Credit Card Company American Express Just Saw Bullish Insider Buying

Among financial giants, American Express Co. (AXP:US) consistently stands out. Headquartered in New York, American Express provides premium financial services, ranging from premium charge and credit card products to exclusive travel-related amenities. Globally in terms of Market Cap, it ranks third in the credit card sector, boasting a market capitalization of $105.3 billion.

Insider Investment

Our data shows that on October 24, Board member Walter Joseph Clayton III purchased 1,000 shares at an average price of $143.93 per share. This trade cost the insider nearly $144,000 and increased his holdings to 2,000 shares.

Given his extensive experience, including leading roles in the U.S. Securities and Exchange Commission (SEC) and Sullivan & Cromwell LLP, his investment speaks volumes.

Ownership Patterns Reflect Confidence

American Express Co. has caught the attention of big investors. The Vanguard Institutional 500 Index Trust recently acquired a significant portion of the company, now holding 13,973,766 shares or 1.88% of its total shares. T. Rowe Price Associates, Inc. and Northern Trust Investments, Inc. have also increased their stakes, adding 6,869,384 and 6,353,420 shares, respectively. Other funds, such as Fidelity and MFS Value Fund, have maintained their strong positions. All these moves indicate that major players are confident about the future.

Q3 Performance: A Robust Uptick

American Express showcased its resilience with impressive Q3 2023 results. The company reported a 13% YoY revenue growth, reaching almost $15.4 billion. Notably, the diluted EPS and net income surged by 34% and 30%, respectively. The company’s CEO expressed his satisfaction, noting the consistent performance and optimism about future prospects.

In light of the strong Q3 performance and Clayton's insider purchase, there's an undeniable bullish sentiment around AXP. Such confidence and momentum suggest a promising future for the company and its stakeholders.