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AXP vs. MS: A Head-to-Head Stock Comparison

Updated

Here’s a clear look at AXP and MS, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.

Company Overview

AXP (200.37 billion USD) and MS (201.02 billion USD) sit neck-and-neck in market cap terms.

AXP at 1.24 and MS at 1.30 move in sync when it comes to market volatility.

SymbolAXPMS
Company NameAmerican Express CompanyMorgan Stanley
CountryUSUS
SectorFinancial ServicesFinancial Services
IndustryFinancial - Credit ServicesFinancial - Capital Markets
CEOMr. Stephen Joseph SqueriMr. Edward N. Pick
Price286 USD125.3 USD
Market Cap200.37 billion USD201.02 billion USD
Beta1.2391.3
ExchangeNYSENYSE
IPO DateJune 1, 1972February 23, 1993
ADRNoNo

Performance Comparison

This chart compares the performance of AXP and MS over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Hover over the lines to see the investment’s value and total return (%) at specific dates.

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

The section examines key financial ratios to assess the valuation of AXP and MS based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.

  • MS has a negative Price-to-Free Cash Flow of -95.72, indicating it’s spent more cash than it’s brought in over the past year—a cash flow shortfall that raises questions about its operational sustainability. Meanwhile, AXP at 17.71 maintains a positive cash position.
SymbolAXPMS
Price-to-Earnings Ratio (P/E, TTM)19.5113.89
Forward PEG Ratio (TTM)1.831.97
Price-to-Sales Ratio (P/S, TTM)2.661.90
Price-to-Book Ratio (P/B, TTM)6.431.90
Price-to-Free Cash Flow Ratio (P/FCF, TTM)17.71-95.72
EV-to-EBITDA (TTM)13.5720.41
EV-to-Sales (TTM)2.674.60
EV-to-Free Cash Flow (TTM)17.74-231.32

Dividend Comparison

Both AXP at 1.02% and MS at 2.95% pay dividends, blending income with growth in their strategies. Yet MS’s 2.95% yield, 189% above AXP’s 1.02%, suggests a focus on generous payouts—possibly from stronger profits—while AXP leans toward reinvestment, perhaps due to tighter margins.

SymbolAXPMS
Dividend Yield (TTM)1.02%2.95%

Financial Strength Metrics Comparison

This section dives into the financial resilience of AXP and MS, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

  • For both AXP (0.32) and MS (0.66), current ratios sit below 1. With current assets trailing short-term liabilities, they might tap into cash flow or borrowing to stay afloat—a setup not uncommon in certain sectors, though it bears monitoring if cash gets tight.
  • AXP (0.32) and MS (0.66) both clock quick ratios under 0.8. Without inventory, their liquid assets don’t match short-term debts, so they might lean on sales or loans to cover the difference—doable if cash keeps flowing.
  • MS’s 3.45 D/E breaches 3.0, loading up on debt that could test its resilience. In contrast, AXP at 1.69 plays it closer to the vest with borrowing.
  • MS’s 0.41 sits under 1.5, where earnings hug interest costs too closely—a squeeze if income dips. Meanwhile, AXP at 1.59 has room to breathe.
SymbolAXPMS
Current Ratio (TTM)0.320.66
Quick Ratio (TTM)0.320.66
Debt-to-Equity Ratio (TTM)1.693.45
Debt-to-Assets Ratio (TTM)0.190.30
Interest Coverage Ratio (TTM)1.590.41