Wall Street analysts forecast that American Express (AXP) will report quarterly earnings of $3.46 per share in its upcoming release, pointing to a year-over-year increase of 3.9%. It is anticipated that revenues will amount to $17 billion, exhibiting an increase of 7.6% compared to the year-ago quarter.
Over the last 30 days, there has been a downward revision of 0.2% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.
Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.
While it's common for investors to rely on consensus earnings and revenue estimates for assessing how the business may have performed during the quarter, exploring analysts' forecasts for key metrics can yield valuable insights.
In light of this perspective, let's dive into the average estimates of certain American Express metrics that are commonly tracked and forecasted by Wall Street analysts.
According to the collective judgment of analysts, 'Commercial Services - Card Member Loans - Total loans' should come in at $31.20 billion. The estimate is in contrast to the year-ago figure of $27.6 billion.
The consensus among analysts is that 'Commercial Services - Card Member loans - Average Loans' will reach $30.25 billion. Compared to the present estimate, the company reported $26.6 billion in the same quarter last year.
The average prediction of analysts places 'International Card Services - Card Member loans - consumer and small business - Average loans' at $17.96 billion. The estimate compares to the year-ago value of $16.4 billion.
Analysts' assessment points toward 'International Card Services - Card Member loans - consumer and small business - Total loans' reaching $18.26 billion. The estimate is in contrast to the year-ago figure of $16.7 billion.
The combined assessment of analysts suggests that 'U.S. Consumer Services - Card Member loans - Total loans' will likely reach $89.44 billion. Compared to the current estimate, the company reported $82.3 billion in the same quarter of the previous year.
Based on the collective assessment of analysts, 'Card billed business (Network volumes)' should arrive at $444.94 billion. The estimate compares to the year-ago value of $419.2 billion.
Analysts expect 'Average Card Member loans' to come in at $137.87 billion. The estimate compares to the year-ago value of $124.7 billion.
Analysts forecast 'Total Card Member loans' to reach $138.89 billion. Compared to the current estimate, the company reported $126.6 billion in the same quarter of the previous year.
The collective assessment of analysts points to an estimated 'U.S. Consumer Services - Card Member loans - Average loans' of $89.66 billion. The estimate is in contrast to the year-ago figure of $81.7 billion.
The consensus estimate for 'Total non-interest revenues' stands at $12.83 billion. Compared to the present estimate, the company reported $12.03 billion in the same quarter last year.
It is projected by analysts that the 'Net Interest Income' will reach $4.11 billion. Compared to the present estimate, the company reported $3.77 billion in the same quarter last year.
Analysts predict that the 'Net card fees' will reach $2.31 billion. Compared to the present estimate, the company reported $1.97 billion in the same quarter last year.
View all Key Company Metrics for American Express here>>>
Shares of American Express have experienced a change of -5.5% in the past month compared to the -3.6% move of the Zacks S&P 500 composite. With a Zacks Rank #3 (Hold), AXP is expected to mirror the overall market performance in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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American Express Company (AXP): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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