Is that transition year?
Friday, July 23, before the Market opens, the American Express Q2 earnings report is due to publish. The report is cowering the fiscal Quarter ending Jun 2021. "According to Zacks Investment Research, based on eight analysts' forecasts, the consensus EPS forecast for the Quarter is $1.6400000000000001. The reported EPS for the same Quarter last year was $0.29."
In the first Quarter of 2021, this online and online payment service reported a $2.74 EPS, far more than the $1.61 estimates. Also, they earned $2.23B with $9.74B revenue.
While it is the financial sector, but it is not the bank to use the opportunities that the banking sector had over pandemic and recoveries by selling the Bonds or whatsoever, however, with faster recovery, as people start traveling more and spending more as well, especially with government-supported stimulus, 2021 will be a crucial year for the corporation. This payment service provider has been meeting the estimate, three quarters in the past four reported quarters. And now, after that, both main sectors between their target market (Entertainment and Travel) are recovering faster; the CEO of the corporation referred to 2021 as a "transition year."
Checking the different estimates and expectations, telling us that the average Estimated EPS and revenue for Q2 are $1.60 and $9.48B, respectively, with increases of 451.72% and 23.52%, yearly base.
And from a technical overview, we can not be that optimist as fundamentally we do. In the middle-term, the company stock is suffering to pass the $170- 175 range, after touching its all-time high at 174.90 on July 13, with falling to $160 just a few days after that. As its price lowers in the chart, Parabolic SAR dots also forming above the candles, and it moves under the OBV trend line; we can wait for the $160 area in case of missing the estimate, while beating the market expectation will put the all-time high and above that once again in the radars.