American Express Co (NYSE:AXP) was able to report earnings ahead of expectations, as its revenue beat more than offset higher expenses, according to Goldman Sachs.
The American Express Analyst: Analyst Ryan Nash reiterated a Buy rating and price target of $365.
The American Express Thesis: The company reported third-quarter earnings of $4.14 per share, higher than consensus of $3.99 per share, with revenues growing 11% year-on-year to $18.43 billion, beating estimates of $18.05 billion, Nash said in the note.
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The quarter was solid overall, as stronger billings and NII supported revenue growth, he added.
American Express's NII was "a big beat on a higher margin," and lower provisions also helped its earnings, the analyst stated.
Management raised their revenue growth guidance from 8%-10% to 9%-10% and the lower end of the earnings guidance from $15.00-$15.50 per share to $15.20-$15.50 per share, he commented.
"So clearly it is demonstrating solid momentum and should support continued strong results into 2026," Nash further wrote.
AXP Price Action: Shares rose by 4.98% to $339.22 at the time of publication on Friday.
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