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American Express Company (AXP) Stock Verdict & Ratings | Investment Bastion

Stock Verdict·Updated 1d ago

American Express Company

AXPMarket cap $206BPrice $304.6

Country🇺🇸United States

SectorFinancials

IndustryConsumer Finance

American Express operates a closed-loop payment network and issues credit cards to affluent customers. Unlike Visa or Mastercard, they handle both sides of transactions, keeping more fees but taking credit risk.

In Bastion Portfolios?

52W Return-12%Global Market +16%?

01Key Ratings

How does this stock score across Bastion factors?

Growth

Historical Revenue

Rev CAGR (3y)+10%7

Revenue Forecast

Rev CAGR (1y)+19%8

Rev CAGR (3y)+12%7

Rev CAGR (5y)+10%8

Earnings Forecast

EPS Growth Y+1+15%7

EPS Growth Y+2+11%7

EPS Growth Y+3+11%7

Quality

Margins

EBIT Margin0%9

Net Income Margin16%7

Free Cash Flow Margin21%8

Debt

Net Debt/EBITDAna–

Efficiency

ROE34%9

ROA4%5

Earnings Stability88

GEAR+STRONG79

Overall rating across all five factors

Value

Price Multiples

P/E Ratio (Forward)175

P/E Ratio (Forward 3y)145

P/BV6.03

EV Multiples

EV/EBITDA Fwd05

EV/EBIT Fwd05

Yield

Free Cash Flow Yield0.0%6

Dividend Yield1.2%4

Momentum

Short term

1 month return-7%4

3 month return-13%3

YTD return-17%2

Mid term

Price vs 52wHigh79%5

1 year return-6%4

Long term

3 year return+110%8

5 year return+85%7

Risk Shield

Price Risk

Beta1.23

Volatility27%8

Free Cash Flow

Free Cash Flow Margin21%8

Free Cash Flow Yield0.0%6

Quality

ROCE11%5

Earnings Stability88

Net Debt/EBITDAna–

02Growth

Is it actually growing, and how fast?

AXPAmerican Express

Revenue FY25$72.2B

GROWTH RATING↗

STRONG73 / 100

REVENUE GROWTH▾SCORE

Revenue, last 3Y, CAGR+10%7

Revenue, next 1Y+19%8

Revenue, next 3Y, CAGR+12%7

Revenue, next 5Y, CAGR+10%8

EARNINGS FORECAST▾SCORE

EPS growth, FY26E+15%7

EPS growth, FY27E+11%7

EPS growth, FY28E+11%7

GROWTH ASSESSMENT

STRENGTHS

It out-grows 73% of companies worldwide.

Revenue grew 10%/yr over the last 3 years, ahead of 60% of companies worldwide.7/10

Revenue is set to grow 12%/yr over the next 3 years, ahead of most of the market.8/10

Revenue grew 10%/yr over the last 3 years and is set to keep growing around 12%/yr.

The runway holds up: revenue is set to grow 10%/yr over five years.8/10

Earnings are set to grow in step with sales (EPS about 11%/yr vs revenue 12%/yr).

WATCH

None flagged.

WEAKNESSES

None flagged.

BOTTOM LINE

Elite Compounder

A top-tier grower.

03Price Momentum

Is the market behind it right now?

MOMENTUM RATING↗

AVERAGE41 / 100

SHORT-TERM RETURNS▾SCORE

1-month return-7%4

3-month return-13%3

YTD return-17%2

MID & LONG-TERM▾SCORE

% of 52-week high79%5

1-year return-6%4

3-year return+110%8

5-year return+85%7

MOMENTUM ASSESSMENT

STRENGTHS

Strong long-term results. Long-term holders have seen +110% over three years and +85% over five, ahead of 70% of the market.

WATCH

It's down 6% over the past year, now 21% below its 52-week high. That is right in line with the market.

Returns sit at the market level over the past month (-7%).

WEAKNESSES

The stock is underperforming over three months (-13%) and so far this year (-17%).

BOTTOM LINE

Outperformer in a Drawdown

A proven multi-year compounder now in a meaningful pullback well below its 52-week high. This is the classic fork: either a buy-the-dip in an intact uptrend, or the early stage of a trend change. Wait for the short-term slide to stabilise before adding. The one thing to watch: the stock is underperforming over three months and so far this year.

04Value

Are you paying a fair price for it?

Stop guessing on American Express. Get the full investment case.

Premium

$20.75/month

Billed annually at $249/year $348

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Loading charts…

02Growth

Is it actually growing, and how fast?

AXPAmerican Express

Revenue FY25$72.2B

GROWTH RATING↗

STRONG73 / 100

REVENUE GROWTH▾SCORE

Revenue, last 3Y, CAGR+10%7

Revenue, next 1Y+19%8

Revenue, next 3Y, CAGR+12%7

Revenue, next 5Y, CAGR+10%8

EARNINGS FORECAST▾SCORE

EPS growth, FY26E+15%7

EPS growth, FY27E+11%7

EPS growth, FY28E+11%7

GROWTH ASSESSMENT

STRENGTHS

It out-grows 73% of companies worldwide.

Revenue grew 10%/yr over the last 3 years, ahead of 60% of companies worldwide.7/10

Revenue is set to grow 12%/yr over the next 3 years, ahead of most of the market.8/10

Revenue grew 10%/yr over the last 3 years and is set to keep growing around 12%/yr.

The runway holds up: revenue is set to grow 10%/yr over five years.8/10

Earnings are set to grow in step with sales (EPS about 11%/yr vs revenue 12%/yr).

WATCH

None flagged.

WEAKNESSES

None flagged.

BOTTOM LINE

Elite Compounder

A top-tier grower.

03Price Momentum

Is the market behind it right now?

MOMENTUM RATING↗

AVERAGE41 / 100

SHORT-TERM RETURNS▾SCORE

1-month return-7%4

3-month return-13%3

YTD return-17%2

MID & LONG-TERM▾SCORE

% of 52-week high79%5

1-year return-6%4

3-year return+110%8

5-year return+85%7

MOMENTUM ASSESSMENT

STRENGTHS

Strong long-term results. Long-term holders have seen +110% over three years and +85% over five, ahead of 70% of the market.

WATCH

It's down 6% over the past year, now 21% below its 52-week high. That is right in line with the market.

Returns sit at the market level over the past month (-7%).

WEAKNESSES

The stock is underperforming over three months (-13%) and so far this year (-17%).

BOTTOM LINE

Outperformer in a Drawdown

04Value

Are you paying a fair price for it?

Stop guessing on American Express. Get the full investment case.

Premium

$20.75/month

Billed annually at $249/year $348

✓
Stock VerdictValuation and investment strategy for 4,000+ stocks. Days of hedge fund analyst research, done in 2 minutes.
✓
RadarFind your next investment idea: top-ranked stocks across all 9 Bastion strategies.
✓
Portfolio ManagerCheck if Bastion algorithms added the stock you care about to their portfolios.

Secure via Stripe

Trusted by 1,000+ investors in our community