On Thursday, American Express Company [NYSE:AXP] has a current price of $105.59, coming out to a daily percentage change of -0.44% with a 52-week range of $67.00 – $138.13.
Other data for the company is as follows:
- Stochastic %K of 89.87
- Weighted Alpha of -5.3
Analysts have the price target for American Express Company [AXP] at 104.64. Daily swings are between $104.06 and $106.14.
The Bears are coming
Holding a Market Cap of $85.16 billion, American Express Company has seen a trading range over the last year of $67.00-$138.13.
For the last five days, AXP is up from its last closing price. The average shares trading hands each day is 4.01M, with average 10-day volume coming in at 3.55 million.
Using a Force Index Indicator is a good way to look at how strong actual buying and selling pressure is for AXP. When we apply the Elder Force Index to American Express Company, we are seeing an Elder Force Indicator number of -528995.81.
The recent performance of the stock is another area that can tell traders how to proceed. AXP is presenting an interesting case. This can be seen in the Forward P/E ratio, which currently stands at 15.67.
In the last quarter, AXP made a profit of 1.88 billion. American Express Company also saw quarter revenue growth year over year of 8.64%. In addition, the company has operating cash flow of $2.07 billion.
Looking at popular technical indicators, the company’s 5-day moving average is 104.08 compared to the 50-day moving average of 101.51. So, we are clearly seeing an upward trajectory here.
The Relative Strength Index or RSI is an indicator ranging between 0 and 100 that traders use to determine if a stock is “overbought” or “oversold.” A strong uptrend tending to reach into the “overbought” status is above 70, while a downward trend will stay around the 30 mark. AXP currently holds a 9-day RSI of 62.74%, while 100-day RSI stands at 50.74%.
Another indicator we believe is worth keeping tabs on is the Moving Average Convergence Divergence or MACD. Similar to the concept of the Force Index — on the basis of price momentum — the MACD gives traders a tool to measure the turning point of a stock even during rapid fluctuations in price. Buy and sell signals are determined by a stock’s relation to the zero line, so if a stock is above a zero line for many weeks it might be a “buy.” On the other hand, if a stock is below the zero line consistently, it might be one to stay away from. Also, if the MACD line reaches a peak and dips, its momentum may be waning. AXP’s 9-day MACD is 2.55 and the company’s 100-day MACD stands at 5.74.
Another area that is important to analyze is insider moves and majority shareholders. While this is not always an error-free way to tell what the future holds for a stock, you can maybe gather important information from reading the tea leaves about who is buying and selling.
The major holders for this stock are 0.10% by insiders and 87.09% by institutions. Regarding institutional holdings, Berkshire Hathaway, Inc owns 18.83%, while the second top holder, Vanguard Group, Inc. (The), currently owns 6.04%.
Over the last six months, insiders have sold 2,864 with the most recent transaction from Pickett Denise, President, Glbl Services Group, with a sell at price 96.62 per share.
Overall, the recommended rating for AXP is Moderate Buy. Currently, the company has 25 analysts watching the stock, and the average quarterly earnings estimate is 1.3. Quarterly revenue estimates are averaging 8.61B with the high estimate reaching 9.02B and the low at 7.77B.
To review, the current 1-year target estimate is sitting at 104.64, while the current price 105.59. Based on this, we expect some pullback on the stock over time given our above analysis.