Monness Crespi upgrades American Express to Buy after pullback

Monness Crespi analyst Gus Gala upgraded American Express to Buy from Neutral with a $245 price target. The analyst likes the stock’s setup following yesterday’s selloff heading into the Q1 earnings report. The firm sees potential for positive revisions to American Express’ medium-term guidance during its investor day on April 30. Monness says it underestimated the company’s near-term resiliency, owing to its higher end consumer. American Express is set up well should macro softness materialize, the analyst tells investors in a research note. The firm believes the company is now better positioned given the Basel III endgame is likely to be revised in a way that removes the overhang of concerns on capital buffers.