AMERICAN EXPRESS CO (AEC1.DE) Stock Fundamental Analysis
Europe - FRA:AEC1 - US0258161092 - Common Stock
310.85 EUR
+1.45 (+0.47%)
We assign a fundamental rating of 4 out of 10 to AEC1. AEC1 was compared to 8 industry peers in the Consumer Finance industry. AEC1 has an excellent profitability rating, but there are concerns on its financial health. AEC1 is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year AEC1 was profitable.
In the past year AEC1 had a positive cash flow from operations.
In the past 5 years AEC1 has always been profitable.
AEC1 had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
AEC1 has a better Return On Assets (3.50%) than 75.00% of its industry peers.
Looking at the Return On Equity, with a value of 32.12%, AEC1 belongs to the top of the industry, outperforming 87.50% of the companies in the same industry.
AEC1's Return On Invested Capital of 3.77% is fine compared to the rest of the industry. AEC1 outperforms 62.50% of its industry peers.
AEC1 had an Average Return On Invested Capital over the past 3 years of 3.64%. This is in line with the industry average of 4.35%.
The 3 year average ROIC (3.64%) for AEC1 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
AEC1 has a better Profit Margin (13.72%) than 75.00% 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 is in the better half of the industry, outperforming 75.00% 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 (61.93%) which is comparable to the rest of the industry.
AEC1's Gross Margin has been stable in the last couple of years.
| 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.
AEC1 has less shares outstanding than it did 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 0.87, we must say that AEC1 is in the distress zone and has some risk of bankruptcy.
AEC1 has a Altman-Z score of 0.87. This is amongst the best in the industry. AEC1 outperforms 87.50% of its industry peers.
AEC1 has a debt to FCF ratio of 11.04. This is a negative value and a sign of low solvency as AEC1 would need 11.04 years to pay back of all of its debts.
With a Debt to FCF ratio value of 11.04, AEC1 is not doing good in the industry: 62.50% of the companies in the same industry are doing better.
AEC1 has a Debt/Equity ratio of 6.45. This is a high value indicating a heavy dependency on external financing.
AEC1 has a worse Debt to Equity ratio (6.45) than 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.45 | ||
| Debt/FCF | 11.04 | ||
| Altman-Z | 0.87 |
ROIC/WACC0.39
WACC9.64%
2.3 Liquidity
A Current Ratio of 0.68 indicates that AEC1 may have some problems paying its short term obligations.
AEC1 has a worse Current ratio (0.68) than 62.50% of its industry peers.
AEC1 has a Quick 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 worse Quick ratio (0.68) than 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.68 | ||
| Quick Ratio | 0.68 |
3. Growth
3.1 Past
AEC1 shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.24%, which is quite good.
Measured over the past years, AEC1 shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.27% on average per year.
Looking at the last year, AEC1 shows a small growth in Revenue. The Revenue has grown by 4.37% in the last year.
The Revenue has been growing by 8.79% on average over the past years. This is quite good.
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, AEC1 will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.40% on average per year.
Based on estimates for the next years, AEC1 will show a small growth in Revenue. The Revenue will grow by 7.38% on average per year.
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
A Price/Earnings ratio of 24.29 indicates a rather expensive valuation of AEC1.
Based on the Price/Earnings ratio, AEC1 is valued a bit cheaper than the industry average as 62.50% of the companies are valued more expensively.
AEC1 is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.08, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 20.60 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 62.50% 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 (23.09), we can say AEC1 is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.29 | ||
| Fwd PE | 20.6 |
4.2 Price Multiples
62.50% of the companies in the same industry are more expensive than AEC1, based on the Enterprise Value to EBITDA ratio.
AEC1's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.16 | ||
| EV/EBITDA | 16.74 |
4.3 Compensation for Growth
AEC1's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of AEC1 may justify a higher PE ratio.
AEC1's earnings are expected to grow with 14.22% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.47
PEG (5Y)2.37
EPS Next 2Y14.7%
EPS Next 3Y14.22%
5. Dividend
5.1 Amount
AEC1 has a yearly dividend return of 0.92%, which is pretty low.
Compared to an average industry Dividend Yield of 2.88, AEC1 pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.30, AEC1's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.92% |
5.2 History
On average, the dividend of AEC1 grows each year by 10.33%, which is quite nice.
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 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%
FRA:AEC1 (10/27/2025, 7:00:00 PM)
310.85
+1.45 (+0.47%)
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 Cap214.13B
Revenue(TTM)75.91B
Net Income(TTM)10.41B
Analysts67.22
Price Target279.51 (-10.08%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.92% |
Yearly Dividend2.42
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)1.59%
PT rev (3m)0.85%
EPS NQ rev (1m)0.22%
EPS NQ rev (3m)-0.71%
EPS NY rev (1m)0.57%
EPS NY rev (3m)1.16%
Revenue NQ rev (1m)0.4%
Revenue NQ rev (3m)0.29%
Revenue NY rev (1m)0.43%
Revenue NY rev (3m)0.83%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.29 | ||
| Fwd PE | 20.6 | ||
| P/S | 3.28 | ||
| P/FCF | 13.16 | ||
| P/OCF | 11.79 | ||
| P/B | 7.69 | ||
| P/tB | 7.69 | ||
| EV/EBITDA | 16.74 |
EPS(TTM)12.8
EY4.12%
EPS(NY)15.09
Fwd EY4.85%
FCF(TTM)23.62
FCFY7.6%
OCF(TTM)26.36
OCFY8.48%
SpS94.67
BVpS40.43
TBVpS40.43
PEG (NY)1.47
PEG (5Y)2.37
Graham Number107.91
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
WACC9.64%
ROIC/WACC0.39
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 / AEC1.DE FAQ
What is the fundamental rating for AEC1 stock?
ChartMill assigns a fundamental rating of 4 / 10 to AEC1.DE.
What is the valuation status for AEC1 stock?
ChartMill assigns a valuation rating of 3 / 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 are the PE and PB ratios of AMERICAN EXPRESS CO (AEC1.DE) stock?
The Price/Earnings (PE) ratio for AMERICAN EXPRESS CO (AEC1.DE) is 24.29 and the Price/Book (PB) ratio is 7.69.
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%.