BofA trims American Express price target to $381, lifts Q1 EPS to $4.00
BofA Securities trimmed American Express’s price target to $381 from $382 while maintaining its Buy rating after February loan growth slowed to mid-to-high single digits and loss rates held near 2%. The firm raised Q1 EPS to $4.00 and adjusted 2026/2027 forecasts to $17.48 and $20.04.
1. Price Target Adjustment
BofA Securities reduced its price target on American Express by $1 to $381 while reaffirming a Buy rating. The slight cut reflects a reassessment of the company’s recent operating performance without altering its positive outlook.
2. February Loan Growth and Delinquencies
February loan growth decelerated to the mid-to-high single digits year-over-year, and delinquency trends remained consistent with typical seasonal patterns. Loss performance came in slightly better than expected, with loss rates hovering around 2%, outperforming most credit card peers.
3. EPS Forecast Revisions
Following the performance review, BofA raised its first-quarter EPS estimate to $4.00 from $3.93. Full-year EPS forecasts were adjusted marginally to $17.48 for 2026 and $20.04 for 2027, based on an unchanged 19× valuation multiple on 2027 earnings.