Why American Express (AXP) Shares Are Trading Higher Today - American Express (NYSE:AXP)

American Express Company AXP has reported a Q2 net income of $2.0 billion, or $2.57 per share, down from $2.3 billion, or $2.80 per share, a year ago, beating the consensus of $2.41.
The company clocked revenue of $13.4 billion, up 31%, primarily reflected by growth in Card Member spending, surpassing the Street estimates of $12.50 billion.
Total net volume increased 25% to $394.8 billion.
"Card Member spending was up 30% Y/Y on an FX-adjusted basis, driven by the robust rebound in global Travel and Entertainment spending, which surpassed pre-pandemic levels for the first time in April and was led by strong growth in consumer and SME spending and a significant uptick in corporate travel," said Stephen Squeri, Chairman & CEO.
Spending by Millennial and Gen Z Card Members increased 48 percent on an FX-adjusted basis over last year.
American Express added 3.2 million new proprietary cards in Q2.
Guidance: American Express is raising its FY22 revenue growth guidance to 23% - 25% compared to the earlier range of 18% - 20%.
The company is maintaining its full-year EPS guidance of $9.25 - $9.65.
Price Action: AXP shares are up 4.47% at $156.90 during the premarket session on the last check Friday.

American Express Shares Shine as Travel, Entertainment Rebound, Sees Higher FY22 Sales