American Express Company

BATS-CHIXE:AEC1D Stock Report

Market Cap: €199.2b

American Express Valuation

Is AEC1D undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of AEC1D when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: AEC1D (€283.95) is trading below our estimate of fair value (€310.9)

Significantly Below Fair Value: AEC1D is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for AEC1D?

Key metric: As AEC1D is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for AEC1D. This is calculated by dividing AEC1D's market cap by their current earnings.
What is AEC1D's PE Ratio?
PE Ratio21.2x
EarningsUS$9.76b
Market CapUS$206.46b

Price to Earnings Ratio vs Peers

How does AEC1D's PE Ratio compare to its peers?

The above table shows the PE ratio for AEC1D vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average28.8x
KSPI Kaspi.kz
12.2x17.0%US$22.8b
LSEG London Stock Exchange Group
89.4x22.2%UK£60.8b
III 3i Group
8.1x16.4%UK£34.3b
IPF International Personal Finance
5.6x10.3%UK£273.6m
AEC1D American Express
21.2x7.4%€206.5b

Price-To-Earnings vs Peers: AEC1D is good value based on its Price-To-Earnings Ratio (21.2x) compared to the peer average (28.8x).

Price to Earnings Ratio vs Industry

How does AEC1D's PE Ratio compare vs other companies in the European Consumer Finance Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
No. of Companies5PE0612182430+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: AEC1D is expensive based on its Price-To-Earnings Ratio (21.2x) compared to the European Consumer Finance industry average (9.2x).

Price to Earnings Ratio vs Fair Ratio

What is AEC1D's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

AEC1D PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio21.2x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate AEC1D's Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst AEC1D forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Currentn/a
€278.20
0%
11.0%€337.58€221.84n/a23
Dec ’25n/a
€266.59
0%
10.6%€311.17€219.54n/a24
Nov ’25€250.55
€251.77
+0.5%
9.6%€299.91€212.24n/a24
Oct ’25n/a
€232.73
0%
9.1%€271.02€189.71n/a23
Sep ’25€235.65
€232.07
-1.5%
8.8%€261.15€192.42n/a23
Aug ’25n/a
€233.33
0%
9.4%€263.20€181.93n/a23
Jul ’25€214.10
€221.96
+3.7%
10.7%€256.11€162.98n/a24
Jun ’25n/a
€218.88
0%
10.8%€247.03€161.88n/a21
May ’25n/a
€210.02
0%
16.3%€249.78€116.91n/a24
Apr ’25n/a
€194.89
0%
14.6%€237.41€116.38n/a24
Mar ’25n/a
€190.47
0%
13.5%€221.47€115.35n/a25
Feb ’25€185.15
€187.32
+1.2%
12.9%€221.59€115.41n/a26
Jan ’25n/a
€159.24
0%
12.1%€205.31€112.56n/a25
Dec ’24€158.45
€157.08
-0.9%
10.3%€183.65€114.21n/a24
Nov ’24n/a
€161.70
0%
10.4%€189.92€118.11€250.5523
Oct ’24n/a
€170.13
0%
11.2%€192.02€118.24n/a21
Sep ’24n/a
€165.65
0%
11.2%€187.17€115.25€235.6521
Aug ’24n/a
€164.21
0%
11.5%€187.83€113.98n/a22
Jul ’24n/a
€162.64
0%
10.9%€188.30€114.49€214.1022
Jun ’24n/a
€163.65
0%
10.8%€191.10€116.76n/a22
May ’24n/a
€163.73
0%
8.7%€186.61€132.90n/a22
Apr ’24n/a
€172.21
0%
8.9%€193.42€140.58n/a21
Mar ’24n/a
€171.27
0%
9.0%€192.52€139.93n/a21
Feb ’24n/a
€163.25
0%
9.2%€186.61€135.63€185.1521
Jan ’24n/a
€153.37
0%
10.9%€189.62€120.76n/a21
Dec ’23n/a
€153.85
0%
10.9%€190.95€121.60€158.4520

Analyst Forecast: Target price is lower than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/20 17:31
End of Day Share Price 2024/12/06 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

American Express Company is covered by 61 analysts. 22 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Stephen BiggarArgus Research Company
David GeorgeBaird
Ishan MajumdarBaptista Research