tkenyon

A Rare Opportunity To Buy AmEx On The Cheap

Lots of good comments, lots of controversy, that's why it's cheap. One could argue that all the negatives everyone cites are well known by the market, and hence priced in. 9-11 was such a "black swan" that it was not priced in, and the market over reacted to the downside. Yet you now have it trading at a similar multiple. Remember too that it had the lousy financial advisors business back then too. The comments about Chenault's options is a good one. I also agree that scaling in makes sense - there could well be more bad news before there is good news. Value investors are notoriously early...