Focused Investors LLC Trims Stake in American Express (NYSE:AXP)

Focused Investors LLC lessened its stake in shares of American Express (NYSE:AXP) by 0.8% in the 4th quarter, according to its most recent disclosure with the SEC. The firm owned 447,000 shares of the payment services company’s stock after selling 3,400 shares during the period. American Express accounts for about 4.2% of Focused Investors LLC’s investment portfolio, making the stock its 12th biggest holding. Focused Investors LLC owned approximately 0.06% of American Express worth $132,665,000 as of its most recent filing with the SEC.

A number of other hedge funds also recently made changes to their positions in AXP. Prospera Private Wealth LLC bought a new position in American Express in the 3rd quarter worth approximately $27,000. True Wealth Design LLC lifted its position in shares of American Express by 332.0% during the third quarter. True Wealth Design LLC now owns 108 shares of the payment services company’s stock worth $29,000 after purchasing an additional 83 shares during the last quarter. Curio Wealth LLC bought a new position in shares of American Express in the fourth quarter worth about $37,000. Financial Life Planners purchased a new stake in American Express in the 4th quarter valued at about $38,000. Finally, Sierra Ocean LLC bought a new position in American Express in the 4th quarter worth about $40,000. 84.33% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

A number of equities research analysts have weighed in on the company. Argus lowered American Express from a “strong-buy” rating to a “hold” rating in a research report on Friday, March 14th. Citigroup increased their target price on shares of American Express from $305.00 to $320.00 and gave the stock a “neutral” rating in a report on Tuesday, January 28th. Keefe, Bruyette & Woods boosted their price target on shares of American Express from $350.00 to $360.00 and gave the company an “outperform” rating in a report on Monday, January 27th. Royal Bank of Canada boosted their price objective on shares of American Express from $330.00 to $350.00 and gave the stock an “outperform” rating in a research note on Monday, January 27th. Finally, UBS Group increased their target price on American Express from $283.00 to $320.00 and gave the company a “neutral” rating in a research report on Monday, January 13th. Two analysts have rated the stock with a sell rating, sixteen have given a hold rating and nine have given a buy rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Hold” and a consensus target price of $303.52.

American Express Stock Performance

AXP opened at $270.48 on Friday. The firm has a fifty day moving average price of $298.30 and a 200 day moving average price of $288.55. American Express has a 1 year low of $214.51 and a 1 year high of $326.28. The stock has a market cap of $190.02 billion, a P/E ratio of 19.31, a P/E/G ratio of 1.41 and a beta of 1.21. The company has a debt-to-equity ratio of 1.64, a current ratio of 1.58 and a quick ratio of 1.57.

American Express (NYSE:AXP) last issued its quarterly earnings results on Friday, January 24th. The payment services company reported $3.04 EPS for the quarter, topping the consensus estimate of $3.00 by $0.04. American Express had a return on equity of 32.65% and a net margin of 15.36%. Equities research analysts anticipate that American Express will post 15.33 earnings per share for the current year.

American Express Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, May 9th. Investors of record on Friday, April 4th will be paid a dividend of $0.82 per share. This represents a $3.28 annualized dividend and a yield of 1.21%. The ex-dividend date of this dividend is Friday, April 4th. This is a boost from American Express’s previous quarterly dividend of $0.70. American Express’s dividend payout ratio is currently 23.41%.

Insider Buying and Selling at American Express

In related news, insider Ravikumar Radhakrishnan sold 9,485 shares of the firm’s stock in a transaction dated Wednesday, February 5th. The shares were sold at an average price of $319.17, for a total transaction of $3,027,327.45. Following the completion of the sale, the insider now directly owns 13,500 shares in the company, valued at approximately $4,308,795. This trade represents a 41.27 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Raymond Joabar sold 15,179 shares of the stock in a transaction that occurred on Tuesday, January 28th. The shares were sold at an average price of $313.94, for a total transaction of $4,765,295.26. Following the completion of the sale, the insider now directly owns 23,866 shares of the company’s stock, valued at approximately $7,492,492.04. This trade represents a 38.88 % decrease in their position. The disclosure for this sale can be found here. 0.12% of the stock is owned by insiders.

American Express Company 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.