AMERICAN EXPRESS CO (AEC1.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:AEC1 - US0258161092 - Common Stock
325.95 EUR
-2.9 (-0.88%)
Taking everything into account, AEC1 scores 5 out of 10 in our fundamental rating. AEC1 was compared to 9 industry peers in the Consumer Finance industry. AEC1 scores excellent on profitability, but there are concerns on its financial health. While showing a medium growth rate, AEC1 is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
AEC1 had positive earnings in the past year.
AEC1 had a positive operating cash flow in the past year.
Each year in the past 5 years AEC1 has been profitable.
Each year in the past 5 years AEC1 had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.50%, AEC1 belongs to the top of the industry, outperforming 88.89% of the companies in the same industry.
AEC1's Return On Equity of 32.12% is amongst the best of the industry. AEC1 outperforms 100.00% of its industry peers.
AEC1 has a better Return On Invested Capital (3.77%) than 77.78% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for AEC1 is in line with the industry average of 4.39%.
The last Return On Invested Capital (3.77%) for AEC1 is above the 3 year average (3.64%), which is a sign of increasing profitability.
| 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
AEC1 has a Profit Margin of 13.72%. This is in the better half of the industry: AEC1 outperforms 66.67% of its industry peers.
AEC1's Profit Margin has been stable in the last couple of years.
Looking at the Operating Margin, with a value of 17.76%, AEC1 belongs to the top of the industry, outperforming 88.89% of the companies in the same industry.
In the last couple of years the Operating Margin of AEC1 has remained more or less at the same level.
AEC1 has a Gross Margin of 61.93%. This is in the better half of the industry: AEC1 outperforms 66.67% of its industry peers.
In the last couple of years the Gross Margin of AEC1 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
AEC1 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 AEC1 has been reduced compared to 1 year ago.
The number of shares outstanding for AEC1 has been reduced compared to 5 years ago.
AEC1 has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.90, we must say that AEC1 is in the distress zone and has some risk of bankruptcy.
AEC1's Altman-Z score of 0.90 is fine compared to the rest of the industry. AEC1 outperforms 77.78% of its industry peers.
The Debt to FCF ratio of AEC1 is 11.04, which is on the high side as it means it would take AEC1, 11.04 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 11.04, AEC1 perfoms like the industry average, outperforming 44.44% of the companies in the same industry.
A Debt/Equity ratio of 6.45 is on the high side and indicates that AEC1 has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 6.45, AEC1 is doing worse than 77.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.45 | ||
| Debt/FCF | 11.04 | ||
| Altman-Z | 0.9 |
ROIC/WACC0.52
WACC7.24%
2.3 Liquidity
AEC1 has a Current Ratio of 0.68. This is a bad value and indicates that AEC1 is not financially healthy enough and could expect problems in meeting its short term obligations.
AEC1 has a Current ratio (0.68) which is comparable to the rest of the industry.
A Quick Ratio of 0.68 indicates that AEC1 may have some problems paying its short term obligations.
The Quick ratio of AEC1 (0.68) 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.
AEC1 shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.27% yearly.
Looking at the last year, AEC1 shows a small growth in Revenue. The Revenue has grown by 4.37% in the last year.
AEC1 shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.79% yearly.
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
AEC1 is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.41% yearly.
Based on estimates for the next years, AEC1 will show a small growth in Revenue. The Revenue will grow by 7.50% on average per year.
EPS Next Y17.04%
EPS Next 2Y15.03%
EPS Next 3Y14.81%
EPS Next 5Y13.41%
Revenue Next Year9.36%
Revenue Next 2Y9.13%
Revenue Next 3Y8.91%
Revenue Next 5Y7.5%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 25.46 indicates a quite expensive valuation of AEC1.
AEC1's Price/Earnings is on the same level as the industry average.
AEC1's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.19.
A Price/Forward Earnings ratio of 21.48 indicates a rather expensive valuation of AEC1.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AEC1 indicates a slightly more expensive valuation: AEC1 is more expensive than 66.67% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of AEC1 to the average of the S&P500 Index (23.88), we can say AEC1 is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.46 | ||
| Fwd PE | 21.48 |
4.2 Price Multiples
AEC1's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. AEC1 is cheaper than 77.78% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, AEC1 is valued a bit more expensive than the industry average as 66.67% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.8 | ||
| EV/EBITDA | 17.54 |
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 AEC1 may justify a higher PE ratio.
A more expensive valuation may be justified as AEC1's earnings are expected to grow with 14.81% in the coming years.
PEG (NY)1.49
PEG (5Y)2.48
EPS Next 2Y15.03%
EPS Next 3Y14.81%
5. Dividend
5.1 Amount
With a yearly dividend of 0.86%, AEC1 is not a good candidate for dividend investing.
AEC1's Dividend Yield is comparable with the industry average which is at 1.64.
Compared to an average S&P500 Dividend Yield of 1.90, AEC1's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.86% |
5.2 History
The dividend of AEC1 is nicely growing with an annual growth rate of 10.33%!
Dividend Growth(5Y)10.33%
Div Incr Years3
Div Non Decr Years6
5.3 Sustainability
21.11% of the earnings are spent on dividend by AEC1. This is a low number and sustainable payout ratio.
AEC1's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP21.11%
EPS Next 2Y15.03%
EPS Next 3Y14.81%
FRA:AEC1 (1/9/2026, 7:00:00 PM)
325.95
-2.9 (-0.88%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryConsumer Finance
Earnings (Last)
Earnings (Next)
Inst Owners65.15%
Inst Owner ChangeN/A
Ins Owners0.07%
Ins Owner ChangeN/A
Market Cap224.53B
Revenue(TTM)75.91B
Net Income(TTM)10.41B
Analysts68.89
Price Target313.37 (-3.86%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.86% |
Yearly Dividend2.41
Dividend Growth(5Y)10.33%
DP21.11%
Div Incr Years3
Div Non Decr Years6
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)2.1%
PT rev (3m)12.11%
EPS NQ rev (1m)0.05%
EPS NQ rev (3m)-1.48%
EPS NY rev (1m)-0.03%
EPS NY rev (3m)0.98%
Revenue NQ rev (1m)0.11%
Revenue NQ rev (3m)0.99%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)0.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.46 | ||
| Fwd PE | 21.48 | ||
| P/S | 3.44 | ||
| P/FCF | 13.8 | ||
| P/OCF | 12.37 | ||
| P/B | 8.06 | ||
| P/tB | 8.06 | ||
| EV/EBITDA | 17.54 |
EPS(TTM)12.8
EY3.93%
EPS(NY)15.17
Fwd EY4.65%
FCF(TTM)23.62
FCFY7.25%
OCF(TTM)26.36
OCFY8.09%
SpS94.65
BVpS40.42
TBVpS40.42
PEG (NY)1.49
PEG (5Y)2.48
Graham Number107.9
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 | 0.9 |
F-Score6
WACC7.24%
ROIC/WACC0.52
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 Y17.04%
EPS Next 2Y15.03%
EPS Next 3Y14.81%
EPS Next 5Y13.41%
Revenue 1Y (TTM)4.37%
Revenue growth 3Y17.95%
Revenue growth 5Y8.79%
Sales Q2Q%10.76%
Revenue Next Year9.36%
Revenue Next 2Y9.13%
Revenue Next 3Y8.91%
Revenue Next 5Y7.5%
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 / AEC1.DE FAQ
What is the fundamental rating for AEC1 stock?
ChartMill assigns a fundamental rating of 4 / 10 to AEC1.DE.
Can you provide the valuation status for AMERICAN EXPRESS CO?
ChartMill assigns a valuation rating of 2 / 10 to AMERICAN EXPRESS CO (AEC1.DE). This can be considered as Overvalued.
Can you provide the profitability details for AMERICAN EXPRESS CO?
AMERICAN EXPRESS CO (AEC1.DE) has a profitability rating of 7 / 10.
What is the financial health of AMERICAN EXPRESS CO (AEC1.DE) stock?
The financial health rating of AMERICAN EXPRESS CO (AEC1.DE) is 2 / 10.
How sustainable is the dividend of AMERICAN EXPRESS CO (AEC1.DE) stock?
The dividend rating of AMERICAN EXPRESS CO (AEC1.DE) is 4 / 10 and the dividend payout ratio is 21.11%.