American Express dividend yield – American Express: A Buy for Dividend Growth Investors!

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For dividend growth investors, this company is now a potential buy. American Express ($NYSE:AXP) offers a stable and growing dividend, plus good prospects for long-term capital appreciation. American Express has a long history of rewarding shareholders with rising dividends. The company has increased its dividend annually for many years. This provides a steady stream of income for investors. In addition to its attractive dividend, American Express has a strong financial position. The company has solid cash flows and a strong balance sheet, which make it a relatively safe investment.

American Express also has good prospects for long-term capital appreciation. The company has consistently grown its revenues and profits over recent years and analysts expect this trend to continue going forward. The company provides a stable and growing dividend, plus good prospects for long-term capital appreciation. With its strong financial position, this stock should make for a solid addition to any portfolio.

Dividends – American Express dividend yield

Over the last three years, the company has issued an annual dividend per share of 2.16 USD, 2.08 USD, and 1.72 USD, respectively. Dividend yields from 2021 to 2023 are estimated to be 1.33%, 1.24%, and 1.11%, with an average dividend yield of 1.23%. This makes American Express a great buy for dividend growth investors who want to capitalize on consistent growth and reliable returns.

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for American Express. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for American Express. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for American Express. More…

Key Ratios Snapshot

Some of the financial key ratios for American Express are shown below. More…

Market Price

American Express (AMEX) has been a strong performer on the stock market lately, opening on Friday at $149.3 and closing at $147.9. The company has a long history of increasing its dividend payments and is one of the top names in the financial services industry. With a strong balance sheet and solid financials, AMEX is well positioned to continue rewarding shareholders for many years to come.

The company also offers generous cash rewards for its cardholders, making it an attractive option for those looking for a convenient and rewarding way to spend their money. With its long track record of success and potential for long-term growth, AMEX is an attractive option for dividend growth investors. Live Quote…

Analysis – American Express Intrinsic Stock Value

At GoodWhale, we conducted an analysis of AMERICAN EXPRESS‘s wellbeing. Our proprietary Valuation Line revealed that the intrinsic value of AMERICAN EXPRESS share is around $193.6. We noticed that the stock is currently being traded at $147.9, which is 23.6% lower than the estimated intrinsic value. This indicates a buying opportunity as AMERICAN EXPRESS’s share is currently undervalued in the market. More…

Peers

Amex is known for its credit card, charge card, and traveler’s cheque businesses. The company’s competitors in the credit card space include Discover Financial Services, Synchrony Financial, and Visa Inc.

– Discover Financial Services ($NYSE:DFS)

Discover Financial Services has a market cap of 28.54B as of 2022, a Return on Equity of 26.11%. The company specializes in credit cards, personal loans, and student loans. It also offers banking products such as checking and savings accounts. Discover is one of the largest credit card issuers in the United States. It has more than 50 million cardholders and operates in more than 185 countries. The company was founded in 1986 and is headquartered in Riverwoods, Illinois.

– Synchrony Financial ($NYSE:SYF)

Synchrony Financial is a consumer financial services company with a market cap of 16.02B as of 2022. The company offers a variety of financial services, including credit cards, loans, and savings products. Synchrony Financial has a return on equity of 20.2%. The company’s products are available through a variety of channels, including online, mobile, and retail.

– Visa Inc ($NYSE:V)

Visa Inc is a multinational financial services corporation headquartered in Foster City, California, United States. The company facilitates electronic funds transfers throughout the world, most commonly through Visa-branded credit cards and debit cards. Visa does not issue cards, extend credit, or set rates and fees for consumers. Rather, Visa provides financial institutions with Visa-branded products and services that they then use to offer credit, debit, prepaid, and cash-access products to their customers.

In terms of market cap, as of 2022, Visa Inc has a market cap of 436.4B. In terms of ROE, the company has a ROE of 32.85%. As a brief introduction, the company is a multinational financial services corporation that facilitates electronic funds transfers throughout the world.

Summary

American Express (AXP) is an attractive buy for dividend growth investors. The company also has a very good track record of consistent earnings and has a strong balance sheet with a solid return on equity. Going forward, AXP is well positioned to capitalize on a growing consumer market and continued strength in travel and entertainment services, resulting in potential for further dividend growth.