American Express is a leading global payments and travel services company. The company’s continued focus on lending growth and cost-cutting initiatives should push shares higher. From a technical perspective, AXP shares last month broke above its long-term 200-day moving average and has formed a solid recovery from its lows earlier this year. Fundamentally, the shares are reasonably valued, trading at a forward price-earnings multiple of 12x with an estimated long-term earnings per share (EPS) compound annual growth rate (CAGR) of 8-10 per cent. AXP shares currently pay a 1.8 per cent dividend yield. Over the last 5 years, American Express shares have delivered an annual dividend growth rate of over 10 per cent.