American Express (AXP) Stock Forecast & Price Target

American Express is well-positioned for long-term growth with its global presence and profitable merchant payment network. Revenues and EBITDA are expected to increase in the coming years, driven by the growth of Billed Business and successful expansion in its commercial business. Risks include potential competition from direct traffic and Google's Hotel Ads product, as well as concerns about the super-prime consumer base and potential economic downturns. However, Amex's strong relationships with key partners and its successful new account growth provide stability and potential upside for the company.

American Express is facing several challenges, such as declining billed business growth and slower new account growth. The company's reliance on premium fees from super-prime consumers has reached its peak, and it may struggle to maintain spending levels in this demographic due to macroeconomic pressures. Additionally, commercial spending has also decelerated, and there are concerns about the company over-indexing with Millennials and Gen-Z consumers. With the recent market downturn, the company's stock is now overvalued compared to its historical multiples.