WallStSmart

American Express Company (AXP)vsConsumer Portfolio Services Inc (CPSS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

American Express Company generates 33575% more annual revenue ($66.97B vs $198.88M). AXP leads profitability with a 16.2% profit margin vs 9.7%. CPSS appears more attractively valued with a PEG of 0.33. AXP earns a higher WallStSmart Score of 66/100 (B-).

AXP

Strong Buy

66

out of 100

Grade: B-

Growth: 7.3Profit: 8.0Value: 10.0Quality: 5.0
Piotroski: 4/9Altman Z: 0.13

CPSS

Buy

57

out of 100

Grade: C

Growth: 4.7Profit: 5.0Value: 7.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AXPUndervalued (+41.4%)

Margin of Safety

+41.4%

Fair Value

$512.74

Current Price

$300.24

$212.50 discount

UndervaluedFair: $512.74Overvalued
CPSSSignificantly Overvalued (-56.4%)

Margin of Safety

-56.4%

Fair Value

$5.44

Current Price

$7.72

$2.28 premium

UndervaluedFair: $5.44Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AXP3 strengths · Avg: 9.3/10
Market CapQuality
$208.03B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
34.0%10/10

Every $100 of equity generates 34 in profit

Free Cash FlowQuality
$2.35B8/10

Generating 2.3B in free cash flow

CPSS3 strengths · Avg: 10.0/10
PEG RatioValuation
0.3310/10

Growing faster than its price suggests

P/E RatioValuation
9.8x10/10

Attractively priced relative to earnings

Price/BookValuation
0.5x10/10

Reasonable price relative to book value

Areas to Watch

AXP3 concerns · Avg: 3.0/10
PEG RatioValuation
1.524/10

Expensive relative to growth rate

Debt/EquityHealth
1.733/10

Elevated debt levels

Altman Z-ScoreHealth
0.132/10

Distress zone — elevated risk

CPSS4 concerns · Avg: 3.5/10
Revenue GrowthGrowth
4.9%4/10

4.9% revenue growth

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$173.70M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
6.4%3/10

ROE of 6.4% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull Case : AXP

The strongest argument for AXP centers on Market Cap, Return on Equity, Free Cash Flow. Profitability is solid with margins at 16.2% and operating margin at 17.5%. Revenue growth of 10.6% demonstrates continued momentum.

Bull Case : CPSS

The strongest argument for CPSS centers on PEG Ratio, P/E Ratio, Price/Book. PEG of 0.33 suggests the stock is reasonably priced for its growth.

Bear Case : AXP

The primary concerns for AXP are PEG Ratio, Debt/Equity, Altman Z-Score. Debt-to-equity of 1.73 is elevated, increasing financial risk.

Bear Case : CPSS

The primary concerns for CPSS are Revenue Growth, EPS Growth, Market Cap.

Key Dynamics to Monitor

AXP profiles as a mature stock while CPSS is a value play — different risk/reward profiles.

AXP carries more volatility with a beta of 1.15 — expect wider price swings.

AXP is growing revenue faster at 10.6% — sustainability is the question.

AXP generates stronger free cash flow (2.3B), providing more financial flexibility.

Bottom Line

AXP scores higher overall (66/100 vs 57/100), backed by strong 16.2% margins and 10.6% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

American Express Company

FINANCIAL SERVICES · CREDIT SERVICES · USA

The American Express Company is a multinational financial services corporation headquartered at 200 Vesey Street in the Battery Park City neighborhood of Lower Manhattan in New York City.

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Consumer Portfolio Services Inc

FINANCIAL SERVICES · CREDIT SERVICES · USA

Consumer Portfolio Services, Inc. is a specialized finance company in the United States. The company is headquartered in Las Vegas, Nevada.

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