Overview
- American Express, which reported results Thursday, posted EPS of $4.28 on revenue of $18.91 billion with billed business of $428 billion, a total card spending metric that beat forecasts.
- Affluent customers powered the quarter as luxury retail rose 18%, overall retail 11%, and premium airline cabins 12%, while late-quarter flight refund requests tied to Middle East airspace closures did not halt travel growth.
- Management reaffirmed 2026 goals for 9% to 10% revenue growth and EPS of $17.30 to $17.90 and said it will increase marketing and technology investment to pursue long-term growth.
- Provisions for credit losses ticked up to $1.3 billion as credit metrics stayed broadly stable, and new card acquisitions eased to 3.1 million from 3.4 million a year earlier.
- Shares fell after the release as investors weighed higher expenses and unchanged guidance, and Wall Street split with Bank of America lifting its price target and Barclays nudging theirs lower.