American Express Targets 10% Revenue Growth as 65% of New Card Signups Come From Younger Users
Updated
Updated · Yahoo Finance · Aug 2
American Express Targets 10% Revenue Growth as 65% of New Card Signups Come From Younger Users
1 articles · Updated · Yahoo Finance · Aug 2
Summary
American Express said it expects long-term revenue to grow 10% annually, with diluted earnings per share rising at a mid-teens rate.
65% of global new consumer card signups in the second quarter came from millennials and Gen Z, two groups the company said are increasing spending faster than older customers.
American Express is also leaning into growth investments, with CEO Steve Squeri saying the company is prioritizing rewards, perks and card refreshes over dropping all outperformance to the bottom line.
That strategy may pressure near-term profitability, but the company sees it strengthening retention, spending and competitive position as cashless payments and broader economic growth continue to expand.