Added to YB: 2026-08-27
Pitch date: 2026-08-20
AXP [neutral]
American Express Company
+0.57%
current return
Author Info
Bob’s Payment Stock Substack is a former analyst and portfolio manager. Fundamental buy-and-hold investor. Talking stocks and markets. Focus on Payments, Financial Technology, and Payroll and HCM. Sign up for the newsletter.
Company Info
American Express Company, together with its subsidiaries, operates as an integrated payments company in the United States, Europe, the Middle East and Africa, the Asia Pacific, Australia, New Zealand, Latin America, Canada, the Caribbean, and internationally.
Market Cap
$227.8B
Pitch Price
$334.25
Price Target
N/A
Dividend
1.13%
EV/EBITDA
N/A
P/E
20.48
EV/Sales
N/A
Sector
Consumer Finance
Category
N/A
Payments and FinTech Earnings Recap: Q2 2026 - American Express Company
AXP (earnings): Q2'26: raised FY rev guide to +10% (from 9-10%) but held EPS — redirecting top-line upside into customer acquisition/tech plus higher-than-expected rewards and partner costs. FXN rev +10% (LT aspiration), discount rev +8% FXN, billed business +9% FXN. Strong: US consumer billings +11% (T&E +13%); write-off rate down 10bps to industry-leading 2.2%. Weak: VCE 44.6% of rev (+260bps YoY), FY guide raised to 44-45% (from ~44%); US commercial billings <5% vs V/MA low-DD, still lagging peers as AXP launches expense platform vs Brex/Divvy/Ramp. Watch: H1 flattered by reserve release + non-recurring items ($334MM other-exp drop); ex-items, author est H1 pretax margin down ~2pts YoY. Valuation: ~18.5x NTM EPS, premium to mid-teens pre-pandemic avg.
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