American Express (AXP) is a global integrated payments company known for its financial services, including credit card issuance, payment processing, and merchant acquiring. American Express is known for attracting high-spending customers, particularly in the travel and lifestyle sectors, offering premium products and services.
It’s earnings report is scheduled this week for July 19 and analysts are predicting earnings per share (EPS) of approximately $3.24, alongside expected revenue of around $16.59 billion. This would mark a continued trend of growth, as American Express has reaffirmed its full-year guidance, anticipating revenue growth of 9% to 11% and EPS in the range of $12.65 to $13.15 for fiscal 2024. In recent quarters, the company has consistently outperformed expectations, which has contributed to its strong stock performance this year. However, a disappointing earnings release could leave the stock vulnerable to a correction lower.
Over the last 15 years American Express has shown a period of seasonal weakened and losing trades of 60% for an average fall of 1.73%. The largest falls have been in 2023, 2019, and 2011, with falls of 16.07%. 11.15% and 15.04% respectively. So, do watch out for a surprise miss in earnings to potentially send the share price lower.
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Technically, American Express shares have been in a strong uptrend, but the broken weekly trend line shows the first possible sign of a trend reversal on the break on June 03. Will 250 prove to be a top in share prices for now if earnings disappoint on Friday?
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Trade risks
Remember, previous seasonal patterns do not guarantee future seasonal patterns performance and the earnings release will be highly influential on the share price as well as Fed policy.
Disclaimer: Past results and past seasonal patterns are no indication of future performance, in particular, future market trends. seasonax GmbH neither recommends nor approves of any particular ...
Disclaimer: Past results and past seasonal patterns are no indication of future performance, in particular, future market trends. seasonax GmbH neither recommends nor approves of any particular financial instrument, group of securities, segment of industry, analysis interval or any particular idea, approach, strategy or attitude nor provides consulting nor brokerage nor asset management services. seasonax GmbH hereby excludes any explicit or implied trading recommendation, in particular, any promise, implication or guarantee that profits are earned and losses excluded, provided, however, that in case of doubt, these terms shall be interpreted in abroad sense. Any information provided by seasonax GmbH or on this website or any other kind of data media shall not be construed as any kind of guarantee, warranty or representation, in particular as set forth in a prospectus. Any user is solely responsible for the results or the trading strategy that is created, developed or applied. Indicators, trading strategies and functions provided by seasonax GmbH or on this website or any other kind of data media may contain logical or other errors leading to unexpected results, faulty trading signals and/or substantial losses. seasonax GmbH neither warrants nor guarantees the accuracy, completeness, quality, adequacy or content of the information provided by it or on this website or any other kind of data media. Any user is obligated to comply with any applicable capital market rules of the applicable jurisdiction. All published content and images on this website or any other kind of data media are protected by copyright. Any duplication, processing, distribution or any form of utilisation beyond the scope of copyright law shall require the prior written consent of the author or authors in question. Futures and forex trading contains substantial risk and is not for every investor. An investor could potentially lose all or more than the initial investment. Risk capital is money that can be lost without jeopardizing ones’ financial security or lifestyle. Only risk capital should be used for trading and only those with sufficient risk capital should consider trading. Past performance is not necessarily indicative of future results. Testimonials appearing on this website may not be representative of other clients or customers and is not a guarantee of future performance or success.