American Express Reports Earnings, Stock Performance Lags Market in 2025

American Express Company (AXP), with a market capitalization of $199.3 billion, functions as an integrated payments provider both in the United States and globally. Established in 1850 and headquartered in New York, the company operates through four main segments: U.S. Consumer Services, Commercial Services, International Card Services, and Global Merchant and Network Services.

Over the past year, shares of this financial services giant have outperformed the broader market but have trailed behind in 2025. AXP stock has surged 19% during the last 52 weeks, yet it has decreased by 4.1% year-to-date (YTD). In contrast, the S&P 500 Index ($SPX) has returned 8.6% over the past year, even though it has dropped 3.8% this year.

Performance Compared to Peers

When focusing on specific financial indices, AXP has not kept pace with the Financial Select Sector SPDR Fund (XLF), which has seen a 19.7% increase over the past year and a 3.2% rise in 2025.

Recent Earnings Report

AXP’s shares experienced a minor decline following the release of its Q1 earnings on April 17. The company reported a revenue increase of 7% year-over-year, totaling $17 billion. Its adjusted earnings per share (EPS) rose 9% from the previous year to $3.64, exceeding consensus estimates by 5.5%.

Looking ahead, analysts forecast that AXP’s EPS will increase by 13.7% year-over-year to reach $15.18 for the fiscal year ending December 2025. Additionally, AXP has consistently surpassed analysts’ consensus estimates over the past four quarters.

Analyst Ratings Overview

Among the 29 analysts monitoring AXP, the consensus recommendation is a “Moderate Buy,” composed of nine “Strong Buy” ratings, two “Moderate Buys,” 17 “Holds,” and one “Strong Sell.” This configuration shows a slightly more optimistic outlook than a month ago, when eight analysts had rated the stock as a “Strong Buy.”

On April 21, Truist Financial Corporation (TFC) analyst Brian Foran reaffirmed a “Buy” rating for American Express and reduced its price target from $340 to $315.

Currently, AXP’s average price target is $296.04, suggesting a 4.1% upside from current market prices. The highest target from analysts stands at $371, indicating a notable 30.4% upside potential based on current valuations.

On the date of publication, Kritika Sarmah did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The data and information in this article are solely for informational purposes. For more information, please view the Barchart Disclosure Policy here.

The views and opinions expressed herein are those of the author and do not necessarily reflect the views of Nasdaq, Inc.