American Express Upgraded To Buy From Neutral At Goldman Sachs

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Goldman Sachs analyst Ryan Nash upgraded American Express (AXP) to Buy from Neutral with a price target of $225, up from $185, implying a 36% upside.

With the card stocks trading at less than nine-times 2022 estimates, credit likely to "remain benign for several years" and "significant" excess capital, this remains a group investors will want to own, Nash tells investors in a research note.

While American Express has laid out expectations to reach its original goals for 2020 in 2022, with the economy improving meaningfully since the company gave this guidance in January 2021 combined with a "big pick-up" in consumer spending, it is poised to exceed its original 2020 expectations by 2022, Nash tells investors in a research note.