JPMorgan CEO Warns Credit Card Rate Cap Could Impact Economy
Written by Emily J. Thompson, Senior Investment Analyst
JPMorgan (JPM) CEO Jamie Dimon warned that the Trump administration's proposed 10% cap on credit card interest rates could severely restrict consumer access to credit, potentially causing significant economic disruption, Reuters' Manya Saini reports. The plan was announced amid pressure to address cost-of-living concerns ahead of upcoming congressional elections, though implementation details remain unclear. "It would remove credit from 80% of Americans, and that is their back-up credit," Dimon said at the World Economic Forum in Davos. Publicly traded companies in the credit card space include American Express (AXP), Capital One (COF), MasterCard (MA), Synchrony (SYF) and Visa (V).
Analyst Views on AXP
Wall Street analysts forecast AXP stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AXP is 373.63 USD with a low forecast of 280.00 USD and a high forecast of 425.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
21 Analyst Rating
7 Buy
13 Hold
1 Sell
Moderate Buy
Current: 368.020
Low
280.00
Averages
373.63
High
425.00
Current: 368.020
Low
280.00
Averages
373.63
High
425.00
About AXP
American Express Company is a globally integrated payments company with card-issuing, merchant-acquiring and card network businesses. It offers products and services to a range of customers, including consumers, small businesses, mid-sized companies and large corporations around the world. Its segments include U.S. Consumer Services (USCS), Commercial Services (CS), International Card Services (ICS) and Global Merchant and Network Services (GMNS). USCS offers travel and lifestyle services as well as banking and non-card financing products. CS offers payment and expense management, banking and non-card financing products. ICS provides services to international customers, including travel and lifestyle services, and manages certain international joint ventures and its loyalty coalition business. GMNS operates a payments network that processes and settles card transactions, acquires merchants and provides multichannel marketing programs and capabilities, services and data analytics.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
