American Express (AXP) Stock Declines While Market Improves: Some Information for Investors

The most recent trading session ended with American Express (AXP) standing at $302.26, reflecting a -0.79% shift from the previouse trading day's closing. This change lagged the S&P 500's 0.25% gain on the day. On the other hand, the Dow registered a loss of 0.29%, and the technology-centric Nasdaq increased by 0.97%.Prior to today's trading, shares of the credit card issuer and global payments company had gained 11.73% over the past month. This has outpaced the Finance sector's gain of 4.93% and the S&P 500's gain of 3.51% in that time.Investors will be eagerly watching for the performance of American Express in its upcoming earnings disclosure. The company is forecasted to report an EPS of $3.01, showcasing a 14.89% upward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $17.19 billion, up 8.8% from the year-ago period.In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $13.39 per share and a revenue of $65.96 billion, indicating changes of +19.45% and +9.01%, respectively, from the former year.Additionally, investors should keep an eye on any recent revisions to analyst forecasts for American Express. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.03% downward. As of now, American Express holds a Zacks Rank of #3 (Hold).Investors should also note American Express's current valuation metrics, including its Forward P/E ratio of 22.75. This denotes a premium relative to the industry's average Forward P/E of 12.63.We can additionally observe that AXP currently boasts a PEG ratio of 1.74. 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 1.1 at yesterday's closing price.The Financial - Miscellaneous Services industry is part of the Finance sector. This industry, currently bearing a Zacks Industry Rank of 56, finds itself in the top 23% echelons of all 250+ industries.The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.You can find more information on all of these metrics, and much more, on Zacks.com.Must-See: Solar Stocks Poised to SkyrocketThe solar industry stands to bounce back as tech companies and the economy transition away from fossil fuels to power the AI boom.Trillions of dollars will be invested in clean energy over the coming years – and analysts predict solar will account for 80% of the renewable energy expansion. This creates an outsized opportunity to profit in the near-term and for years to come. But you have to pick the right stocks to get into.Discover Zacks’ hottest solar stock recommendation FREE.Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report American Express Company (AXP): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks