American Express (NYSE:AXP) and Wins Finance (NASDAQ:WINS) are both finance companies, but which is the better investment? We will contrast the two businesses based on the strength of their risk, dividends, valuation, profitability, institutional ownership, earnings and analyst recommendations.
Risk and Volatility
American Express has a beta of 1.06, indicating that its stock price is 6% more volatile than the S&P 500. Comparatively, Wins Finance has a beta of 6.06, indicating that its stock price is 506% more volatile than the S&P 500.
American Express pays an annual dividend of $1.56 per share and has a dividend yield of 1.4%. Wins Finance does not pay a dividend. American Express pays out 26.6% of its earnings in the form of a dividend. American Express has raised its dividend for 6 consecutive years.
Earnings & Valuation
This table compares American Express and Wins Finance’s top-line revenue, earnings per share and valuation.
|Gross Revenue||Price/Sales Ratio||Net Income||Earnings Per Share||Price/Earnings Ratio|
|American Express||$33.47 billion||2.76||$2.74 billion||$5.87||18.45|
|Wins Finance||$100,000.00||7,539.20||$10.49 million||N/A||N/A|
American Express has higher revenue and earnings than Wins Finance.
This table compares American Express and Wins Finance’s net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
Institutional and Insider Ownership
83.0% of American Express shares are owned by institutional investors. Comparatively, 0.2% of Wins Finance shares are owned by institutional investors. 0.2% of American Express shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.
This is a breakdown of current ratings and target prices for American Express and Wins Finance, as reported by MarketBeat.com.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
American Express currently has a consensus price target of $112.36, suggesting a potential upside of 3.77%. Given American Express’ higher possible upside, equities analysts clearly believe American Express is more favorable than Wins Finance.
American Express beats Wins Finance on 11 of the 14 factors compared between the two stocks.
About American Express
American Express Company, together with its subsidiaries, provides charge and credit payment card products and travel-related services to consumers and businesses worldwide. It operates through four segments: U.S. Consumer Services, International Consumer and Network Services, Global Commercial Services, and Global Merchant Services. The company's products and services include charge and credit card products, as well as other payment and financing products; network services; expense management products and services; travel-related services; and stored value/prepaid products. Its products and services also comprise merchant acquisition and processing, servicing and settlement, merchant financing, point-of-sale marketing, and information products and services for merchants; and fraud prevention services, as well as the design and operation of customer loyalty programs. The company sells its products and services to consumers, small businesses, mid-sized companies, and large corporations through online applications, direct mail, in-house teams, third-party vendors, and direct response advertising. American Express Company was founded in 1850 and is headquartered in New York, New York.
About Wins Finance
Wins Finance Holdings Inc., through its subsidiaries, provides financing solutions for small and medium enterprises in the People's Republic of China. It provides financial guarantee and leasing services, as well as financial advisory, consultancy, and agency services in Jinzhong City, Shanxi Province, and Beijing. The company is headquartered in New York, New York. Wins Finance Holdings Inc. is a subsidiary of Freeman FinTech Corporation Limited.
Receive News & Ratings for American Express Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for American Express and related companies with MarketBeat.com's FREE daily email newsletter.