Big spenders bring in the $$$American Express lifted to a record high on Friday, gaining 1.33% to end a five-quarter losing streak after a Q2 revenue jump.
Shares of credit-card issuer popped to record highs of just under $180 on Friday before closing at $173 following second quarter earnings that smashed expectations. American Express reported earnings of $2.80 per share on revenue of $10.24 billion, compared to expectations of $2.66 in earnings per share on $9.48 billion, largely driven by a spike in consumer spending in the post-pandemic world.
The credit card company has seen five quarters of declines, but all areas of the business are recovering. Understandably, American Express found that its cardholders had really upped their spending from a year ago when the world was holed up inside thanks to COVID, and the recovery of travel and entertainment has boosted the card issuer’s earnings.
said Stephen J. Squeri, Chairman and Chief Executive Officer.
Shares are up just over 42% year-to-date.