American Express Boosts Guidance After Strong Q3 Beat

American Express (NYSE: AXP) shares rose 5% after the credit card giant raised the lower end of its FY2025 earnings forecast following a quarter that topped Wall Street expectations.

The company now expects EPS between $15.20 and $15.50 (midpoint $15.35), up from prior guidance of $15.00–$15.50 — slightly above analyst consensus of $15.34, according to FactSet.

Revenue growth guidance was also lifted to 9%–10% from 8%–10%, implying FY2025 revenue of $71.8B–$72.5B, compared with the Street’s $71.6B estimate.

Key Drivers

Strong cardholder spending across travel, dining, and luxury retail.
Successful Platinum Card relaunch, boosting new customer acquisition and premium engagement.
Continued network volume growth, supported by affluent consumer resilience and corporate travel recovery.

Management Commentary

Executives highlighted sustained momentum across consumer and commercial segments and reaffirmed Amex’s long-term growth model targeting 10%+ revenue growth and mid-teens EPS growth.

CEO Stephen Squeri said the company continues to benefit from “the power of our premium brand and loyal customer base,” adding that the macro backdrop remains favorable for high-end spending.

Stock Context

Shares of Amex have gained ~22% year-to-date, outperforming the broader financial sector ETF (XLF), as investors reward its steady growth and strong credit performance despite higher rates.