Wells Fargo analyst Donald Fandetti has maintained their bullish stance on AXP stock, giving a Buy rating on April 22.
Donald Fandetti has given his Buy rating due to a combination of factors that suggest a strong outlook for American Express. Fandetti anticipates management to project confidence in achieving the higher end of their revenue and earnings per share guidance for 2024, as the economy clears up from macroeconomic uncertainties. Furthermore, he highlights American Express’s solid competitive position and its durable competitive advantages, or ‘moat,’ which are expected to become more evident to investors.
Additionally, Fandetti points to specific areas such as the growth in the premium consumer base, the recovery in U.S. small businesses, international expansion, and technology-driven efficiency as key drivers for the company’s long-term revenue and earnings growth. He identifies multiple positive catalysts for the stock, including robust account growth indicators and product enhancements that could increase card fees. Moreover, investor sentiment is currently strong, and the stock is trading at a discount to the S&P 500, suggesting room for valuation appreciation. Based on these factors, Fandetti has increased the target price for American Express, further affirming his optimistic outlook on the stock’s performance.
Fandetti covers the Financial sector, focusing on stocks such as American Express, Capital One Financial, and Visa. According to TipRanks, Fandetti has an average return of 10.4% and a 63.98% success rate on recommended stocks.
In another report released on April 22, Deutsche Bank also maintained a Buy rating on the stock with a $260.00 price target.
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American Express (AXP) Company Description:
Founded in 1850, American Express Co. is a financial services corporation which provides charge and credit card products, as well as travel-related services worldwide. The company operates through the Global Consumer Services Group, Global Commercial Services, and Global Merchant and Network Services.
Read More on AXP:
- American Express price target raised to $175 from $167 at BMO Capital
- American Express price target raised to $260 from $240 at Deutsche Bank
- American Express price target raised to $253 from $250 at RBC Capital
- American Express price target raised to $226 from $222 at Morgan Stanley
- American Express price target raised to $225 from $221 at TD Cowen
