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AXP vs GS

AXP
American Express Company
NEUTRAL
Price
$332.90
Market Cap
$228.57B
Sector
Financial Services
AI Confidence
85%
GS
The Goldman Sachs Group, Inc.
NEUTRAL
Price
$907.80
Market Cap
$269.39B
Sector
Financial Services
AI Confidence
85%

Valuation

P/E Ratio
AXP
21.64
GS
17.7
Forward P/E
AXP
16.55
GS
13.92
P/B Ratio
AXP
6.82
GS
2.55
P/S Ratio
AXP
3.41
GS
4.54
EV/EBITDA
AXP
--
GS
--

Profitability

Gross Margin
AXP
63.47%
GS
82.88%
Operating Margin
AXP
17.46%
GS
38.32%
Profit Margin
AXP
16.18%
GS
28.92%
ROE
AXP
33.99%
GS
13.86%
ROA
AXP
3.79%
GS
0.99%

Growth

Revenue Growth
AXP
10.6%
GS
15.2%
Earnings Growth
AXP
16.6%
GS
17.3%

Financial Health

Debt/Equity
AXP
1.91
GS
5.96
Current Ratio
AXP
1.41
GS
1.53
Quick Ratio
AXP
1.39
GS
1.38

Dividends

Dividend Yield
AXP
1.14%
GS
1.98%
Payout Ratio
AXP
21.33%
GS
27.28%

AI Verdict

AXP NEUTRAL

American Express exhibits a stable financial profile with a Piotroski F-Score of 4/9 and strong profitability metrics, including a high ROE of 33.99%. While the stock trades at a significant premium to its Graham Number ($129.95), it remains below its growth-based intrinsic value of $453.71. However, the outlook is tempered by a bearish technical trend (0/100) and consistent insider selling totaling $36.4M. The company shows robust YoY earnings growth of 16.6%, but recent Q/Q EPS contraction and macroeconomic sensitivities create a balanced risk-reward profile.

Strengths
Exceptional Return on Equity (ROE) of 33.99%
Strong YoY Revenue (10.60%) and Earnings (16.60%) growth
Highly sustainable dividend payout ratio of 21.33%
Risks
High Debt/Equity ratio of 1.91, typical for credit services but increases leverage risk
Significant bearish insider sentiment with 8 sell transactions and 0 buys
High Price-to-Book ratio (6.82) indicating a steep valuation premium
GS NEUTRAL

The deterministic health profile is concerning, highlighted by a weak Piotroski F-Score of 2/9, indicating deteriorating fundamental strength. While the stock trades at a significant discount to its growth-based intrinsic value ($1513.06), it sits well above its defensive Graham Number ($641.39). Strong earnings growth (17.3% YoY) and consistent quarterly beats are currently offsetting severe bearish signals from insider selling and a low technical trend score. The overall outlook is a conflict between strong operational performance and weakening financial health metrics.

Strengths
Strong earnings growth (17.3% YoY) and revenue growth (15.2% YoY)
Consistent track record of beating earnings estimates (3 of last 4 quarters)
High profitability with a profit margin of 28.92% and gross margin of 82.88%
Risks
Critically low Piotroski F-Score (2/9) suggesting poor financial health
High leverage with a Debt/Equity ratio of 5.96
Strongly bearish insider sentiment with $112M in sales and zero buys

Compare Another Pair

AXP vs GS: Head-to-Head Comparison

This page compares American Express Company (AXP) and The Goldman Sachs Group, Inc. (GS) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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