With a free cash flow yield of 6.16%, American Express Company (NYSE:AXP) is included among the 12 Stocks From Companies Generating High Cash Flow.
On June 15, Reuters reported that American Express Company (NYSE:AXP) had agreed to acquire restaurant reservation platform TheFork from Tripadvisor. The all-cash transaction is valued at $700 million. The sale comes after activist investor Starboard Value urged Tripadvisor last October to divest TheFork.
Tripadvisor has faced challenges recovering from disruptions caused by the pandemic while also competing with major travel platforms such as Booking Holdings and Airbnb. According to the company, the transaction will support its ongoing transformation and allow it to place greater emphasis on its experience-focused strategy.
For American Express, the acquisition will significantly expand its dining footprint, increasing its network to around 75,000 bookable restaurants. The deal is also expected to strengthen the company’s international operations, which have been one of its fastest-growing business segments for years. It follows American Express’ earlier acquisitions of dining platforms Resy and Tock.”Dining is one of the most important ways people engage with our brand,” said Rafa Marquez, president of international card services at American Express.
Analysts at William Blair said the acquisition aligns with American Express’ strategy of offering premium experiences to cardholders while encouraging deeper customer engagement.
TheFork will continue operating under its current leadership team, and the transaction is expected to be completed before the end of 2026.
American Express Company (NYSE:AXP) is a global payments company that operates card-issuing, merchant-acquiring, and card network businesses.
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