
American Express (AXP) Stock Forecast & Price Target
American Express (AXP) Analyst Ratings
Bulls say
American Express demonstrated robust new account growth in both its Consumer and Commercial segments, which serves to counterbalance the deceleration in same-customer spending. Despite a paradoxical slowing of card fee growth amid an increase in the mix of US fee-paying consumers, the company is managing to enhance its profitability through higher Platinum rewards, which are projected to represent approximately 44% of revenue by 2026. This strategic focus on new accounts while maintaining or potentially increasing card fees presents a positive outlook for the company's overall financial performance.
Bears say
The analysis indicates a concerning decline in New Card Acquisition (NCA) for American Express, falling both quarter-over-quarter and year-over-year, which raises questions about future growth potential despite recent product launches like the Platinum Card. The company’s projection for 2026 earnings per share necessitates a significant reduction in marketing growth, shifting from mid-single digit growth rates to low-single digits, reflecting a fundamental weakening in demand. Additionally, declining trends in the capital markets, such as write-downs in private credit investments, could adversely affect Amex's customer base and overall revenue growth, which is estimated to be only 5-8% without the impact of the Platinum refresh.
This aggregate rating is based on analysts' research of American Express and is not a guaranteed prediction by Public.com or investment advice.
American Express (AXP) Analyst Forecast & Price Prediction
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