Headquartered in New York, NY·Fiscal year ends December·NYSE: AXP·americanexpress.com
About American Express
American Express Company (NYSE: AXP) is a global payments and premium lifestyle brand. The company operates an integrated payments platform, issuing charge and credit cards to consumers and businesses, while also operating a proprietary merchant network. Its business model spans card issuing, merchant acquiring, and network services, generating revenue through discount fees from merchants, card fees from members, net interest income on card balances, and other fees. American Express serves a broad range of consumers, small and medium-sized businesses, and large corporations, with a focus on premium products and services. The company's global network includes over 190 million merchant locations worldwide. Its three reportable segments are U.S. Consumer Services, Commercial Services, International Card Services, and Global Merchant and Network Services. The company also offers banking products including savings accounts for businesses and consumers, and operates the Centurion Lounge airport lounge network with 33 locations. American Express partners with major brands including Marriott International and Airbnb to enhance its travel and lifestyle offerings. Updated
Doubling the average annual fee in six years is the clearest read yet on how much pricing power American Express has with affluent cardholders, and how much of its fee income depends on them staying.
The average fee for an American Express card is $136 per year.
That's ~2x what cardholders were paying in 2020.
$AXPhttps://t.co/5Suhbwo1Pb
A 3,500-person cut at a card issuer that has leaned on premium spending growth puts the 2027 expense line at the center of the story. Visa's recent reduction makes this the second major network-side payroll cut in short order.
BREAKING: American Express, $AXP, is laying off 5% of its employees, or 3,500 people, in an effort to contain rising costs.
The company's CEO says the cuts are part of an effort to make the company "more agile and efficient."
American Express raised full-year adjusted EPS guidance to $17.60 to $17.90, the number that matters for anyone holding into year-end. Revenue missed expectations, but management is pointing to the premium-card engine and billed business growth.
American Express is locking in the next generation of $695 annual fee payers at 40% cohort growth, eight times the boomer rate, right as Robinhood and Capital One crowd the premium card field.
Gen Z is the fastest growing customer cohort for American Express by far.
→ Baby Boomers +5%
→ Gen-X: +10%
→ Millennials: +14%
→ Gen-Z: +40%
$AXPhttps://t.co/wU7BgW31gG
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American Express Company (NYSE: AXP) is a global payments and premium lifestyle brand. The company operates an integrated payments platform, issuing charge and credit cards to consumers and businesses, while also operating a proprietary merchant network.
What is the AXP stock price target?
24/7 Wall St.'s 12-month price target for AXP is $358.12, rated Buy. The Wall Street consensus target is $369.52. AXP price prediction →