Moshe Orenbuch, an analyst from TD Cowen, maintained the Hold rating on American Express. The associated price target remains the same with $320.00.
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Moshe Orenbuch’s rating is based on a combination of factors, including American Express’s recent earnings performance and future outlook. The company’s second-quarter earnings per share exceeded expectations, primarily due to favorable tax benefits, although revenue figures were largely in line with estimates. Despite the earnings beat, operating expenses were higher than anticipated, driven by increased salaries and benefits, which were only partially offset by reduced business development costs.
Additionally, while loan growth slightly surpassed expectations, the provision for losses was consistent with estimates, reflecting a mixed outlook on credit quality. American Express maintained its 2025 guidance, with management expressing confidence in stable spending trends and upcoming product refreshes, despite growing competition in the premium card market. These factors contribute to a cautious stance, leading to a Hold rating as the company navigates both opportunities and challenges in its operating environment.
According to TipRanks, Orenbuch is a top 25 analyst with an average return of 23.2% and a 71.49% success rate. Orenbuch covers the Financial sector, focusing on stocks such as SLM, Capital One Financial, and Bread Financial Holdings.