Smead Capital Management Inc. Lowers Position in American Express Company $AXP

Key Points

• Smead Capital Management Inc. decreased its holdings in American Express by 8.6%, now owning approximately 1.23 million shares worth about $330 million, making it their second largest position.
• Several institutional investors have recently increased or established new positions in American Express; currently, 84.33% of the stock is owned by institutional investors.
• American Express reported earnings of $4.08 per share for the last quarter, surpassing analyst expectations and reflecting a 9.3% revenue growth year-over-year.

Smead Capital Management Inc. decreased its stake in shares of American Express Company (NYSE:AXP - Free Report) by 8.6% in the first quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 1,228,274 shares of the payment services company's stock after selling 116,157 shares during the quarter. American Express comprises about 5.7% of Smead Capital Management Inc.'s portfolio, making the stock its 2nd largest holding. Smead Capital Management Inc. owned approximately 0.18% of American Express worth $330,467,000 as of its most recent filing with the SEC.

A number of other hedge funds and other institutional investors have also recently modified their holdings of the stock. Financial Engines Advisors L.L.C. boosted its position in shares of American Express by 4.7% during the first quarter. Financial Engines Advisors L.L.C. now owns 772 shares of the payment services company's stock worth $208,000 after acquiring an additional 35 shares during the last quarter. Tyler Stone Wealth Management lifted its position in American Express by 4.8% during the first quarter. Tyler Stone Wealth Management now owns 792 shares of the payment services company's stock valued at $213,000 after purchasing an additional 36 shares during the last quarter. Hemington Wealth Management lifted its position in American Express by 2.3% during the first quarter. Hemington Wealth Management now owns 1,661 shares of the payment services company's stock valued at $446,000 after purchasing an additional 38 shares during the last quarter. Revolve Wealth Partners LLC lifted its position in American Express by 2.5% during the first quarter. Revolve Wealth Partners LLC now owns 1,620 shares of the payment services company's stock valued at $436,000 after purchasing an additional 40 shares during the last quarter. Finally, Cornerstone Planning Group LLC lifted its position in American Express by 0.8% during the first quarter. Cornerstone Planning Group LLC now owns 5,236 shares of the payment services company's stock valued at $1,362,000 after purchasing an additional 40 shares during the last quarter. Institutional investors own 84.33% of the company's stock.

American Express Trading Down 0.0%

AXP stock traded down $0.08 during trading on Tuesday, hitting $331.20. The company had a trading volume of 2,519,425 shares, compared to its average volume of 2,896,003. The firm has a market capitalization of $230.47 billion, a P/E ratio of 23.24, a PEG ratio of 1.75 and a beta of 1.28. American Express Company has a 52-week low of $220.43 and a 52-week high of $332.06. The company has a 50 day simple moving average of $311.91 and a 200-day simple moving average of $290.30. The company has a quick ratio of 1.60, a current ratio of 1.61 and a debt-to-equity ratio of 1.80.

American Express (NYSE:AXP - Get Free Report) last posted its quarterly earnings results on Friday, July 18th. The payment services company reported $4.08 EPS for the quarter, topping the consensus estimate of $3.86 by $0.22. The company had revenue of $17.86 billion for the quarter, compared to the consensus estimate of $17.70 billion. American Express had a net margin of 14.78% and a return on equity of 32.87%. The firm's revenue was up 9.3% compared to the same quarter last year. During the same quarter last year, the firm posted $3.49 EPS. As a group, research analysts forecast that American Express Company will post 15.33 earnings per share for the current fiscal year.

American Express Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, August 8th. Investors of record on Thursday, July 3rd were paid a $0.82 dividend. This represents a $3.28 annualized dividend and a yield of 1.0%. The ex-dividend date of this dividend was Thursday, July 3rd. American Express's dividend payout ratio (DPR) is currently 23.02%.

Wall Street Analysts Forecast Growth

Several equities analysts have commented on the stock. Barclays increased their price objective on shares of American Express from $249.00 to $297.00 and gave the company an "equal weight" rating in a research report on Tuesday, July 8th. Truist Financial increased their price objective on shares of American Express from $335.00 to $340.00 and gave the company a "buy" rating in a research report on Wednesday, July 9th. Monness Crespi & Hardt lowered shares of American Express from a "buy" rating to a "neutral" rating in a research report on Tuesday, July 15th. JPMorgan Chase & Co. increased their price objective on shares of American Express from $260.00 to $342.00 and gave the company a "neutral" rating in a research report on Friday, July 11th. Finally, Keefe, Bruyette & Woods raised their target price on shares of American Express from $360.00 to $371.00 and gave the stock an "outperform" rating in a report on Wednesday, July 9th. Eight research analysts have rated the stock with a Buy rating, fifteen have issued a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, the company presently has a consensus rating of "Hold" and an average price target of $311.05.

Insider Buying and Selling

In other American Express news, insider Laureen Seeger sold 61,721 shares of the firm's stock in a transaction dated Tuesday, August 5th. The shares were sold at an average price of $297.47, for a total transaction of $18,360,145.87. Following the transaction, the insider owned 9,001 shares of the company's stock, valued at approximately $2,677,527.47. This trade represents a 87.27% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Anna Marrs sold 5,500 shares of the firm's stock in a transaction dated Tuesday, July 29th. The shares were sold at an average price of $310.77, for a total transaction of $1,709,235.00. Following the transaction, the insider directly owned 20,311 shares in the company, valued at $6,312,049.47. This trade represents a 21.31% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 134,219 shares of company stock valued at $40,555,901 in the last 90 days. Company insiders own 0.20% of the company's stock.

American Express Profile

American Express Company, together with its subsidiaries, operates as integrated payments company in the United States, Europe, the Middle East and Africa, the Asia Pacific, Australia, New Zealand, Latin America, Canada, the Caribbean, and Internationally. It operates through four segments: U.S. Consumer Services, Commercial Services, International Card Services, and Global Merchant and Network Services.