that American Express will post 8.14 earnings per share for the current year.

The business also recently disclosed a quarterly dividend, which will be paid on Friday, August 9th. Shareholders of record on Friday, July 5th will be paid a dividend of $0.39 per share. The ex-dividend date is Wednesday, July 3rd. This represents a $1.56 dividend on an annualized basis and a yield of 1.25%. American Express’s dividend payout ratio (DPR) is 21.28%.

In other American Express news, insider Laureen Seeger sold 44,584 shares of the stock in a transaction on Tuesday, May 28th. The shares were sold at an average price of $119.25, for a total transaction of $5,316,642.00. Following the transaction, the insider now directly owns 80,375 shares in the company, valued at approximately $9,584,718.75. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Paul D. Fabara sold 15,455 shares of the stock in a transaction on Thursday, July 25th. The shares were sold at an average price of $127.06, for a total transaction of $1,963,712.30. Following the transaction, the insider now owns 35,931 shares in the company, valued at $4,565,392.86. The disclosure for this sale can be found here. Insiders have sold a total of 190,548 shares of company stock worth $22,910,322 over the last quarter. 0.21% of the stock is currently owned by insiders.

Hedge funds and other institutional investors have recently bought and sold shares of the business. Usca Ria LLC raised its holdings in shares of American Express by 18.0% during the second quarter. Usca Ria LLC now owns 3,420 shares of the payment services company’s stock worth $422,000 after purchasing an additional 521 shares during the period. Institute for Wealth Management LLC. raised its holdings in shares of American Express by 10.4% during the second quarter. Institute for Wealth Management LLC. now owns 12,460 shares of the payment services company’s stock worth $1,538,000 after purchasing an additional 1,173 shares during the period. F3Logic LLC acquired a new stake in shares of American Express during the second quarter worth $849,000. Markel Corp raised its holdings in shares of American Express by 15.1% during the second quarter. Markel Corp now owns 451,000 shares of the payment services company’s stock worth $55,671,000 after purchasing an additional 59,000 shares during the period. Finally, GHP Investment Advisors Inc. raised its holdings in shares of American Express by 2.2% during the second quarter. GHP Investment Advisors Inc. now owns 40,972 shares of the payment services company’s stock worth $5,058,000 after purchasing an additional 877 shares during the period. Hedge funds and other institutional investors own 84.17% of the company’s stock.

American Express Company Profile

American Express Company, together with its subsidiaries, provides charge and credit payment card products, and travel-related services to consumers and businesses worldwide. It operates through three segments: Global Consumer Services Group, Global Commercial Services, and Global Merchant and Network Services.

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To view ValuEngine’s full report, visit ValuEngine’s official website.

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