If you're a beginner investor, the idea of creating a portfolio from the ground up can feel like an impossible goal to achieve. That's why you should start by looking at stocks that are set to beat the market over the next 12 months, a strategy that's been proven to generate strong returns.

Now, let's break down why adding this one exceptional stock, highlighted below, to your portfolio could be a recipe for success.

Why You Should Pay Attention to American Express (AXP)

Founded in 1850, NY-based American Express Company is a diversified financial services company, offering charge and credit payment card products, and travel-related services worldwide. American Express and its main subsidiary – American Express Travel Related Services Company, Inc. (“TRS”) – are bank holding companies under the Bank Holding Company Act of 1956. The company offers business travel-related services through its non-consolidated joint venture, American Express Global Business Travel (the GBT JV).

AXP was added to the Zacks Focus List on December 23, 2021 at $162.47 per share. Since then, shares have increased 85.45% to $301.30.

For fiscal 2024, eight analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.27 to $13.40. AXP boasts an average earnings surprise of 6.5%.

Earnings for American Express are forecasted to see growth of 19.5% for the current fiscal year as well.

Because stock prices react to revisions, buying stocks with rising earnings estimates can be very profitable. Focus List stocks like AXP offer investors a great opportunity to get into a company whose future earnings estimates will be raised, potentially leading to price momentum.

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American Express Company (AXP) : Free Stock Analysis Report

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