AXP vs. SHG: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AXP and SHG, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
AXP’s market capitalization of 229.88 billion USD is substantially larger than SHG’s 22.60 billion USD, indicating a significant difference in their market valuations.
AXP’s beta of 1.25 points to significantly higher volatility compared to SHG (beta: 0.58), suggesting AXP has greater potential for both gains and losses relative to market movements.
SHG is an American Depositary Receipt (ADR), allowing U.S. investors direct exposure to its non-U.S. operations. AXP, on the other hand, is a domestic entity.
| Symbol | AXP | SHG |
|---|---|---|
| Company Name | American Express Company | Shinhan Financial Group Co., Ltd. |
| Country | US | KR |
| Sector | Financial Services | Financial Services |
| Industry | Financial - Credit Services | Banks - Regional |
| CEO | Stephen Joseph Squeri | Ok-Dong Jin |
| Price | 328.13 USD | 46.29 USD |
| Market Cap | 229.88 billion USD | 22.60 billion USD |
| Beta | 1.25 | 0.58 |
| Exchange | NYSE | NYSE |
| IPO Date | June 1, 1972 | September 17, 2003 |
| ADR | No | Yes |
Historical Performance
This chart compares the performance of AXP and SHG by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
AXP
34.05%
Financial - Credit Services Industry
- Max
- 34.05%
- Q3
- 18.70%
- Median
- 10.57%
- Q1
- 3.55%
- Min
- -12.12%
In the upper quartile for the Financial - Credit Services industry, AXP’s Return on Equity of 34.05% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
SHG
8.45%
Banks - Regional Industry
- Max
- 19.20%
- Q3
- 11.87%
- Median
- 9.48%
- Q1
- 6.66%
- Min
- -0.15%
SHG’s Return on Equity of 8.45% is on par with the norm for the Banks - Regional industry, indicating its profitability relative to shareholder equity is typical for the sector.
Return on Invested Capital
AXP
8.40%
Financial - Credit Services Industry
- Max
- 68.11%
- Q3
- 32.26%
- Median
- 9.52%
- Q1
- 3.37%
- Min
- -7.03%
Return on Invested Capital is often not a primary measure of capital efficiency in the Financial - Credit Services industry.
SHG
0.76%
Banks - Regional Industry
- Max
- 13.33%
- Q3
- 7.16%
- Median
- 5.31%
- Q1
- 2.87%
- Min
- -3.49%
Return on Invested Capital is often not a primary measure of capital efficiency in the Banks - Regional industry.
Net Profit Margin
AXP
13.64%
Financial - Credit Services Industry
- Max
- 39.42%
- Q3
- 20.10%
- Median
- 12.91%
- Q1
- 5.82%
- Min
- -14.80%
AXP’s Net Profit Margin of 13.64% is aligned with the median group of its peers in the Financial - Credit Services industry. This indicates its ability to convert revenue into profit is typical for the sector.
SHG
12.69%
Banks - Regional Industry
- Max
- 32.03%
- Q3
- 21.35%
- Median
- 16.99%
- Q1
- 12.69%
- Min
- 0.27%
SHG’s Net Profit Margin of 12.69% is aligned with the median group of its peers in the Banks - Regional industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin
AXP
17.36%
Financial - Credit Services Industry
- Max
- 77.26%
- Q3
- 42.86%
- Median
- 17.99%
- Q1
- 10.82%
- Min
- -14.94%
AXP’s Operating Profit Margin of 17.36% is around the midpoint for the Financial - Credit Services industry, indicating that its efficiency in managing core business operations is typical for the sector.
SHG
20.55%
Banks - Regional Industry
- Max
- 40.01%
- Q3
- 26.24%
- Median
- 21.14%
- Q1
- 15.85%
- Min
- 1.50%
SHG’s Operating Profit Margin of 20.55% is around the midpoint for the Banks - Regional industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | AXP | SHG |
|---|---|---|
| Return on Equity (TTM) | 34.05% | 8.45% |
| Return on Assets (TTM) | 3.64% | 0.62% |
| Return on Invested Capital (TTM) | 8.40% | 0.76% |
| Net Profit Margin (TTM) | 13.64% | 12.69% |
| Operating Profit Margin (TTM) | 17.36% | 20.55% |
| Gross Profit Margin (TTM) | 82.37% | 94.60% |
Financial Strength
Current Ratio
AXP
0.32
Financial - Credit Services Industry
- Max
- 8.15
- Q3
- 4.39
- Median
- 2.62
- Q1
- 1.06
- Min
- 0.15
For the Financial - Credit Services industry, the Current Ratio is often not the most suitable measure of short-term liquidity.
SHG
--
Banks - Regional Industry
- Max
- 0.39
- Q3
- 0.22
- Median
- 0.15
- Q1
- 0.10
- Min
- 0.01
For the Banks - Regional industry, the Current Ratio is often not the most suitable measure of short-term liquidity.
Debt-to-Equity Ratio
AXP
1.69
Financial - Credit Services Industry
- Max
- 4.69
- Q3
- 2.55
- Median
- 1.20
- Q1
- 0.55
- Min
- 0.00
AXP’s Debt-to-Equity Ratio of 1.69 is typical for the Financial - Credit Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
SHG
2.47
Banks - Regional Industry
- Max
- 1.74
- Q3
- 0.81
- Median
- 0.42
- Q1
- 0.18
- Min
- 0.00
With a Debt-to-Equity Ratio of 2.47, SHG operates with exceptionally high leverage compared to the Banks - Regional industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.
Interest Coverage Ratio
AXP
1.59
Financial - Credit Services Industry
- Max
- 17.48
- Q3
- 7.42
- Median
- 1.59
- Q1
- 0.38
- Min
- -7.77
The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Financial - Credit Services industry.
SHG
0.82
Banks - Regional Industry
- Max
- 1.58
- Q3
- 0.84
- Median
- 0.59
- Q1
- 0.35
- Min
- -0.35
The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Banks - Regional industry.
Financial Strength at a Glance
| Symbol | AXP | SHG |
|---|---|---|
| Current Ratio (TTM) | 0.32 | -- |
| Quick Ratio (TTM) | 0.32 | -- |
| Debt-to-Equity Ratio (TTM) | 1.69 | 2.47 |
| Debt-to-Asset Ratio (TTM) | 0.19 | 0.19 |
| Net Debt-to-EBITDA Ratio (TTM) | 0.03 | 20.39 |
| Interest Coverage Ratio (TTM) | 1.59 | 0.82 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for AXP and SHG. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
AXP
0.93%
Financial - Credit Services Industry
- Max
- 14.68%
- Q3
- 2.97%
- Median
- 1.03%
- Q1
- 0.00%
- Min
- 0.00%
AXP’s Dividend Yield of 0.93% is consistent with its peers in the Financial - Credit Services industry, providing a dividend return that is standard for its sector.
SHG
1,246.83%
Banks - Regional Industry
- Max
- 11.72%
- Q3
- 4.07%
- Median
- 3.00%
- Q1
- 1.68%
- Min
- 0.00%
SHG’s Dividend Yield of 1,246.83% is exceptionally high, placing it well above the typical range for the Banks - Regional industry. While this may seem attractive, an unusually high yield can sometimes be a warning sign, reflecting a falling stock price or market concerns about the dividend’s sustainability.
Dividend Payout Ratio
AXP
20.01%
Financial - Credit Services Industry
- Max
- 169.58%
- Q3
- 38.15%
- Median
- 18.30%
- Q1
- 0.00%
- Min
- 0.00%
AXP’s Dividend Payout Ratio of 20.01% is within the typical range for the Financial - Credit Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
SHG
27.62%
Banks - Regional Industry
- Max
- 155.35%
- Q3
- 50.05%
- Median
- 34.14%
- Q1
- 18.61%
- Min
- 0.00%
SHG’s Dividend Payout Ratio of 27.62% is within the typical range for the Banks - Regional industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | AXP | SHG |
|---|---|---|
| Dividend Yield (TTM) | 0.93% | 1246.83% |
| Dividend Payout Ratio (TTM) | 20.01% | 27.62% |
Valuation
Price-to-Earnings Ratio
AXP
22.38
Financial - Credit Services Industry
- Max
- 42.04
- Q3
- 25.88
- Median
- 12.28
- Q1
- 9.55
- Min
- 3.09
AXP’s P/E Ratio of 22.38 is within the middle range for the Financial - Credit Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
SHG
7.05
Banks - Regional Industry
- Max
- 22.32
- Q3
- 15.38
- Median
- 12.31
- Q1
- 10.72
- Min
- 4.30
In the lower quartile for the Banks - Regional industry, SHG’s P/E Ratio of 7.05 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
Forward P/E to Growth Ratio
AXP
2.10
Financial - Credit Services Industry
- Max
- 2.76
- Q3
- 1.57
- Median
- 0.82
- Q1
- 0.51
- Min
- 0.06
A Forward PEG Ratio of 2.10 places AXP in the upper quartile for the Financial - Credit Services industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.
SHG
0.93
Banks - Regional Industry
- Max
- 4.03
- Q3
- 2.13
- Median
- 1.25
- Q1
- 0.71
- Min
- 0.02
SHG’s Forward PEG Ratio of 0.93 is within the middle range of its peers in the Banks - Regional industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
Price-to-Sales Ratio
AXP
3.05
Financial - Credit Services Industry
- Max
- 6.24
- Q3
- 3.02
- Median
- 1.54
- Q1
- 0.75
- Min
- 0.32
The P/S Ratio is often not a primary valuation tool in the Financial - Credit Services industry.
SHG
0.85
Banks - Regional Industry
- Max
- 4.28
- Q3
- 2.76
- Median
- 2.17
- Q1
- 1.71
- Min
- 0.55
The P/S Ratio is often not a primary valuation tool in the Banks - Regional industry.
Price-to-Book Ratio
AXP
7.37
Financial - Credit Services Industry
- Max
- 3.58
- Q3
- 2.84
- Median
- 1.28
- Q1
- 0.84
- Min
- 0.07
At 7.37, AXP’s P/B Ratio is at an extreme premium to the Financial - Credit Services industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
SHG
0.58
Banks - Regional Industry
- Max
- 1.99
- Q3
- 1.35
- Median
- 1.09
- Q1
- 0.92
- Min
- 0.33
SHG’s P/B Ratio of 0.58 is in the lower quartile for the Banks - Regional industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.
Valuation at a Glance
| Symbol | AXP | SHG |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 22.38 | 7.05 |
| Forward PEG Ratio (TTM) | 2.10 | 0.93 |
| Price-to-Sales Ratio (P/S, TTM) | 3.05 | 0.85 |
| Price-to-Book Ratio (P/B, TTM) | 7.37 | 0.58 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 20.31 | 7.95 |
| EV-to-EBITDA (TTM) | 15.56 | 26.82 |
| EV-to-Sales (TTM) | 3.06 | 3.53 |