American Express price target lowered to $175 from $190 at Oppenheimer

Oppenheimer lowered the firm’s price target on American Express to $175 from $190 and keeps an Outperform rating on the shares ahead of quarterly results. The firm’s top pick in the space is American Express even though Oppenheimer does see some second half of 2023 spending pressure versus consensus. That said, Q3 PPE could be better than expected. The firm sees the least late fee impact for American Express vs. peers. The biggest changes to Oppenheimer’s estimates revolve around higher LLR rate trajectory into year-end, all other assumptions left unchanged. Previous analysis suggests upside to current consensus is likely limited and long-term revenue growth targets could be too high, it adds. As such the firm reduced its price-to-earnings multiple.