American Express Company (AXP)vsPRA Group Inc (PRAA)
AXP
American Express Company
$310.66
+3.08%
FINANCIAL SERVICES · Cap: $212.18B
PRAA
PRA Group Inc
$16.01
+6.45%
FINANCIAL SERVICES · Cap: $592.71M
Smart Verdict
WallStSmart Research — data-driven comparison
American Express Company generates 5419% more annual revenue ($68.81B vs $1.25B). AXP leads profitability with a 16.3% profit margin vs -22.5%. AXP appears more attractively valued with a PEG of 1.54. AXP earns a higher WallStSmart Score of 68/100 (B-).
AXP
Strong Buy68
out of 100
Grade: B-
PRAA
Buy64
out of 100
Grade: C+
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 33 in profit
Strong operational efficiency at 21.2%
Generating 2.7B in free cash flow
Reasonable price relative to book value
Strong operational efficiency at 32.8%
Earnings expanding 711.0% YoY
Conservative balance sheet, low leverage
16.7% revenue growth
Areas to Watch
Expensive relative to growth rate
Elevated debt levels
Distress zone — elevated risk
Smaller company, higher risk/reward
Expensive relative to growth rate
ROE of -28.0% — below average capital efficiency
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : AXP
The strongest argument for AXP centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 16.3% and operating margin at 21.2%. Revenue growth of 11.6% demonstrates continued momentum.
Bull Case : PRAA
The strongest argument for PRAA centers on Price/Book, Operating Margin, EPS Growth. Revenue growth of 16.7% demonstrates continued momentum.
Bear Case : AXP
The primary concerns for AXP are PEG Ratio, Debt/Equity, Altman Z-Score. Debt-to-equity of 1.78 is elevated, increasing financial risk.
Bear Case : PRAA
The primary concerns for PRAA are Market Cap, PEG Ratio, Return on Equity.
Key Dynamics to Monitor
AXP profiles as a mature stock while PRAA is a growth play — different risk/reward profiles.
PRAA carries more volatility with a beta of 1.15 — expect wider price swings.
PRAA is growing revenue faster at 16.7% — sustainability is the question.
AXP generates stronger free cash flow (2.7B), providing more financial flexibility.
Bottom Line
AXP scores higher overall (68/100 vs 64/100), backed by strong 16.3% margins and 11.6% 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.
Visit Website →PRA Group Inc
FINANCIAL SERVICES · CREDIT SERVICES · USA
PRA Group, Inc., a service company, is engaged in the purchase, collection and management of delinquent loan portfolios in the Americas, Australia and Europe. The company is headquartered in Norfolk, Virginia.
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