American Express dips after BTIG downgrades to 'sell'

Ally Financial

08/10/2024 13:13

** Shares of credit card giant American Express  AXP.N  fall
0.8% to $271.64 premarket
        ** BTIG downgrades AXP to "sell" from "neutral" citing
expectation of weaker spends from co's wealthy customers than
the rapid improvement anticipated for 2025
  
    ** Expecting AXP to follow Ally Financial's  ALLY.N  lead
and declare consumer conditions worse than they had anticipated
for H2 2024 - BTIG
    ** ALLY last month flagged intensifying credit challenges in
Q3 as borrowers struggle with high inflation and cost of living
    ** AXP likely to miss "unachievable" 2025 expectations
including for EPS and revenue growth - BTIG
    ** 12 of 30 brokerages rate the stock "buy" or higher, 12
"hold" and 2 "sell" or lower; median PT is $267.53 - LSEG
    ** As of last close, AXP shares up 46.1% YTD

 (Reporting by Arasu Kannagi Basil in Bengaluru)
 ((ArasuKannagi.Basil@thomsonreuters.com))