American Express on Wallstrip AGAIN…Deservedly So!

It is the only Financial stock I own.

As Brian clearly shows, you don’t need to rush out and buy it. In fact, I would be fine with the stock in the mid 40’s and even low 40’s to initiate positions. The big financial brands are much better buys when there is blood on the streets.

I have been a customer since college and rarely do I have a beef. I don’t buy into the whole ‘feel part of a community’ thing but the service when I need them more than makes up for the cost.

I go basic corporate card. Always have.

American Express can just keep on keeping on and be a continued great stock for the long haul…OR they could lend to the poor like Capital One Financial and other subprime lenders (bad idea according to Michael Lewis ). They have done well to manage their members so far.

To really shake things up in the financial, tech/internet world, they could buy Facebook.

Amex could truly step into the college card and lifetime market for $5 billion. The company has a market cap of $70 plus billion with $7 billion in cash. They could get away with paying stock for the deal and the market would still approve the deal. So for $5 billion, they end up owning the under 25 crowd and cut out tons of the crap advertising that kids and adults will get spammed with from banks, brokers and mortgage companies and replace it with Amex giveaways and affiliation programs that everyone would be a part of happily.

I have talked about Coke buying Apple and now American Express. Ebay (PayPal) would also make tremendouse sense.

Disclosure – Long American Express


  1. Howard Lindzon says:

    lol. but I am serious and yours makes no sense.

    T should buy a plot in the cemetary for it’s dead business.

    Goldman should be in the related porn business and buy NOOF and RICK to cut out the middlemen for their brokers.

  2. Broker A says:

    GS needs office supplies. Why not buy SPLS?

    T needs to lay fiber. Why not buy a trannie, who can move that crap around?

    KO will never think outside the box, because they are Coke.

  3. mrkcbill says:

    I use the AXP blue card–wife and kids carry it too. All I know is every $10,000 spent equals $100 to Capital Grille.

    As long as you never ever respond to one of their stupid promotions your OK.

  4. James Kim says:


    I was wondering if I could hear any of your input on LJ International(JADE) on your next entry if possible. I noticed this stock was featured on wallstrip earlier this year (which I enjoyed) and I never felt so much like a gambler while having this belligerent child in my portfolio.

    Kind Regards,


  5. Dereck says:

    I have been searching for and reading various blogs hoping to find suitable ones to link to in my blog. I especially have come to like yours. I was wondering if you would like to exchange links.


Comments are closed.