Federated Hermes Inc. Has $62.40 Million Stock Holdings in American Express Company (NYSE:AXP)

Key Points

• Federated Hermes Inc. has reduced its stake in American Express by 20.3%, selling 58,949 shares and now holding 231,915 shares worth approximately $62.4 million.
• Several hedge funds have recently purchased shares in American Express, contributing to institutional investors holding 84.33% of the company's stock.
• American Express reported a quarterly earnings of $4.08 EPS, exceeding analyst expectations, with revenues reaching $17.86 billion.

Federated Hermes Inc. trimmed its stake in shares of American Express Company (NYSE:AXP - Free Report) by 20.3% during the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 231,915 shares of the payment services company's stock after selling 58,949 shares during the period. Federated Hermes Inc.'s holdings in American Express were worth $62,397,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors have also recently added to or reduced their stakes in the company. Investment Management Corp VA ADV acquired a new stake in American Express in the 4th quarter valued at $29,000. MorganRosel Wealth Management LLC acquired a new stake in American Express in the 1st quarter valued at $29,000. Nexus Investment Management ULC acquired a new stake in American Express in the 1st quarter valued at $34,000. Hughes Financial Services LLC acquired a new stake in American Express in the 1st quarter valued at $35,000. Finally, IAG Wealth Partners LLC acquired a new stake in American Express in the 1st quarter valued at $40,000. 84.33% of the stock is currently owned by institutional investors and hedge funds.

American Express Stock Down 1.4%

NYSE AXP traded down $4.22 on Thursday, hitting $299.19. 2,713,976 shares of the company were exchanged, compared to its average volume of 2,417,700. The company has a market cap of $208.20 billion, a PE ratio of 21.00, a PEG ratio of 1.61 and a beta of 1.25. American Express Company has a 12 month low of $220.43 and a 12 month high of $329.14. The stock has a fifty day moving average of $305.99 and a 200-day moving average of $291.53. The company has a current ratio of 1.61, a quick ratio of 1.60 and a debt-to-equity ratio of 1.80.

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

American Express Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, August 8th. Investors of record on Thursday, July 3rd will be paid a dividend of $0.82 per share. The ex-dividend date of this dividend is Thursday, July 3rd. This represents a $3.28 annualized dividend and a yield of 1.1%. American Express's dividend payout ratio is currently 23.02%.

Insider Buying and Selling

In other American Express news, insider Anna Marrs sold 5,500 shares of the company's stock in a transaction on 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 owned 20,311 shares in the company, valued at approximately $6,312,049.47. This represents a 21.31% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, insider Glenda G. Mcneal sold 50,000 shares of the company's stock in a transaction on Tuesday, July 29th. The stock was sold at an average price of $309.50, for a total transaction of $15,475,000.00. Following the transaction, the insider owned 10,957 shares in the company, valued at approximately $3,391,191.50. The trade was a 82.03% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 64,950 shares of company stock valued at $19,787,710 over the last ninety days. 0.20% of the stock is owned by corporate insiders.

Wall Street Analyst Weigh In

A number of research analysts have recently commented on AXP shares. BTIG Research set a $277.00 price objective on shares of American Express and gave the company a "sell" rating in a research report on Monday, July 14th. Citigroup restated a "neutral" rating and issued a $327.00 target price (up from $300.00) on shares of American Express in a research report on Wednesday, July 2nd. Keefe, Bruyette & Woods upped their price objective on shares of American Express from $360.00 to $371.00 and gave the stock an "outperform" rating in a research report on Wednesday, July 9th. Bank of America upgraded shares of American Express from a "neutral" rating to a "buy" rating and lowered their price objective for the stock from $325.00 to $274.00 in a research report on Friday, April 11th. Finally, Truist Financial upped their price target 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. Two equities research analysts have rated the stock with a sell rating, sixteen have issued a hold rating and eight have assigned a buy rating to the company's stock. Based on data from MarketBeat, the stock has an average rating of "Hold" and an average target price of $311.05.

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.