Canada Pension Plan Investment Board Makes New Investment in American Express Company $AXP

Key Points

• Canada Pension Plan Investment Board acquired 1,015,427 American Express shares during the second quarter, valued at approximately $343.5 million and representing a 0.15% stake.
• Analysts maintain a generally positive outlook, with American Express receiving a consensus “Moderate Buy” rating and an average price target of $373.32.
• American Express exceeded quarterly EPS expectations, reporting $4.53 versus the $4.41 consensus estimate, while revenue rose 10% year over year to $19.64 billion. The company also pays a $0.95 quarterly dividend, yielding about 1.1%.

Canada Pension Plan Investment Board acquired a new position in shares of American Express Company (NYSE:AXP - Free Report) during the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm acquired 1,015,427 shares of the payment services company's stock, valued at approximately $343,468,000. Canada Pension Plan Investment Board owned 0.15% of American Express at the end of the most recent quarter.

Other hedge funds and other institutional investors have also recently added to or reduced their stakes in the company. Flputnam Investment Management Co. acquired a new position in shares of American Express during the second quarter worth about $12,879,000. Evolve Private Wealth LLC acquired a new stake in American Express in the 2nd quarter valued at approximately $5,172,000. Keybank National Association OH raised its position in American Express by 3.0% in the 4th quarter. Keybank National Association OH now owns 359,261 shares of the payment services company's stock valued at $132,909,000 after buying an additional 10,495 shares during the last quarter. Swiss Life Asset Management Ltd lifted its stake in American Express by 34.1% in the 4th quarter. Swiss Life Asset Management Ltd now owns 139,887 shares of the payment services company's stock valued at $51,751,000 after acquiring an additional 35,533 shares in the last quarter. Finally, Peapack Gladstone Financial Corp boosted its position in American Express by 6.2% during the 4th quarter. Peapack Gladstone Financial Corp now owns 65,997 shares of the payment services company's stock worth $24,416,000 after acquiring an additional 3,855 shares during the last quarter. 84.33% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

AXP has been the subject of several research reports. Bank of America raised their price target on shares of American Express from $387.00 to $391.00 and gave the stock a "buy" rating in a research note on Thursday, July 9th. Piper Sandler increased their target price on shares of American Express from $396.00 to $405.00 and gave the stock an "overweight" rating in a report on Wednesday, August 12th. DZ Bank raised shares of American Express from a "hold" rating to a "buy" rating and set a $375.00 target price for the company in a research report on Thursday, June 18th. Freedom Capital upgraded shares of American Express from a "hold" rating to a "strong-buy" rating in a research note on Thursday, May 14th. Finally, Benchmark started coverage on shares of American Express in a research report on Monday, July 13th. They set a "buy" rating on the stock. One research analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating, ten have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, American Express presently has a consensus rating of "Moderate Buy" and a consensus target price of $373.32.

American Express Stock Down 0.4%

NYSE:AXP opened at $336.14 on Wednesday. The firm has a market capitalization of $227.00 billion, a price-to-earnings ratio of 20.40, a price-to-earnings-growth ratio of 1.37 and a beta of 1.04. American Express Company has a twelve month low of $290.97 and a twelve month high of $387.49. The stock's 50 day moving average price is $343.13 and its two-hundred day moving average price is $326.44. The company has a quick ratio of 1.54, a current ratio of 1.55 and a debt-to-equity ratio of 1.66.

American Express (NYSE:AXP - Get Free Report) last issued its earnings results on Friday, July 24th. The payment services company reported $4.53 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.41 by $0.12. The business had revenue of $19.64 billion during the quarter, compared to the consensus estimate of $19.70 billion. American Express had a net margin of 15.07% and a return on equity of 34.12%. American Express's revenue was up 10.0% on a year-over-year basis. During the same period last year, the business posted $4.08 EPS. American Express has set its FY 2026 guidance at 17.300-17.900 EPS. Equities research analysts expect that American Express Company will post 17.67 earnings per share for the current fiscal year.

American Express Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Monday, August 10th. Stockholders of record on Thursday, July 2nd were paid a dividend of $0.95 per share. This represents a $3.80 annualized dividend and a dividend yield of 1.1%. The ex-dividend date was Thursday, July 2nd. American Express's payout ratio is currently 23.06%.

About American Express

American Express is a global financial services company primarily known for its payment card products, travel services and merchant network. Founded in 1850 as an express mail business, the company evolved through the 20th century into a payments and travel-focused organization. Its core activities include issuing consumer and commercial charge and credit cards, operating a global card acceptance and processing network, and providing travel-related services and customer loyalty programs.

American Express issues a range of products for individuals, small businesses and large corporations, including personal cards, business and corporate cards, and co‑brand partnerships with airlines, hotels and retailers.

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