Younger Consumers Drive New Card Sign-Ups for American Express
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 15 2026
0mins
Should l Buy AXP?
Source: NASDAQ.COM
- Younger Consumer Trend: CFO Christophe Le Caillec noted that as of Q4 2025, millennial and Gen Z customers now represent the largest share of U.S. consumer spending and are the fastest-growing cohorts, which will enhance American Express's customer lifetime value significantly.
- Strong Financial Performance: In 2025, American Express reported a 10% year-over-year revenue increase to $72.2 billion, with payment volume rising 7% to $1.7 trillion, demonstrating the company's resilience and scale amid economic uncertainty.
- Long-Term Growth Targets: The management team is targeting a mid-teens growth rate for earnings per share, indicating confidence in future performance and plans to drive ongoing success through increased payment volume, active card numbers, and card fees.
- Market Attractiveness: Despite an 18% drop in stock price this year, the current forward price-to-earnings ratio of 17.5 presents a relatively attractive entry point for investors, although analysts suggest American Express is not among the top investment stocks at this time.
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Analyst Views on AXP
Wall Street analysts forecast AXP stock price to rise
21 Analyst Rating
8 Buy
12 Hold
1 Sell
Moderate Buy
Current: 301.450
Low
280.00
Averages
379.06
High
425.00
Current: 301.450
Low
280.00
Averages
379.06
High
425.00
About AXP
American Express Company is a global payments and premium lifestyle brand powered by technology. Its card-issuing, merchant-acquiring and card network businesses offer products and services to a broad range of customers, including consumers, small businesses, mid-sized companies and large corporations around the world. Its range of products and services includes credit and charge cards and complementary products and services, including travel, dining, lifestyle and expense management products and services; banking and other payment and financing products and services, including deposits and non-card lending; merchant acquisition and processing, servicing and settlement, fraud prevention, and point-of-sale marketing and information products and services, and network services. These products and services are offered through various channels, including mobile and online applications, affiliate marketing, customer referral programs, third-party service providers, and business partners.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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