American Express Correlations
| AXP Stock | USD 217.50 0.17 0.08% |
The correlation of American Express is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as American Express moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if American Express moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Very weak diversification
The correlation between American Express and NYA is 0.52 (i.e., Very weak diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding American Express and NYA in the same portfolio, assuming nothing else is changed.
American |
The ability to find closely correlated positions to American Express could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace American Express when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back American Express - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling American Express to buy it.
Moving together with American Stock
| 0.71 | SCHW | Charles Schwab Corp Normal Trading | PairCorr |
| 0.9 | ARES | Ares Management LP Financial Report 26th of April 2024 | PairCorr |
| 0.83 | C | Citigroup Financial Report 12th of July 2024 | PairCorr |
| 0.8 | L | Loews Corp | PairCorr |
| 0.71 | V | Visa Class A Earnings Call This Week | PairCorr |
| 0.63 | AB | AllianceBernstein Earnings Call This Week | PairCorr |
| 0.73 | BX | Blackstone Group Financial Report 18th of July 2024 | PairCorr |
| 0.86 | CB | Chubb Earnings Call This Week | PairCorr |
| 0.92 | CG | Carlyle Group Financial Report 2nd of May 2024 | PairCorr |
| 0.75 | CM | Canadian Imperial Bank Financial Report 23rd of May 2024 | PairCorr |
| 0.67 | DB | Deutsche Bank AG Earnings Call This Week | PairCorr |
Moving against American Stock
| 0.78 | HG | Hamilton Insurance Report 21st of October 2024 | PairCorr |
| 0.73 | BY | Byline Bancorp Earnings Call This Week | PairCorr |
| 0.69 | DHIL | Diamond Hill Investment | PairCorr |
| 0.67 | AC | Associated Capital | PairCorr |
| 0.61 | FG | FG Annuities Life Financial Report 1st of May 2024 | PairCorr |
| 0.45 | AX | Axos Financial Financial Report 25th of April 2024 | PairCorr |
Related Correlations Analysis
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Risk-Adjusted Indicators
There is a big difference between American Stock performing well and American Express Company doing well as a business compared to the competition. There are so many exceptions to the norm that investors cannot definitively determine what's good or bad unless they analyze American Express' multiple risk-adjusted performance indicators across the competitive landscape. These indicators are quantitative in nature and help investors forecast volatility and risk-adjusted expected returns across various positions.Be your own money manager
Our tools can tell you how much better you can do entering a position in American Express without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.Did you try this?
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American Express Corporate Directors
American Express corporate directors refer to members of an American Express board of directors. The board of directors generally takes responsibility for the American Express' affairs and long-term direction of the entity. A corporate director does not make decisions for the corporation on his own. As a member of the board of directors, she or he must function as a part of a group that makes decisions on behalf of the business only by the board of directors' meetings. To pass a resolution, a majority of American Express' board members must vote for the resolution. The American Express board of directors' duties also include the election, removal, and supervision of officers, including the adoption, amendment, and repeal of bylaws.| Christopher Young | Independent Director | Profile | |
| Lynn Pike | Independent Director | Profile | |
| Robert Walter | Independent Director | Profile | |
| Samuel Palmisano | Independent Director | Profile |
Already Invested in American Express?
The danger of trading American Express is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of American Express is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than American Express. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile American Express is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
When determining whether American Express is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if American Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about American Express Stock. Highlighted below are key reports to facilitate an investment decision about American Express Stock: Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in American Express. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in interest. To learn how to invest in American Stock, please use our How to Invest in American Express guide.You can also try the Portfolio Backtesting module to avoid under-diversification and over-optimization by backtesting your portfolios.
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When running American Express' price analysis, check to measure American Express' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy American Express is operating at the current time. Most of American Express' value examination focuses on studying past and present price action to predict the probability of American Express' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move American Express' price. Additionally, you may evaluate how the addition of American Express to your portfolios can decrease your overall portfolio volatility.
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Is American Express' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of American Express. If investors know American will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about American Express listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.263 | Dividend Share 2.4 | Earnings Share 11.2 | Revenue Per Share 75.635 | Quarterly Revenue Growth 0.092 |
The market value of American Express is measured differently than its book value, which is the value of American that is recorded on the company's balance sheet. Investors also form their own opinion of American Express' value that differs from its market value or its book value, called intrinsic value, which is American Express' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because American Express' market value can be influenced by many factors that don't directly affect American Express' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between American Express' value and its price as these two are different measures arrived at by different means. Investors typically determine if American Express is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, American Express' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.