American Express ( (AXP) ) has risen by 7.27%. Read on to learn why.
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American Express has seen a notable increase in its stock price, rising by 7.27% over the past week. This surge is largely attributed to the company’s impressive third-quarter earnings report, which revealed an 11% increase in revenue to a record $18.4 billion and a 19% rise in earnings per share to $4.14. These results have surpassed market expectations and have been driven by strong cardmember spending and the successful launch of refreshed Platinum cards, which have doubled new account acquisitions.
The company’s strategic initiatives have played a significant role in this growth. American Express has expanded its merchant acceptance network to 160 million locations worldwide and launched new digital platforms like the Amex Travel App and Amex Ads to enhance customer engagement. Additionally, a partnership with Toast aims to personalize hospitality experiences, further demonstrating the company’s commitment to innovation and customer satisfaction. These efforts have bolstered investor confidence, contributing to the stock’s upward momentum.
Looking forward, American Express has raised its full-year guidance, projecting revenue growth of 9% to 10% and earnings per share between $15.20 and $15.50. Despite some concerns about consumer health and competition, analysts remain optimistic about the company’s prospects due to its strong financial performance and strategic focus on premium products and international markets. This positive outlook has been reflected in the stock’s recent performance, making it an attractive option for investors.