American Express Drops 3% Despite Posting Q2 Beat

American Express (NYSE:AXP) shares dropped more than 3% intra-day today despite the company reporting second-quarter earnings that exceeded expectations, driven by record card member spending and solid revenue growth.

The credit card giant posted adjusted earnings per share of $4.08, beating the consensus estimate of $3.87. Revenue reached $17.86 billion, slightly above the $17.7 billion forecast, and marked a 9% year-over-year increase.

Card member spending hit a new quarterly record at $416.3 billion, up 7% from the same period last year, highlighting strong consumer and business activity across the company’s network.

American Express reaffirmed its full-year 2025 guidance, projecting earnings per share between $15.00 and $15.50, in line with analyst expectations of $15.22. The company also maintained its revenue growth forecast of 8% to 10% for the year, signaling continued confidence in its growth trajectory despite a complex economic backdrop.