October 13, 2015 American Express Update

American Express is updated and rated (lower) Buy at $76.78. It is facing a loss of its Costco card business in the United States in 2016 and has already lost the Canadian Costco card. Also the higher U.S. dollar is a negative. Nevertheless it has the ability to control marketing and promotional expenses and managed to increase earnings per share on an adjusted basis in Q2. It’s valuation seems relatively attractive. It will likely be a good long-term investment. It will report Q3 earnings in a week or so. I hold some and have entered an order to add modestly to my position at $70.10 if the price happens to fall to that level.