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What Could Make Analysts Warm Up to American Express Stock?

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Analysts’ ratings on Amex

In May, American Express (AXP) is being covered by 33 analysts, 17 of whom have recommended “holds” and two of whom have recommended “strong sells” on the stock.

Nine analysts have recommended “buys,” and five have recommended “strong buys” on the stock. Its ratings were the same in April.

Of the 31 analysts tracking Amex in March, five suggested “strong buys,” and 16 recommended “holds” on the stock. However, seven analysts suggested “buys,” and two suggested “strong sells” on Amex. The remaining analyst recommended a “sell” on Amex.

What could affect these ratings?

Moving forward, Amex could see a rise in positive ratings on the back of a favorable outlook supported by higher spending, the adoption of digital tools, and positive momentum in the US economy. These factors could boost the businesses of Amex and its competitors (XLF) Visa (V) and Mastercard (MA).

However, Amex could witness a dip in its consumer loans in the long term, primarily due to higher interest rates.

In May, Discover Financial Services (DFS) is being covered by 27 analysts, nine of whom have recommended “strong buys,” and eight of whom have recommended “holds” on the stock. Ten analysts have recommended “buys” on the stock. No analysts have given DFS a “strong sell.”

Of the 27 analysts tracking Discover Financial in April, nine suggested “strong buys,” and seven suggested “holds” on the stock. One analyst suggested a “sell,” and ten gave it “buy” ratings. The stock didn’t receive any “strong sell” ratings.

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