Deep Dive Into American Express Stock: Analyst Perspectives (8 Ratings)
In the latest quarter, 8 analysts rated American Express (NYSE:AXP), revealing mixed sentiments. The average 12-month price target is $342.25, up 10.62% from $309.38. Key analysts raised their ratings and targets, with Wells Fargo and Deutsche Bank both setting targets at $375.00. American Express shows strong financial health with a 15.97% net margin and an 8.98% return on equity, although its return on assets is below industry standards at 0.99%. The company's debt-to-equity ratio is 1.85, indicating conservative debt management.
In the latest quarter, 8 analysts provided ratings for American Express (NYSE:AXP), showcasing a mix of bullish and bearish perspectives.
The following table provides a quick overview of their recent ratings, highlighting the changing sentiments over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 2 | 2 | 4 | 0 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 2 | 1 | 3 | 0 | 0 |
| 3M Ago | 0 | 0 | 1 | 0 | 0 |
Analysts have recently evaluated American Express and provided 12-month price targets. The average target is $342.25, accompanied by a high estimate of $375.00 and a low estimate of $297.00. This upward trend is apparent, with the current average reflecting a 10.62% increase from the previous average price target of $309.38.
Breaking Down Analyst Ratings: A Detailed Examination
The analysis of recent analyst actions sheds light on the perception of American Express by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Donald Fandetti | Wells Fargo | Raises | Overweight | $375.00 | $350.00 |
| Mark Devries | Deutsche Bank | Raises | Buy | $375.00 | $371.00 |
| Richard Shane | JP Morgan | Raises | Neutral | $342.00 | $260.00 |
| Betsy Graseck | Morgan Stanley | Raises | Equal-Weight | $311.00 | $250.00 |
| Sanjay Sakhrani | Keefe, Bruyette & Woods | Raises | Outperform | $371.00 | $360.00 |
| Brian Foran | Truist Securities | Raises | Buy | $340.00 | $335.00 |
| Terry Ma | Barclays | Raises | Equal-Weight | $297.00 | $249.00 |
| Keith Horowitz | Citigroup | Raises | Neutral | $327.00 | $300.00 |
Key Insights:
- Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to American Express. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of American Express compared to the broader market.
- Price Targets: Delving into movements, analysts provide estimates for the future value of American Express's stock. This analysis reveals shifts in analysts' expectations over time.
Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of American Express's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.
Stay up to date on American Express analyst ratings.
Unveiling the Story Behind American Express
American Express is a global financial institution, operating in about 130 countries, that provides consumers and businesses charge and credit card payment products. The company also operates a highly profitable merchant payment network. The firm operates in four segments: US consumer services, US commercial services, international card services, and global merchant and network services. In addition to payment products, the company's commercial business offers expense management tools, consulting services, and business loans.
Financial Milestones: American Express's Journey
Market Capitalization: Boasting an elevated market capitalization, the company surpasses industry averages. This signals substantial size and strong market recognition.
Positive Revenue Trend: Examining American Express's financials over 3M reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 9.32% as of 30 June, 2025, showcasing a substantial increase in top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Financials sector.
Net Margin: American Express's net margin excels beyond industry benchmarks, reaching 15.97%. This signifies efficient cost management and strong financial health.
Return on Equity (ROE): American Express's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 8.98% ROE, the company effectively utilizes shareholder equity capital.
Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of 0.99%, the company may need to address challenges in generating satisfactory returns from its assets.
Debt Management: American Express's debt-to-equity ratio is below the industry average at 1.85, reflecting a lower dependency on debt financing and a more conservative financial approach.
The Significance of Analyst Ratings Explained
Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.
Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.
Which Stocks Are Analysts Recommending Now?
Benzinga Edge gives you instant access to all major analyst upgrades, downgrades, and price targets. Sort by accuracy, upside potential, and more. Click here to stay ahead of the market.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
