American Express (AXP -2.29%)) has published profits for the fourth quarter superior to expectations, but the forecasts of the company issuing credit card were somewhat disappointing.
Investors were disappointed, dropping the AMEX shares from 3 % to 10:15 a.m. HE.
American Express won $ 3.04 per share during the quarter, one more than expected, on a turnover corresponding to the consensual estimate of Wall Street of $ 17.18 billion. For the year, the company won $ 14.01 per share, an increase of 25 % compared to 2023.
“2024 was another happy new year for American Express,” CEO Stephen J. Squeri said in a statement. “We have finished the year with increased dynamic, with the growth of invoicing accelerating 8 percent in the fourth quarter, carried by higher expenses of our private and commercial customers during the holiday season.”
But this dynamic may not be strong enough to ease Wall Street expectations. American Express provides for a profit for the entire year 2025 between $ 15 and $ 15.50 per share. The median point of $ 15.25 of this estimate is lower than the consensus of $ 15.28 per share that analysts awaited before the publication.
The actions of American Express increased by 70 % in the past year as the results season approaches. There is no signs of difficulty in these results, but it may be necessary to contain the enthusiasm in the short term.
For long -term investors, there is a lot to appreciate here. American Express increases its quarterly dividend by 17 %, to $ 0.82 per share, thus increasing a yield of the dividend fallen to less than 1 %. The company also said that it thought they could maintain long -term growth in action by action in the middle of adolescence each year.
There could be volatility in the future, but for patient investors, any drop could be an opportunity to buy.
American Express is an advertising partner of Motley Fool Money. Lou Whiteman has no position in any of the actions mentioned. The Motley Fool has no position in any of the titles mentioned. The Motley Fool has a policy of disclosure.
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