American Express Company (NYSE:AXP) Raises Dividend to $0.95 Per Share

American Express Company (NYSE:AXP) announced a quarterly dividend on Monday, March 2nd. Stockholders of record on Friday, April 3rd will be given a dividend of 0.95 per share by the payment services company on Friday, May 8th. This represents a c) annualized dividend and a dividend yield of 1.2%. The ex-dividend date is Thursday, April 2nd. This is a 15.9% increase from American Express’s previous quarterly dividend of $0.82.

American Express has raised its dividend by an average of 0.1%annually over the last three years and has raised its dividend annually for the last 4 consecutive years. American Express has a dividend payout ratio of 18.9% meaning its dividend is sufficiently covered by earnings. Analysts expect American Express to earn $17.60 per share next year, which means the company should continue to be able to cover its $3.28 annual dividend with an expected future payout ratio of 18.6%.

American Express Trading Up 1.1%

Shares of AXP stock traded up $3.43 during trading on Wednesday, hitting $311.25. 1,678,081 shares of the stock traded hands, compared to its average volume of 3,617,779. The firm has a market capitalization of $213.71 billion, a P/E ratio of 20.22, a price-to-earnings-growth ratio of 1.30 and a beta of 1.14. The company has a debt-to-equity ratio of 1.68, a current ratio of 1.59 and a quick ratio of 1.58. The firm’s fifty day moving average price is $355.45 and its 200-day moving average price is $349.63. American Express has a 52-week low of $220.43 and a 52-week high of $387.49.

American Express (NYSE:AXP) last posted its earnings results on Friday, January 30th. The payment services company reported $3.53 earnings per share (EPS) for the quarter, missing the consensus estimate of $3.54 by ($0.01). American Express had a return on equity of 33.49% and a net margin of 15.00%.The business had revenue of ($17,139.00) million for the quarter, compared to analyst estimates of $18.91 billion. During the same period last year, the business earned $3.04 EPS. American Express’s revenue was up 10.5% compared to the same quarter last year. American Express has set its FY 2026 guidance at 17.300-17.900 EPS. As a group, research analysts forecast that American Express will post 15.33 earnings per share for the current fiscal year.

Insider Activity

In related news, insider Denise Pickett sold 23,385 shares of the business’s stock in a transaction on Thursday, February 5th. The shares were sold at an average price of $356.91, for a total transaction of $8,346,340.35. Following the completion of the transaction, the insider owned 7,754 shares in the company, valued at approximately $2,767,480.14. The trade was a 75.10% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, insider Howard Grosfield sold 8,134 shares of American Express stock in a transaction dated Thursday, February 12th. The stock was sold at an average price of $346.73, for a total value of $2,820,301.82. Following the sale, the insider directly owned 9,433 shares of the company’s stock, valued at $3,270,704.09. This trade represents a 46.30% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 73,944 shares of company stock valued at $26,114,366 in the last 90 days. Company insiders own 0.20% of the company’s stock.

Hedge Funds Weigh In On American Express

Several hedge funds have recently added to or reduced their stakes in the stock. Evolution Wealth Management Inc. raised its stake in American Express by 6,600.0% during the 4th quarter. Evolution Wealth Management Inc. now owns 67 shares of the payment services company’s stock worth $25,000 after acquiring an additional 66 shares in the last quarter. Joseph Group Capital Management purchased a new stake in shares of American Express in the 4th quarter valued at about $26,000. Sfam LLC acquired a new stake in shares of American Express in the 4th quarter valued at about $26,000. Caitong International Asset Management Co. Ltd purchased a new position in American Express during the 4th quarter worth approximately $28,000. Finally, Valley Wealth Managers Inc. lifted its stake in American Express by 153.3% in the third quarter. Valley Wealth Managers Inc. now owns 76 shares of the payment services company’s stock valued at $25,000 after buying an additional 46 shares during the last quarter. 84.33% of the stock is currently owned by hedge funds and other institutional investors.

About American Express

American Express is a global financial services company primarily known for its payment card products, travel services and merchant network. Founded in 1850 as an express mail business, the company evolved through the 20th century into a payments and travel-focused organization. Its core activities include issuing consumer and commercial charge and credit cards, operating a global card acceptance and processing network, and providing travel-related services and customer loyalty programs.

American Express issues a range of products for individuals, small businesses and large corporations, including personal cards, business and corporate cards, and co‑brand partnerships with airlines, hotels and retailers.