American Express Company (NYSE:AXP) is scheduled to report Q4 earnings results on January 24, 2020, before markets open for trading.
The company is expected to report earnings of $2.02/share on revenue of $11.378 billion. The consensus earnings per share (EPS) of $2.02/share is based on a poll of 20 analysts and represents a growth of 16.1% over the same quarter last year when the company reported earnings of $1.74/share.
The revenue forecast of $11.378 billion based on a poll of 20 analysts implies a year-over-year (YoY) growth of 8.6%. Last year the company reported $10.474 billion in revenue for the quarter.
|Metric||Expected||Prior Year||YoY Change|
Earnings Call Trends
Historically, management has exceeded analyst expectations 7 out of the last 8 tracked quarters, and missed expectations 1 quarter. What are your expectations from American Express for earnings this quarter? Let us know in the comments!
In the following table, we summarize the company’s stock price movements after earnings releases. The “Price Day Prior” column shows the closing stock price on the day before the earnings report, and the “Price Next Day” column shows the stock price at the end of the trading day after the earnings report.
After the last earnings report for the period ending September 30, 2019, the stock price reacted by falling by -2.0%.
|Report Date||Price Day Prior||Price Next Day||Change %||Result|
Fundamentals And Technical Analysis
American Express is currently trading at $130.53/share, down -0.8% for the day. The company is trading at approximately 99.0% of its 52-week high of $131.86/share. The company’s stock price is up 11.8% since the last earnings report and up 1.3% over the previous week.
The company’s 14 Day Relative Price Index (RSI) of 76.83 suggests the company is trading in technically overbought territory. The RSI is considered overbought when above 70 and oversold when below 30.
The current share price implies a price-to-earnings (P/E) multiple of 15.2x and a forward P/E multiple of 15.9x. American Express’s current share price also implies a price-to-book (P/B) multiple of 4.7x. The following table summarizes some other key fundamental ratios:
|Last Fiscal Period||FY2019.Q3|
|Period End Date||September 30, 2019|
|Stock Price (Current)||$130.53|
|P/E Ratio (Fwd)||15.9x|
|Total Debt to Capital (%)||36.6%|
|Levered Free Cash Flow||$7.49 billion|
|Enterprise Value / EBITDA||–|
Company Profile: American Express Company
American Express Company is a large-cap stock with a market capitalization of $107.6 billion. The company operates in the Financial sector and the Consumer Finance industry.
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.
The company’s products and services include charge and credit card products, as well as other payment and financing products; network services; expense management products and services; travel-related services; and prepaid products.
Its products and services also comprise merchant acquisition and processing, servicing and settlement, point-of-sale marketing, and information products and services for merchants; and fraud prevention services, as well as the design and operation of customer loyalty programs.
The company sells its products and services to consumers, small businesses, mid-sized companies, and large corporations through online and mobile applications, third-party vendors and business partners, direct mail, telephone, in-house teams, and direct response advertising.
American Express Company was founded in 1850 and is headquartered in New York, New York.