Yahoo Finance Why American Express (AXP) is a Top Stock for the Long-Term
Building an investment portfolio from scratch can be difficult, especially if you're new to investing. It's easy to feel overwhelmed with so many different investment options out there, but focusing on stocks that are set to outperform the market over the next 12 months is an excellent place to start.
Let's now take a look at one standout stock that could be a perfect fit for your portfolio.
Why You Should Pay Attention to American Express (AXP)
Founded in 1850, NY-based American Express Company is a diversified financial services company, offering charge and credit payment card products, and travel-related services worldwide. American Express and its main subsidiary – American Express Travel Related Services Company, Inc. (“TRS”) – are bank holding companies under the Bank Holding Company Act of 1956. The company offers business travel-related services through its non-consolidated joint venture, American Express Global Business Travel (the GBT JV).
Since being added to the Zacks Focus List on December 23, 2021 at $162.47 per share, shares of AXP have increased 40.14% to $227.69.
Four analysts revised their earnings estimate higher in the last 60 days for fiscal 2024, while the Zacks Consensus Estimate has increased $0.12 to $12.83. AXP also boasts an average earnings surprise of 1.1%.
Moreover, analysts are expecting American Express' earnings to grow 14.5% for the current fiscal year.
Since stock prices respond to earnings estimate revisions, it can be very profitable to buy stocks with an increased earnings outlook. By buying a Focus List stock like AXP, then, you're likely getting into a company whose future earnings estimates will be raised, potentially leading to price momentum.
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American Express Company (AXP) : Free Stock Analysis Report
