AMERICAN EXPRESS CO (1AXP.MI) Stock Fundamental Analysis
Europe - BIT:1AXP - US0258161092 - Common Stock
314.4 EUR
-0.05 (-0.02%)
1AXP gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 8 industry peers in the Consumer Finance industry. 1AXP has an excellent profitability rating, but there are concerns on its financial health. 1AXP has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
1AXP had positive earnings in the past year.
1AXP had a positive operating cash flow in the past year.
Each year in the past 5 years 1AXP has been profitable.
In the past 5 years 1AXP always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 3.50%, 1AXP belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
The Return On Equity of 1AXP (32.12%) is better than 100.00% of its industry peers.
The Return On Invested Capital of 1AXP (3.77%) is better than 75.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for 1AXP is in line with the industry average of 4.35%.
The 3 year average ROIC (3.64%) for 1AXP is below the current ROIC(3.77%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.5% | ||
| ROE | 32.12% | ||
| ROIC | 3.77% |
ROA(3y)3.36%
ROA(5y)3.17%
ROE(3y)30.79%
ROE(5y)28.26%
ROIC(3y)3.64%
ROIC(5y)3.45%
1.3 Margins
The Profit Margin of 1AXP (13.72%) is better than 87.50% of its industry peers.
In the last couple of years the Profit Margin of 1AXP has remained more or less at the same level.
Looking at the Operating Margin, with a value of 17.76%, 1AXP belongs to the top of the industry, outperforming 87.50% of the companies in the same industry.
In the last couple of years the Operating Margin of 1AXP has remained more or less at the same level.
The Gross Margin of 1AXP (61.93%) is better than 62.50% of its industry peers.
In the last couple of years the Gross Margin of 1AXP has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.76% | ||
| PM (TTM) | 13.72% | ||
| GM | 61.93% |
OM growth 3Y-8.78%
OM growth 5Y-0.57%
PM growth 3Y-8.37%
PM growth 5Y-0.22%
GM growth 3Y-2.58%
GM growth 5Y-1.09%
2. Health
2.1 Basic Checks
1AXP has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for 1AXP has been reduced compared to 1 year ago.
The number of shares outstanding for 1AXP has been reduced compared to 5 years ago.
The debt/assets ratio for 1AXP is higher compared to a year ago.
2.2 Solvency
1AXP has an Altman-Z score of 0.87. This is a bad value and indicates that 1AXP is not financially healthy and even has some risk of bankruptcy.
1AXP has a Altman-Z score of 0.87. This is in the better half of the industry: 1AXP outperforms 75.00% of its industry peers.
1AXP has a debt to FCF ratio of 11.04. This is a negative value and a sign of low solvency as 1AXP would need 11.04 years to pay back of all of its debts.
1AXP has a Debt to FCF ratio (11.04) which is in line with its industry peers.
A Debt/Equity ratio of 6.45 is on the high side and indicates that 1AXP has dependencies on debt financing.
1AXP has a worse Debt to Equity ratio (6.45) than 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.45 | ||
| Debt/FCF | 11.04 | ||
| Altman-Z | 0.87 |
ROIC/WACC0.4
WACC9.52%
2.3 Liquidity
A Current Ratio of 0.68 indicates that 1AXP may have some problems paying its short term obligations.
1AXP's Current ratio of 0.68 is in line compared to the rest of the industry. 1AXP outperforms 50.00% of its industry peers.
1AXP has a Quick Ratio of 0.68. This is a bad value and indicates that 1AXP is not financially healthy enough and could expect problems in meeting its short term obligations.
1AXP has a Quick ratio (0.68) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.68 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 15.24% over the past year.
The Earnings Per Share has been growing by 10.27% on average over the past years. This is quite good.
The Revenue has been growing slightly by 4.37% in the past year.
Measured over the past years, 1AXP shows a quite strong growth in Revenue. The Revenue has been growing by 8.79% on average per year.
EPS 1Y (TTM)15.24%
EPS 3Y10.15%
EPS 5Y10.27%
EPS Q2Q%18.62%
Revenue 1Y (TTM)4.37%
Revenue growth 3Y17.95%
Revenue growth 5Y8.79%
Sales Q2Q%10.76%
3.2 Future
Based on estimates for the next years, 1AXP will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.40% on average per year.
1AXP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.38% yearly.
EPS Next Y16.57%
EPS Next 2Y14.7%
EPS Next 3Y14.22%
EPS Next 5Y10.4%
Revenue Next Year9.03%
Revenue Next 2Y8.8%
Revenue Next 3Y8.67%
Revenue Next 5Y7.38%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 24.24, the valuation of 1AXP can be described as rather expensive.
Based on the Price/Earnings ratio, 1AXP is valued a bit cheaper than 75.00% of the companies in the same industry.
1AXP's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.13.
The Price/Forward Earnings ratio is 20.57, which indicates a rather expensive current valuation of 1AXP.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1AXP is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.35, 1AXP is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.24 | ||
| Fwd PE | 20.57 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1AXP is valued a bit cheaper than 75.00% of the companies in the same industry.
1AXP's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. 1AXP is cheaper than 62.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.14 | ||
| EV/EBITDA | 16.72 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of 1AXP may justify a higher PE ratio.
A more expensive valuation may be justified as 1AXP's earnings are expected to grow with 14.22% in the coming years.
PEG (NY)1.46
PEG (5Y)2.36
EPS Next 2Y14.7%
EPS Next 3Y14.22%
5. Dividend
5.1 Amount
With a yearly dividend of 0.91%, 1AXP is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.91, 1AXP pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.39, 1AXP's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.91% |
5.2 History
On average, the dividend of 1AXP grows each year by 10.33%, which is quite nice.
Dividend Growth(5Y)10.33%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1AXP pays out 21.11% of its income as dividend. This is a sustainable payout ratio.
1AXP's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP21.11%
EPS Next 2Y14.7%
EPS Next 3Y14.22%
BIT:1AXP (11/4/2025, 7:00:00 PM)
314.4
-0.05 (-0.02%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners65.31%
Inst Owner ChangeN/A
Ins Owners0.09%
Ins Owner ChangeN/A
Market Cap216.57B
Revenue(TTM)75.91B
Net Income(TTM)10.41B
Analysts67.22
Price Target306.37 (-2.55%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.91% |
Yearly Dividend2.43
Dividend Growth(5Y)10.33%
DP21.11%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.22%
Min EPS beat(2)2.58%
Max EPS beat(2)3.86%
EPS beat(4)3
Avg EPS beat(4)2.4%
Min EPS beat(4)-0.95%
Max EPS beat(4)4.09%
EPS beat(8)6
Avg EPS beat(8)3.9%
EPS beat(12)8
Avg EPS beat(12)2.15%
EPS beat(16)12
Avg EPS beat(16)3.7%
Revenue beat(2)1
Avg Revenue beat(2)0.45%
Min Revenue beat(2)-0.18%
Max Revenue beat(2)1.09%
Revenue beat(4)1
Avg Revenue beat(4)-0.19%
Min Revenue beat(4)-0.88%
Max Revenue beat(4)1.09%
Revenue beat(8)1
Avg Revenue beat(8)-0.95%
Revenue beat(12)3
Avg Revenue beat(12)0.48%
Revenue beat(16)7
Avg Revenue beat(16)1.9%
PT rev (1m)10.65%
PT rev (3m)17.24%
EPS NQ rev (1m)-0.97%
EPS NQ rev (3m)-3.58%
EPS NY rev (1m)0.57%
EPS NY rev (3m)1.23%
Revenue NQ rev (1m)0.9%
Revenue NQ rev (3m)1.22%
Revenue NY rev (1m)0.43%
Revenue NY rev (3m)0.83%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.24 | ||
| Fwd PE | 20.57 | ||
| P/S | 3.28 | ||
| P/FCF | 13.14 | ||
| P/OCF | 11.77 | ||
| P/B | 7.68 | ||
| P/tB | 7.68 | ||
| EV/EBITDA | 16.72 |
EPS(TTM)12.97
EY4.13%
EPS(NY)15.29
Fwd EY4.86%
FCF(TTM)23.93
FCFY7.61%
OCF(TTM)26.71
OCFY8.49%
SpS95.9
BVpS40.95
TBVpS40.95
PEG (NY)1.46
PEG (5Y)2.36
Graham Number109.32
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.5% | ||
| ROE | 32.12% | ||
| ROCE | 10.25% | ||
| ROIC | 3.77% | ||
| ROICexc | 4.62% | ||
| ROICexgc | 5.14% | ||
| OM | 17.76% | ||
| PM (TTM) | 13.72% | ||
| GM | 61.93% | ||
| FCFM | 24.95% |
ROA(3y)3.36%
ROA(5y)3.17%
ROE(3y)30.79%
ROE(5y)28.26%
ROIC(3y)3.64%
ROIC(5y)3.45%
ROICexc(3y)4.36%
ROICexc(5y)4.08%
ROICexgc(3y)4.66%
ROICexgc(5y)4.41%
ROCE(3y)9.86%
ROCE(5y)9.06%
ROICexgc growth 3Y-4.54%
ROICexgc growth 5Y1.68%
ROICexc growth 3Y-3.59%
ROICexc growth 5Y1.93%
OM growth 3Y-8.78%
OM growth 5Y-0.57%
PM growth 3Y-8.37%
PM growth 5Y-0.22%
GM growth 3Y-2.58%
GM growth 5Y-1.09%
F-Score6
Asset Turnover0.26
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.45 | ||
| Debt/FCF | 11.04 | ||
| Debt/EBITDA | 13.73 | ||
| Cap/Depr | 126.1% | ||
| Cap/Sales | 2.9% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 138.84% | ||
| Profit Quality | 181.93% | ||
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.68 | ||
| Altman-Z | 0.87 |
F-Score6
WACC9.52%
ROIC/WACC0.4
Cap/Depr(3y)107.59%
Cap/Depr(5y)102%
Cap/Sales(3y)2.77%
Cap/Sales(5y)3.15%
Profit Quality(3y)195.73%
Profit Quality(5y)177.62%
High Growth Momentum
Growth
EPS 1Y (TTM)15.24%
EPS 3Y10.15%
EPS 5Y10.27%
EPS Q2Q%18.62%
EPS Next Y16.57%
EPS Next 2Y14.7%
EPS Next 3Y14.22%
EPS Next 5Y10.4%
Revenue 1Y (TTM)4.37%
Revenue growth 3Y17.95%
Revenue growth 5Y8.79%
Sales Q2Q%10.76%
Revenue Next Year9.03%
Revenue Next 2Y8.8%
Revenue Next 3Y8.67%
Revenue Next 5Y7.38%
EBIT growth 1Y10.4%
EBIT growth 3Y7.6%
EBIT growth 5Y8.16%
EBIT Next Year45.1%
EBIT Next 3Y10%
EBIT Next 5YN/A
FCF growth 1Y1.99%
FCF growth 3Y-2.5%
FCF growth 5Y0.25%
OCF growth 1Y4.53%
OCF growth 3Y-1.37%
OCF growth 5Y0.61%
AMERICAN EXPRESS CO / 1AXP.MI FAQ
Can you provide the ChartMill fundamental rating for AMERICAN EXPRESS CO?
ChartMill assigns a fundamental rating of 5 / 10 to 1AXP.MI.
What is the valuation status for 1AXP stock?
ChartMill assigns a valuation rating of 4 / 10 to AMERICAN EXPRESS CO (1AXP.MI). This can be considered as Fairly Valued.
Can you provide the profitability details for AMERICAN EXPRESS CO?
AMERICAN EXPRESS CO (1AXP.MI) has a profitability rating of 8 / 10.
What are the PE and PB ratios of AMERICAN EXPRESS CO (1AXP.MI) stock?
The Price/Earnings (PE) ratio for AMERICAN EXPRESS CO (1AXP.MI) is 24.24 and the Price/Book (PB) ratio is 7.68.
Can you provide the financial health for 1AXP stock?
The financial health rating of AMERICAN EXPRESS CO (1AXP.MI) is 2 / 10.