American Express (AXP) is due with its Q3 results in today's after hours, and analysts polled by Thomson Reuters expect the company to report a profit of $0.96 per share on revenue of $7.58 billion.
AXP favors widening between the sessions in its near-term performance following earnings evenings, adding to its evening trade in next-day action nine times and reversing between the sessions six times in the data we've collected.
Longs will find in AXP a better track record of expanded upside post-earnings moves. Looking deeper into the performance data, AXP has seen an after hours gain in five of the 15 quarters we've tracked, and in each instance, the stock has added to its gains in next-day action.
In the 10 quarters where the stock saw an earnings-driven after-hours decline, it reversed direction in the following regular session in six of those sessions.
On July 20, 2011, AXP slipped 0.6% in night trading after topping Q2 estimates. It reversed direction the next day, ending the July 21 regular session up 0.9%.
On April 20, 2011, the stock fell 2% in evening trading after an earnings beat. Shares recovered to edge up 0.2% the next day.
On Jan. 24, 2011, the stock fell 1.3% in extended-hours trading after the company reported results largely in line with the Street view. Shares fell 2.1% the next day.
On Oct. 21, 2010, AXP declined 1% in after hours trading after topping Q3 expectations. The stock added to its downside the next day, closing the Oct. 22 regular session down 3%.
On July 22, 2010, AXP slipped 0.9% in after hours action after beating on earnings and meeting on revenue. The stock reversed direction the following day, closing the July 23 regular session up 3.7%.
On April 22, 2010, the stock gained 1.4% in evening trading after the company reported a sharp rise in income compared to the year-ago quarter. Shares were up 2.7% the next day.
On Jan. 21, 2010, AXP slipped 2% in evening trading despite beating Q4 estimates. The stock headed deeper south the following day, closing the Jan. 22 regular session down 8.4%.
On Oct. 22, 2010, the stock fell 1.2%, reversing an initial firmer trade that followed an earnings beat. Shares tumbled a wider 5.1% the next day.
On July 23, 2009, AXP declined 4.4% in after hours trading after reporting a year-over-year decline in earnings and missing revenue expectations. The stock cut its downside in the July 24 regular session, ending up 0.2%.
On April 23, 2009, AXP advanced 7.1% in evening trading after beating earnings expectations and meeting sales estimates. The stock soared the following day, closing the April 24 regular session up 20.6%.
On Jan. 26, 2009, the stock rose 2.1% during extended-hours trading as the firm just missed with Q4 EPS. Shares jumped 9.7% the next day.
On Oct. 20, 2008, AXP advanced 6.3% in after hours trading after topping earnings expectations. It added to its upside in the Oct. 21 regular session, ending the day up 8.3%.
On July 21, 2008, AXP tumbled 11% in night trading after missing earnings estimates. It cut its downside in the July 22 regular session, ending the day with a 7.1% decline.
On April 24, 2008, AXP gained 3.8% in evening action after beating EPS estimates by three cents. The stock firmed even higher in the April 25 regular session, closing the day with a 5.7% advance.
On Jan. 28, 2008, AXP shed 2.6% in evening trading after meeting earnings expectations. It recorded a sharp reversal in the Jan. 29 regular session, ending the day up 0.8%.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.
