Dividend income, particularly when it is reinvested, can really add up over time. Many of the world’s best investors are focused on dividend payouts and use them to build their portfolio. Look at Warren Buffett’s investment in Coca-Cola (NYSE:KO). The Oracle of Omaha will earn $784 million this year in dividend payments on the 400 million shares of KO stock that he owns.Coca-Cola is one of 47 stocks Buffett currently holds in his massive investment portfolio. Dividend payments are largely responsible for th ...

Summary of American Express Company Conference Call Company Overview - **Company**: American Express Company (NYSE: AXP) - **Event**: U.S. Financials, Payments & CRE Conference on June 12, 2024 Key Points Industry and Economic Context - The current economic environment is characterized by slow growth, with American Express (AmEx) experiencing a continuation of trends observed in the previous quarter [3][4] - Billing growth for Q1 was approximately 7%, while Q2 is trending around 6% [3][4] - U.S. consumer billing grew by 8% in Q1, and international billing grew by 13% [4] Consumer Behavior and Market Position - High-income consumers using AmEx are holding up better compared to the broader consumer market [2] - The small and medium enterprise (SME) segment is showing low-single-digit growth, indicating softness in that area [4] Premium Card Strategy - AmEx has successfully increased its share in the fee-paying U.S. Premium Card segment from 20% to 25% [5] - The strategy focuses on acquiring more premium card members, ensuring renewals, and injecting value into products to justify fee increases [7][8] - Card fee growth has been in double digits for the past six years, with a notable resilience even during COVID-19 [8] Future Growth Expectations - AmEx expects to accelerate card fee growth as the year progresses, with a target of 9% to 11% revenue growth for the full year [9][32] - The company is on track to refresh 40 card products this year, which is expected to create momentum in member acquisition [11] Credit Quality and Risk Management - The write-off rate for AmEx is reported at 2.1%, which is strong compared to peers, and delinquency rates are also best-in-class [38][39] - The company maintains a disciplined approach to underwriting, focusing on credit profiles rather than age demographics [21][22] Technology and Innovation - AmEx is investing approximately $2.1 billion in technology development, which has increased by 40% over the past three years [49] - The company emphasizes the integration of technology and data to enhance customer experience and operational efficiency [50][51] Market Challenges - The recent decision by eBay to stop accepting AmEx is noted, but it is considered not materially impactful, representing less than 20 basis points of network volumes [34][35] - The strength of the U.S. dollar is expected to impact revenue growth, particularly for international operations [33] Investor Outlook - The management expresses confidence in the company's strategy and growth potential, aiming for revenue growth exceeding 10% and mid-teens earnings per share growth [54] - The current trading multiple is viewed as a discount compared to historical performance, with hopes for a revaluation based on growth and credit profile [54] Conclusion - American Express is navigating a slow growth economy with a strong focus on premium card offerings, disciplined credit management, and significant investments in technology, positioning itself for future growth despite market challenges.

Dividend stocks attract many investors due to their cash flow. You can receive quarterly payouts that grow every year while holding onto your shares. Dividend investors who reinvest their payouts will receive larger dividends every quarter.However, you don’t only have to benefit from cash flow. Some dividend-paying corporations continue to outperform the stock market while distributing cash to their investors. Strong financials are a common pillar for all of these companies. You typically see rising profits ...

In the latest trading session, American Express (AXP) closed at $232.44, marking a -0.1% move from the previous day. The stock's performance was behind the S&P 500's daily gain of 0.26%. Elsewhere, the Dow saw an upswing of 0.18%, while the tech-heavy Nasdaq appreciated by 0.35%.The the stock of credit card issuer and global payments company has fallen by 3.97% in the past month, lagging the Finance sector's gain of 0.75% and the S&P 500's gain of 3.25%.The upcoming earnings release of American Express will ...

American Express (AXP) appears an attractive pick, as it has been recently upgraded to a Zacks Rank #2 (Buy). An upward trend in earnings estimates -- one of the most powerful forces impacting stock prices -- has triggered this rating change.A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years.Since a changing earn ...

We had some interesting data points come out this week. ISM Service came out with prices decelerating and economic activity perking up slightly. This supports a no landing and /or soft landing thesis.We also received data on Cash App’s advertising strategy and news of Ebay’s potential separation from American Express (Amex). Let’s research and discuss the data:Cash App Ad Strategy: TikTok or SnapChat or Instagram?American Express (Amex) Removed from eBay. Amex removed but implications to eBay?ISM Survey ...

Shares of American Express Company (AXP) have gained 36.4% in the past year compared with the industry’s 12.1% growth. The Finance sector and the S&P 500 composite index rallied 21% and 24.8%, respectively, in the same time frame. With a market capitalization of $167.9 billion, the average volume of shares traded in the last three months was 2.9 million.Enhanced consumer spending, innovative card offerings, a comprehensive digital solutions suite, strategic acquisitions and a robust financial position conti ...

You can find plenty of growth opportunities if you look for blue-chip stocks. While some stocks in this category are low-risk, low-reward companies, other corporations can generate attractive long-term returns.Some investors like to find hidden opportunities, but you don’t have to look very far to find high-growth blue-chip stocks that can deliver. Corporations with high market caps often amass lofty price points due to impressive fundamentals. Some companies reach $1 billion with very little merit, while i ...

These four stocks illustrate Warren Buffett's pragmatic, patient approach to investing.Warren Buffett is a legend on Wall Street. Since becoming CEO of Berkshire Hathaway (BRK.A 0.09%) (BRK.B 0.08%) in 1965, Buffett turned a failing textile business into one of the largest companies in the world today. His company has averaged 20% annualized returns since then, crushing the S&P 500's performance over the same period.One key to Buffett's long-term success is his buy-and-hold approach to investing. He focuses ...

Blue-chip companies are industry-leading stocks that are very established and have a strong reputation. They offer investors peace of mind, knowing that their portfolio is backed by stocks highly likely to provide consistent returns and long-term growth.The Dow is a solid gauge of the state of blue-chip companies as a whole. It comprises 30 companies and has returned about 15% in the past year.Below, I have chosen a number of the best blue-chip stocks that investors should consider adding to their portfolio ...