American Express Co (LIM:AXP) Forward PE Ratio Explanation
The Forward PE Ratio of a company is often used to compare current earnings to estimated future earnings, as well as gaining a clearer picture of what earnings will look like without charges and other accounting adjustments. If earnings are expected to grow in the future, the Forward PE Ratio will be lower than the current PE Ratio. This measure is also used to compare one company to another with a forward-looking focus.
Trailing PE Ratio relies on what is already done. It uses the current share price and divides by the total EPS (Basic) over the past 12 months. PE Ratio can be affected by Non Operating Income such as the sale of part of businesses. This may increase for the current year or quarter dramatically. But it cannot be repeated over and over. Therefore PE Ratio without NRI is a more accurate indication of valuation than PE Ratio .
American Express Co Forward PE Ratio Related Terms
American Express Co Forward PE Ratio Historical Data
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The historical data trend for American Express Co's Forward PE Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
American Express Co Forward PE Ratio Chart
American Express Co Annual Data
Trend
2020-12
2021-12
2022-12
2024-12
2025-12
Forward PE Ratio
17.70
17.39
13.46
19.11
19.51
American Express Co Quarterly Data
2020-06
2020-09
2020-12
2021-03
2021-06
2021-12
2022-03
2022-12
2023-03
2023-06
2024-06
2024-09
2024-12
2025-03
2025-06
2025-09
2025-12
2026-03
Forward PE Ratio
20.24
15.63
17.70
21.65
25.51
17.39
19.76
13.46
14.16
14.37
17.70
15.43
19.11
17.67
20.76
18.79
19.51
20.44
LIM:AXP vs COF, PYPL, AFRM: Forward PE Ratio Comparison
For the Credit Services subindustry, American Express Co's Forward PE Ratio, along with its competitors' market caps and Forward PE Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
American Express Co Forward PE Ratio vs Credit Services Industry
For the Credit Services industry and Financial Services sector, American Express Co's Forward PE Ratio distribution charts can be found below:
* The bar in red indicates where American Express Co's Forward PE Ratio falls into.
It's a measure of the price-to-earnings ratio (PE Ratio) using forecasted earnings for the calculation. While the earnings used are just an estimate and are not as reliable as current earnings data, there is still benefit in estimated P/E analysis. The forecasted earnings used in the formula can either be for the next 12 months or for the next full-year fiscal period.
American Express Co (LIM:AXP) has a Forward PE Ratio of 19.80 as of Jul. 06, 2026. Forward P/E ratio is the share price dividend by the expected per-share earnings in the next 12 months. View historical data on American Express Co and its competitors. According to the industry distribution chart, American Express Co ranks #160 out of 187 companies in the Credit Services industry, placing it in the top 85.6%.
Is American Express Co's Forward PE Ratio too high?
American Express Co's current Forward PE Ratio is 19.80. The Credit Services industry median Forward PE Ratio is 10.17. American Express Co's value of 19.80 is 94.7% above this industry median. Based on the distribution chart, American Express Co ranks #160 out of 187 companies in the Credit Services industry, which is in the bottom quartile relative to peers. Overall, American Express Co has a GF Score™ of 64/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does American Express Co's Forward PE Ratio compare to COF and PYPL?
According to the Credit Services industry distribution chart, American Express Co ranks #160 out of 187 companies for Forward PE Ratio. This places American Express Co in the lower half of its industry. The industry median Forward PE Ratio is 10.17. American Express Co's value of 19.80 is 94.7% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Forward PE Ratio for a Credit Services company?
The median Forward PE Ratio among Credit Services companies is 10.17, based on 187 companies in the industry. Companies in the top quartile (top 25%) have a Forward PE Ratio significantly above this median, while those in the bottom quartile fall well below. However, Forward PE Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. American Express Co's current Forward PE Ratio of 19.80 is 94.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Forward PE Ratio mean?
A high Forward PE Ratio can signal that a stock is expensive relative to its fundamentals. Forward P/E ratio is the share price dividend by the expected per-share earnings in the next 12 months. View historical data on American Express Co and its competitors. For the Credit Services industry, the median Forward PE Ratio is 10.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. American Express Co's current Forward PE Ratio is 19.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is American Express Co stock overvalued right now?
Based on GuruFocus' analysis, American Express Co (LIM:AXP) is currently considered Fairly Valued. The stock's GF Value™ is $318.02, compared to a current price of $349.00 — trading 9.7% above its estimated fair value. The current Forward PE Ratio is 19.80 and 94.7% above the Credit Services industry median of 10.17. American Express Co's overall GF Score™ is 64/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Forward PE Ratio calculated?
Forward PE Ratio is calculated from a company's financial statements. For American Express Co (LIM:AXP), the current Forward PE Ratio is 19.80 as of Jul. 06, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is American Express Co (LIM:AXP) Overvalued in 2026?
Based on GuruFocus' analysis, American Express Co stock appears to be overvalued.
The current stock price of $349.00 is trading 9.7% above its estimated GF Value™ of $318.02.
GuruFocus considers American Express Co to be Fairly Valued.
Key valuation signals for LIM:AXP:
Forward PE Ratio: 19.80
GF Value™: $318.02 vs. price of $349.00 (9.7% above fair value)
Industry Position: 94.7% above the Credit Services median (#160 of 187)
No single metric tells the full story. See the LIM:AXP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
American Express is a global financial institution, operating in about 130 countries, that provides consumers and businesses charge and credit card payment products. The company also operates a highly profitable merchant payment network. It operates in four segments: US consumer services, US commercial services, international card services, and global merchant and network services. In addition to payment products, the company's commercial business offers expense management tools, consulting services, and business loans.
64GF Score
Get the complete analysis for LIM:AXP
Forward PE Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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