American Express (NYSE:AXP) Issues Quarterly Earnings Results

American Express Company (NYSE:AXP) posted its quarterly earnings data on Friday. The payment services company reported $4.53 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.41 by $0.12, FiscalAI reports. American Express had a net margin of 15.13% and a return on equity of 33.95%. The firm had revenue of $14.99 billion for the quarter, compared to the consensus estimate of $19.70 billion. During the same quarter in the prior year, the company posted $4.08 earnings per share. The company’s revenue for the quarter was up 10.0% compared to the same quarter last year. American Express updated its FY 2026 guidance to 17.300-17.900 EPS.

Here are the key takeaways from American Express’ conference call:

• American Express posted 10% revenue growth and $4.53 EPS in Q2, and management raised full-year revenue growth guidance to 10% while keeping EPS guidance at $17.30-$17.90.
• The company said its Platinum refresh is driving strong momentum, with U.S. consumer spend up 11.4%, the Platinum portfolio now the fastest-growing in the U.S. consumer business, and retention remaining very high.
• Credit quality remained a standout, with delinquency and write-off rates still below 2019 levels and provision expense benefiting from a $191 million reserve release due to further portfolio strength.
• Management plans to reinvest better-than-expected results into customer acquisition, technology, and the planned TheFork acquisition rather than flow all upside to EPS, which supports long-term growth but keeps near-term earnings guidance unchanged.
• Card fee growth is expected to accelerate in Q3 and exit the year in the high teens, while the sale of two small business co-brand portfolios will create a modest year-end headwind to spend and NII that was already built into guidance.

American Express Stock Down 5.2%

AXP stock traded down $17.65 during mid-day trading on Friday, reaching $323.19. The company had a trading volume of 3,070,424 shares, compared to its average volume of 3,367,665. The firm has a fifty day simple moving average of $332.26 and a 200 day simple moving average of $330.36. The company has a debt-to-equity ratio of 1.73, a quick ratio of 1.56 and a current ratio of 1.57. The company has a market capitalization of $220.52 billion, a price-to-earnings ratio of 20.16, a price-to-earnings-growth ratio of 1.41 and a beta of 1.04. American Express Company has a fifty-two week low of $288.34 and a fifty-two week high of $387.49.

American Express Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Monday, August 10th. Stockholders of record on Thursday, July 2nd will be paid a $0.95 dividend. This represents a $3.80 annualized dividend and a dividend yield of 1.2%. The ex-dividend date is Thursday, July 2nd. American Express’s dividend payout ratio (DPR) is presently 23.71%.

Analysts Set New Price Targets

A number of analysts have recently commented on the company. Freedom Capital upgraded American Express from a “hold” rating to a “strong-buy” rating in a research note on Thursday, May 14th. Barclays increased their target price on shares of American Express from $322.00 to $364.00 and gave the stock an “equal weight” rating in a research note on Tuesday, July 7th. Truist Financial lifted their price target on American Express from $360.00 to $375.00 and gave the company a “buy” rating in a research note on Wednesday, June 24th. Morgan Stanley raised American Express from a “positive” rating to an “overweight” rating in a research note on Monday, July 13th. Finally, Loop Capital began coverage on American Express in a research report on Thursday, May 21st. They set a “buy” rating and a $389.00 target price on the stock. One analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, ten have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $374.11.

Key American Express News

Here are the key news stories impacting American Express this week:

• Positive Sentiment: American Express reported Q2 EPS of $4.53, topping expectations, and said revenue rose 10% year over year as cardmembers kept spending more on travel and dining. Stronger card activity also helped drive profit higher and delinquency rates lower. Reuters article
• Positive Sentiment: The company raised its full-year 2026 revenue growth forecast, signaling confidence that affluent customers will continue to spend despite economic uncertainty. Business Wire article
• Positive Sentiment: Premium card sign-ups remained strong, suggesting American Express is still attracting higher-value customers and supporting longer-term growth. Economic Times article
• Neutral Sentiment: Management also noted expenses rose 12% due to marketing and product updates, which may support growth but adds near-term cost pressure. Economic Times article
• Negative Sentiment: Investors appear focused on the revenue miss versus Wall Street expectations, which helped trigger the stock’s decline even though earnings were better than forecast. Proactive Investors article

Institutional Trading of American Express

A number of institutional investors have recently bought and sold shares of the business. Sfam LLC acquired a new position in American Express during the fourth quarter worth approximately $26,000. Caitong International Asset Management Co. Ltd acquired a new position in shares of American Express in the 4th quarter valued at $28,000. Wilkerson Advisory Group LLC purchased a new stake in American Express in the 4th quarter valued at $29,000. Measured Wealth Private Client Group LLC acquired a new stake in American Express during the 3rd quarter worth $28,000. Finally, Swiss RE Ltd. acquired a new position in American Express in the fourth quarter valued at $39,000. 84.33% of the stock is owned by hedge funds and other institutional investors.

American Express Company Profile

American Express is a global financial services company primarily known for its payment card products, travel services and merchant network. Founded in 1850 as an express mail business, the company evolved through the 20th century into a payments and travel-focused organization. Its core activities include issuing consumer and commercial charge and credit cards, operating a global card acceptance and processing network, and providing travel-related services and customer loyalty programs.

American Express issues a range of products for individuals, small businesses and large corporations, including personal cards, business and corporate cards, and co‑brand partnerships with airlines, hotels and retailers.